Established in 2017 by Daniel Goldberg, Bridgement is a South African fintech company specialising in business financing solutions for small and medium-sized enterprises (SMEs). Bridgement aims to bridge the financial gap for businesses that may not have access to traditional bank loans. The company offers flexible loan options, ranging from R20,000 to R5,000,000, with interest rates starting at an attractive 1.7% per month.
Bridgement leverages technology to simplify the funding process, allowing businesses to access financing quickly and with minimal hassle. Since its inception, Bridgement has positioned itself as a trusted partner for businesses seeking short-term funding solutions to manage cash flow or seize growth opportunities.
Loan Offerings
- Business Loans:
- Designed for businesses with a one-time financial need, this product provides a lump sum amount that can be repaid over a pre-agreed period.
- Loan amounts range from R20,000 to R5 million.
- Early settlement is rewarded with prorated fee discounts, making it a cost-effective option for businesses able to repay sooner than planned.
- Line of Credit:
- A flexible financing option that allows businesses to draw funds as needed and only pay interest on the amount used.
- Ideal for businesses with fluctuating cash flow needs, as it provides ongoing access to capital.
- Invoice Financing:
- This facility converts unpaid invoices into immediate cash, helping businesses improve cash flow without waiting for clients to settle their accounts.
- The financing arrangement remains confidential, ensuring client relationships are not impacted.
Application Process
- Submit an Online Application:
- The process begins with a quick, user-friendly online application that takes approximately two minutes to complete.
- Unlike traditional loan applications, no paperwork is required, simplifying the process for busy business owners.
- Share Data Securely:
- Businesses can connect their accounting software or upload financial documents to verify their trading history.
- Supported accounting software includes popular platforms like Sage, Xero, and QuickBooks.
- This step allows Bridgement’s automated system to assess the business’s performance and financial health.
- Approval and Disbursement:
- Using advanced artificial intelligence, Bridgement reviews the application and typically provides approval within 24 hours.
- Once approved, funds are disbursed directly into the business’s account, often on the same day.
Eligibility Criteria
To qualify for a Bridgement loan, a business must meet the following requirements:
- Be a registered business or close corporation in South Africa.
- Have an annual turnover of at least R500,000.
- Possess a trading history of six months or more.
Advantages of Bridgement Financing
- Transparent Fee Structure: Bridgement charges a single fee on the amount advanced. There are no hidden charges, application fees, or monthly account maintenance fees.
- Fast Application and Approval: The entire process, from application to disbursement, can be completed in less than 24 hours.
- Early Settlement Discounts: Businesses that repay their loans early benefit from discounts on the remaining fee, encouraging responsible financial management.
- Automated Reconciliation: Withdrawals and repayments can be automatically recorded in the connected accounting software, simplifying bookkeeping.
- No Origination or Facility Fees: Unlike traditional lenders, Bridgement does not charge additional fees to set up or maintain a credit facility.
Disadvantages of Bridgement Financing
- High Turnover Requirement: Businesses must have an annual turnover of R500,000 or more, which may exclude some smaller or newer enterprises.
- Minimum Operating History: Companies need to have been trading for at least six months, which might be a barrier for startups seeking early-stage funding.
Customer Feedback
Bridgement is highly rated by customers for its efficiency, transparency, and ease of use. Business owners frequently praise the quick turnaround times and the absence of unnecessary bureaucracy, which contrasts with the lengthy processes often associated with traditional banks.
Conclusion
Bridgement stands out as a leading alternative lender in South Africa, catering to the unique needs of SMEs. With its innovative use of technology, transparent fee structure, and customer-centric approach, Bridgement offers a seamless and reliable way for businesses to access much-needed capital. While its eligibility requirements may limit access for some smaller businesses, Bridgement remains a valuable resource for established enterprises looking to manage cash flow or fund growth opportunities effectively.
