If you’re considering applying for an international bridge loan, you may have some questions about the process and how to go about applying. Luckily, you’ve come to the right place. This article will take you through what it means to apply for an international bridge loan, as well as how to find the right lender and get approved fast—all without needing to seek out multiple lenders at once. In no time at all, you’ll be on your way to receiving an international bridge loan from a reputable lender and starting your life back on track!
What are international bridge loans?
An international bridge loan is a short-term low-interest loan issued in your local currency and denominated in U.S. dollars. If you’re from Argentina, an international bridge loan might be a good option because it would let you avoid the high interest rates that come with borrowing in Argentine pesos, or if you’re from Canada and have a yen shortage but need access to capital now, this might be a great way for you to get what you need.
Why Do You Need an IBL International bridge loan?
International bridge loan lenders provide an easy way for people to start businesses without being concerned about equity. Though one does not need equity to start a business, these lenders offer loans so that you can save up money from your job before using it on your company. The bridge lending process is also perfect for people who are newer entrepreneurs and do not have much credit history in the United States. The more established international lenders have requirements such as good credit scores and 3-5 years of running a company successfully.
Who Are International Bridge Loans For?
In order to get a bridge loan, you need a connection between your bank in the U.S. and a lender abroad. You will also need significant collateral in order to show that you have sufficient ability to repay your loan. You may have substantial assets or properties like securities or stocks, which could be used as collateral with an international bridge loan lender. Additionally, these lenders can use their equity holdings such as property or shares of stock in lieu of providing loans that are fully secured.
Some of these lenders have personal relationships with international partners, and other lenders have a network of financial contacts or affiliates. Whether you are using an international bridge loan lender or a private lender who works independently, it is important that you do your research before choosing a lender. You may want to start by contacting your banker at your bank in order to discuss your financing options. If you want additional referrals, it may be beneficial to turn to someone like a real estate agent who has access to different resources and financing options. If you find yourself in need of an international bridge loan, there are many financial companies with experience providing bridge loans abroad that can help.
Popular Industries That Use IBLs International bridge loans
With international bridge loan lenders, there are quite a few industries that use this type of financing. Nearly every industry has a need for short-term lending, though some industries will be better suited than others. IBLs are especially popular in those sectors that experience sudden shifts in economic conditions or experience economic downturns. Those who have difficulty obtaining loans from more traditional sources due to their less-than-perfect credit will also find it much easier to qualify for an IBL and have access to more funds than they would with an SBA loan or other form of alternative financing. To help identify the best international bridge loan lender for your needs, we’ve broken down the different types of lenders that you’ll come across and how they stack up against one another below.
Trucking Industry Bridge LoansTrucking industry bridge loans are perfect for those who need short-term funding to help them get through a slump in sales or as they face down long periods of high costs while they wait on a big job. These industries can have massive swings in their daily and monthly finances, and IBLs can help alleviate that pressure and allow you to focus on your business instead of your bottom line. With terms that range from 24 hours up to 6 months, trucking companies will appreciate having access to these types of loans. ContractorsBridge loans for contractors are popular due to their short term nature and flexibility when it comes time to pay them back.
Approaches to Finding a Good IBL International bridge loan
-Online research: A simple Google search will allow you to find lists of IBL providers. Sites like The Entrepreneur’s Source offer comprehensive information on how bridge loans work, as well as a list of lenders who specialize in bridge loans. All you have to do is fill out a simple form and they’ll provide you with three different companies that offer bridge loans in your city or country. The site also offers comparisons and reviews, which can help you learn more about each company so that you can select one that best suits your needs.
-Referrals from people who’ve had experience with them before: You might have friends or family members who have had personal experience with these types of lenders before, and are able to give you some recommendations about their experiences.
-Referrals from your bank or credit union: If you currently have a business or personal account with a local bank, you might consider speaking with them about IBL providers in your area. Even if they don’t provide these services directly, they might be able to refer you to someone who does. This will also give you an opportunity to ask about their specific process for approving bridge loans. Many banks will require that potential customers meet certain criteria prior to submitting an application.
-Making sure they have a good business reputation in your city or country: If you want to make sure that a particular IBL provider is reputable, search online reviews. You can use Google or other search engines to see what kind of feedback they’ve received from past customers. You can also check with Better Business Bureau (BBB) and similar sites that offer consumer-reported information about different businesses. However, it’s important to keep in mind that some IBL providers may not have a presence on these types of review sites yet. This doesn’t necessarily mean that they’re unreliable, just that you’ll need to be more vigilant about researching their history before deciding which one you want to work with.
-Checking their site thoroughly and confirming what you learn from it: Once you’ve identified some potential IBL providers, check out their websites. Look at all of their main pages, including Frequently Asked Questions (FAQs), media galleries, contact information, and social media accounts. This will help you learn more about them as a company so that you can pick one that best meets your needs. You can also use other social networking sites like Facebook or Twitter to see if any of your friends or family members have interacted with these providers on those sites before. This will help give you more insight into how reliable they are in real-world situations too. A little due diligence goes a long way when choosing an IBL provider!
-Learning how they structure their IBLs: Most IBL providers offer their loans in one of two basic structures. The first option is a standalone bridge loan that you can use to cover your short-term cash flow problems until your business begins earning more revenue and making enough profit to cover it. You might also see standalone bridge loans referred to as business expansion loans since you can use them for any purpose related to expanding your existing business or starting a new one.
Picking an IBL International bridge loan Based on Its Specialties
While any IBL is a potentially good fit, it can be beneficial to pick one based on its specialties. For example, many lenders offer bridges specifically designed for startups with little or no track record. This bridge would be appropriate if you have never owned a business before and are not sure what your startup will need financing for. Some lenders offer loans specifically intended for non-immigrant visa holders (e.g., EB5). Choose a lender that offers what you need and doesn’t be afraid to ask questions!