Lendix, online lender for SMEs in continental Europe, has announced the launch of a new financing product: the Flexible Bridge Loan. This product is designed to will allow a greater number of French, Spanish and Italian SMEs to benefit from the speed of execution of Lendix’s lending platform while leaving them the possibility of setting up an overall refinancing solution with other financial institutions.
The Lendix Flexible Bridge Loan is a 5-year amortizable loan with a standard commitment for the first 9 months and the possibility of early repayment at no cost for the remainder of the loan term, even in the event of refinancing by other financial institutions. This may be particularly attractive for SMEs who need to seize a business opportunity quickly while structuring a medium or long-term financing solution that is more complex or more in line with their business operations.
Lendix said this new product was based on actual cases already financed via Lendix.
For example, the company Hôtelière Rhône & Loire, part of the SomnOO Management group, has chosen to borrow €525,000 through Lendix as a complement to other financing lines for the acquisition of the operations and real estate of 2 hotels under the IBIS brand in in Southwestern France (Agen). A few months later, the company chose to repay its Lendix loan to replace it with a long-term bank loan.
“Many companies have been seduced by the speed of obtaining financing through the Lendix lending platform; and speed is even cited as the main reason why they decided to choose us”, commented Olivier Goy, founder of Lendix. “We want to go even further by creating a new Flexible Bridge Loan solution that combines the speed of execution of Lendix and the flexibility to be able to evolve their financial structure if necessary”.
Lars Backhaus, CEO and Director of SomnOO SA, explained the opportunity for the acquisitions was simply too good to miss and they had to move quickly to close the deal.
“… we knew that it would take a long time to put in place a complete financing package that was perfectly in line with our long-term objectives,” said Backhaus. “For this transitional period, the co-financing solution offered by Lendix was really ideal”.
Since launch in April 2015, Lendix has provided financing to more than 320 companies for €119 million euros through three financing products: medium-term amortizable loan solution, short-term bullet loan and a leasing solution with fixed rent. All Lendix financing solutions (from 30,000€ to 3 million euros) are without personal guarantee and with a firm response within 48 hours and availability of the funds in less than a week.