Bridge loan

A bridge loan is built to span a temporary gap. It provides fast, short term capital that you repay once a more permanent source of money comes through, such as a property sale, a closing on long term financing, or an incoming round of revenue. Terms are usually short, often a few months up to a year or two, and rates run higher than conventional loans because of the speed and the elevated risk to the lender. Bridge loans are frequently secured by an asset like real estate, and they are common in commercial property deals where a buyer needs to move before existing financing is in place.

This fits situations with a clear, near term exit: you know money is coming and you need to act now. The danger is that the exit may not arrive on schedule, leaving you with an expensive short term obligation and no easy way to clear it, so a realistic repayment plan matters more here than with most products. Cost and approval hinge on the value of any collateral, the strength of your exit strategy, and your credit. Treat a bridge loan as a stopgap, not a long term solution.