Bridge Loans and Interim Financing. Eligibility, Process, and Fee Mechanics

1. Purpose of a Bridge Facility

A bridge loan is a short-dated credit instrument that covers a defined liquidity gap until a longer-term capital event closes. Typical triggers include acquisition signing to drawdown, construction completion to permanent debt, or receivable settlement on a bulk sale of inventory.

2. Eligibility Criteria

• Borrower must be a post-revenue operating company with minimum EBITDA of ten million United States dollars.
• Documented take-out source such as committed equity, refinancing term sheet, or contracted receivable.
• Collateral position acceptable to lenders. Senior pledge on shares, receivables, inventory, or project assets.
• Jurisdictional compliance with sanctions, anti-bribery, and beneficial-owner transparency requirements.

3. Disclosure Obligations

Borrowers are required to provide complete and accurate information on financial performance, pending litigation, taxation status, and material contracts. Omission or misrepresentation of material facts terminates the mandate and forfeits all fees paid to date.

4. Fee Structure

• Underwriting retainer. Payable upon mandate execution. Covers cash-flow modelling, collateral inspection, covenant design, and legal structuring. Retainer is non-refundable regardless of outcome.
• Success-based fee. Percentage of funded amount. Earned only when the private credit lender disburses the bridge facility.
• Out-of-pocket costs. Third-party reports, travel, and filings recharged at cost with borrower pre-approval for items exceeding five thousand United States dollars.

5. SEC Advisory Exemptions

Financely performs structuring and advisory functions under the Regulation D Rule 506(c) issuer exemption. When a transaction meets the definition of a securities placement, a registered broker-dealer is engaged through a written chaperone agreement. The broker-dealer books any placement fee, satisfies FINRA notice filings, and maintains statutory records. Financely invoices only for non-contingent advisory work and separately disclosed success compensation.

6. Process Overview

• Mandate executed. Retainer funded and data room opened.
• Week 1 to 3. Financial analysis, collateral appraisal, draft term sheet preparation.
• Week 4. Market release to pre-qualified private credit funds and specialty lenders.
• Week 5 to 6. Lender due diligence, management calls, site reviews.
• Week 7 to 10. Documentation, perfection of security interests, conditions precedent, funding.

The schedule reflects an uncomplicated file. Regulatory or technical issues can extend the timeline.

7. Credibility Markers

Financely maintains professional-indemnity cover, retains external counsel for continuous compliance review, and houses all client data in ISO 27001 certified infrastructure. Private credit funds on the platform confirm facility drawdowns directly through closing statements, providing an auditable trail.