£1,000,000 Bridging Loan for Management Buy-out

Case Study

Brokers Kit Thompson, assisted by Tamzin Whitworth, successfully arranged a £1,000,000 first charge bridging loan to facilitate a management buy-out (MBO) for a long-established trading business in need of urgent financial restructuring. Following a period of reported losses, the business required immediate capital to implement a cost-reduction strategy, streamline operations, and stabilise its financial position.

The facility was secured against 45,000 sq ft of commercial space, structured at a conservative 28% loan-to-value (LTV) and priced competitively at 0.99% per month. The bridging finance enabled the business to downsize effectively, initiate the sale of one commercial unit, and prepare the remaining asset for a refinance – creating a clear and sustainable exit plan.

The transaction moved at pace, with the case beginning on 25th March and completing on 9th May. Drawdown was achieved just one month after formal application, demonstrating the team’s ability to deliver complex funding solutions quickly and efficiently in time-critical situations.

Subject to status. Product and criteria availability is subject to change or withdrawal at any time. For intermediaries only.

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