Bridge Loans
If you have ever experienced a shortage of business funds, you may know the anxiety not having enough in the bank can produce. Covering business costs, including payroll and overhead, can be a nightmare if you run into a hiccup. In these types of scenarios, a bridge loan may be the perfect solution.
Bridge loans are a type of short-term funding option that provides cash fast with a repayment period between a few weeks and a couple of years. Bridge loans open the floodgates for a cash infusion, typically used between two predetermined periods of expected income. If, for example, your automobile business is acquiring new space, you might need a larger amount of cash than what you have on-hand. A bridge loan could cover the gap in funding.
If you have a more seasonal business, such as an accounting firm outside of tax time, or a beachside restaurant with limited indoor seating during the winter, you might find yourself struggling to cover costs during the off-season. Bridge loans can help cover the bills while waiting for the busy season to pick up. If your business is reliant on invoice payments, a bridge loan can prevent you from defaulting while you wait for errant payees to submit payment.
Occasionally, businesses will take out a bridge loan to cover higher than expected tax bills to remain in good standing with the IRS. Whether you are struggling with origination fees, rapid expansion of staff, or any of several other expenses, a bridge loan could work for you. Regardless of your need, Riverday Capital is here to make sure you secure the funds needed to keep your business thriving. Contact our New York or Florida offices or apply online today.
