Bridging Finance Solutions (BFS) has launched ‘Next Step Development’ to enable developers to kick-start their next project prior to completion of sales at any current scheme.

BFS said it recognised a gap in the market to support developers in taking their next step, but was frustrated by a lack of funding during the period when works are completed but sales were pending.

“We’re fairly unique in this product offering as we understand the need within this customer group for funding during that very specific period,” said Jeanette Jones, Business Development Manager at BFS.

Once works are finalised at a current scheme, BFS will lend up to 70% of the value of the unsold property to allow the developer to begin work on the next scheme.

“The nature of small development is that sales tend to come in clusters,” added Jeanette.

“Once the first property is sold, others tend to follow, but there is often a time lull between completion of build and the time when that first property does actually sell.

“High street lenders won’t lend on these principles and so once again, we’re developing a solution that will unlock finance for customers to move onto their next project and keep their work force moving immediately onto another job.”

The product gives customers 12 month facilities, paying interest simply on the number of days that the funds are used prior to sales completing and without any early redemption or exit fees charged.