Borrowing

Can companies borrow from kuflink bridging?

We accept UK Limited companies, although a personal guarantee and debenture are required.

Can I approach you direct for any bridging loan enquiries?

You can approach us directly for all bridging loan inquiries, however, we will not be able to provide you with any financial advice. If you require advice before requesting a loan, you should speak to your independent financial advisor or visit www.unbiased.co.uk to find an advisor near you.

Can individuals borrow from kuflink bridging?

Yes, including sole traders, partnerships, and LLPs.

Do I get charged legal fees?

The borrower is responsible for Kuflink’s legal fees in addition to their own solicitor’s fees. Prior to Kuflink instructing solicitors for any legal work, the borrower is required to lodge Kuflink’s legal fees inclusive of VAT with their own solicitor on an undertaking basis.

Do I need a valuation on the security property?

We reserve the right to request a valuation and the borrower will be liable for these valuation costs. An existing valuation should be no more than three months old.

How can the loan be repaid?

The borrower must provide a satisfactory exit route to Kuflink to confirm how the loan will be repaid, which, for example, may be through selling the property or refinancing.

What charges do you accept?

We accept 1st and 2nd charges at our discretion.

What is a 1st and 2nd legal charge?

In a mortgage by legal charge, the borrower remains the legal owner of the property, but the creditor gains sufficient rights over it to enable them to enforce their security (e.g. to take possession of the property or sell it). The debtor in this instance can be first in line or second in line; for the second charge, the creditor will need consent from the first creditor to place a charge on the title.

What is a bridging loan?

Bridging loans are a short-term funding option that can usually be arranged in a matter of days (as opposed to weeks or even months with a traditional mortgage).

Bridging loans are assessed by weighing up the value of the asset versus the loan requested against it. Factors such as the borrower’s ability to service the repayments on the loan, and the borrowers plans for existing the facility can influence the interest rate offered.

What is a debenture?

In the UK, a debenture is a name given to a security agreement that sets out the terms under which the borrower provides security to a lender. It is usually given in respect of a company rather than an individual.

A lender may require security from a borrower to confirm the obligation of the borrower to repay the lender the amount that is owed in the loan agreement.

Debentures may be used by the lender to take security over some or all the borrower’s assets.

What is a personal guarantee?

A personal guarantee is essentially a written agreement whereby the borrower makes themselves personally liable for a debt. If they personally guarantee the debts of their business, the lender can take ownership and dispose of the assets owned by the business as well as the borrower’s personal assets if they default on the loan.

What is an equitable charge?

An equitable charge refers to a security placed against a property – it is like a mortgage and may be enforced by a court order for sale. It does not grant ownership or possession to a creditor but does give the right to the judicial process for recovery of the loan amount in case of non-payment.

What is the maximum ltv you will consider?

The maximum LTV we will consider is 75%.

What is the minimum age of an applicant you will lend to?

Kuflink is able to lend to those over the age of 18 only.

What is the minimum and maximum I can borrow?

The minimum you can borrow is £50,000 and the maximum you can borrow is £750,000, although other requests will be considered on a case-by-case basis.

What is the minimum and maximum loan term you will accept for a bridging loan?

The minimum loan term we will accept is one month and the maximum loan term we will accept is 24 months.

What loan purposes will you consider?

All loans must be for business purposes, including property development, refurbishment, and renovation, acquisition of property, business purposes, acquisition of business assets and cash flow.

What property tenure will you lend against?

We will lend against Freehold and Long Lease properties.

What property types do you lend against?

We lend against commercial, semi-commercial, residential property (2nd Charge for business purposes) Investment Property, Auction, Buy-to-Let, and Land with or without planning permission nationwide.

What type of credit history will you accept?

Most types of credit history are considered.