Is your small property development company struggling financially in 2023? 

The property development industry is facing a number of challenges in 2023, including rising inflation, interest rates and material costs. This is making it even more difficult for small property development companies to secure financing for new projects. 

In addition, the ongoing uncertainty in the market is making investors more hesitant to commit to deals. As a result, many small property development companies are struggling to raise the funds they need to keep their businesses afloat. 

If you’re a small property development company that’s struggling financially in 2023, you’re not alone.  We can’t give you any guarantees but here are a few tips you might want to explore: 

• Review your finances: Take a close look at your income and expenses to see where you can cut costs. You may be able to negotiate lower rates with suppliers, or you may be able to eliminate unnecessary expenses altogether. 
• Renegotiate your financing: If you have existing debt, see if you can renegotiate the terms of your loan. You may be able to get a lower interest rate or longer repayment terms. 
• Look for alternative financing: There are a number of alternative financing options available to small businesses, such as short-term bridging finance, peer-to-peer lending and asset-based lending.  
• Get help from a financial advisor: A financial advisor can help you create a financial plan for your business and identify ways to improve your cash flow. They can also help you negotiate with lenders and secure financing. 

How can Alternative Bridging Corporation help?

At Alternative Bridging, we understand the challenges that small property development companies face in 2023. We offer a variety of financing solutions that can help you get the funding you need to grow your business.

Our loans are perfectly designed for small businesses, offering fixed-rate loans with flexible repayment terms, so you can find a solution that fits your budget and your needs. 

Here are some of the specific products we offer that can help small property development companies in 2023: 

Development loan 

A development loan is a type of development finance we provide that is typically used to finance the construction of a new property. These loans typically have higher interest rates than other types of development finance, but they also offer longer repayment terms. Our development loans also offer an extended sales period. This allows us to provide the option of a top-up advance if required. Additionally, during the sales period, our development loan has a reduced bridging interest rate. We can provide loan rates up to 80% of the total development cost or 65% of Gross Development Value. 

Alternative Term Loan 

Our Alternative Term Loan is an interest-only loan that provides secure funding for the property industry and business community. It is available for up to 5 years and is ideal for new and growing businesses, asset management situations or to release working capital. The loan can be used for purchase, refinance or property improvement. It is structured to match cash flow, with special arrangements for interest to be accrued when the property income is not yet stabilised. Loans are for up to 65% of valuation and additional advances can be made as income improves or other improvements are made. This is a flexible loan that is particularly suitable for asset management situations. 

Contact Alternative Bridging Corporation today to learn more about how we can help you get the funding you need to grow your business. 

We understand the challenges that small property development companies face, and we are here to help you succeed. Contact us today to learn more about our financing solutions and how we can help you get the funding you need.