Bridge Loan

A bridge loan is a type of short-term financing designed to "bridge" a financial gap until a person or company can secure more permanent or long-term funding, or until an existing obligation is fulfilled. These loans are typically characterized by their short duration, often ranging from a few weeks to a year, and can carry higher interest rates due to their rapid deployment and the specific, often urgent, circumstances they address. They serve as a temporary solution, providing immediate capital to cover expenses, facilitate transactions, or maintain operations during a transitional period.