Bridge Financing

Bridge financing is a temporary funding solution that helps individuals or businesses meet short-term financial needs while they secure more permanent financing or await incoming cash flow. Think of it as a financial "bridge" that provides immediate capital until a longer-term solution is in place. Commonly used in real estate, bridge loans help buyers purchase new properties before selling their current ones. The terms are typically short, ranging from a few months to a couple of years, and involve higher interest rates due to the short-term nature of the loan and the associated risks.