UTILISING SECOND CHARGES ON BOSSES RESIDENTIAL HOMES
Nine directors of the same company have secured a £1million funding package – through second charge loans secured against their homes – to expand their growing food business.
The bosses at The Food Group needed £750,000 to clear an existing bridging loan and another £250,000 to invest back into their business, a supplier to the catering industry based in the West Midlands.
They brought the complex deal to specialist distributer Crystal Specialist Finance (CSF) which approached Together. The lender recommended its homeowner business loan product for the directors, allowing them to borrow against residential property for commercial purposes.
Their application was split into two linked cases to make sure all the company directors received the lowest possible rates, and the entire process was completed in under six weeks.
Jo Breeden, managing director of CSF, said: “This was a very complex case that was made possible by the experience and inspired thinking of the team, and our great relationship with the lender who understood the ins-and-outs of the case immediately.”
Marc Goldberg, commercial CEO at Together, said: “This is a great example of how loans secured against residential homes can help applicants give their businesses a boost. When our valued partners at CSF brought this case to us, we knew we could help and our team worked closely with them to release the funding needed in under six weeks, allowing them to get the best outcome possible for their clients.”
CSF operates across six specialist divisions: Bridging, Buy to Let Mortgages, Commercial, Development Finance, Second Charge Loans and Specialist Residential.
The business works with brokers across the whole of the UK with the company having access to over 100 lenders, including exclusive product lines and lenders with an extremely limited distribution.