Our clients were a married couple based in Sutton, Surrey, who jointly owned their main residence valued at approximately £600,000, alongside additional property assets including a buy-to-let property and a hotel business valued at approximately £2.5 million.
Our clients were a married couple based in Sutton, Surrey, who jointly owned their main residence valued at approximately £600,000, alongside additional property assets including a buy-to-let property and a hotel business valued at approximately £2.5 million.
The clients were semi-retired landlords generating income from both rental properties and their hotel business, which was being operated by their son.
At the time of the application, all of the properties were unencumbered with no existing mortgages, creating a strong overall asset position.
The clients required urgent funding in order to resolve a substantial outstanding HMRC VAT liability.
Their objectives were to:
The funding was required urgently due to the significant risk of HMRC taking enforcement action if the liability was not settled within the required timeframe.
This case involved several critical complexities that required fast action and strategic lender selection.
The transaction was highly time-sensitive due to the urgent repayment deadline imposed by HMRC, while the size of the liability required substantial funding to be arranged quickly.
The structure also involved securing borrowing across multiple properties, adding further complexity to the transaction. In addition, the purpose of the funding related to a tax liability, which falls outside standard residential lending criteria.
Traditional mortgage options were therefore unsuitable due to the transaction’s urgency, complexity, and specialist nature.
We arranged a tailored regulated bridging loan designed specifically to raise capital quickly across multiple property assets.
The funding solution included:
The overall security structure included:
The lender selected offered the flexibility and speed required for a complex, high-value transaction.
Given the urgency of the situation, this case required a highly responsive and carefully coordinated approach throughout the process.
We carried out a detailed review of the clients’ wider asset portfolio before structuring a bridging facility secured across multiple properties. A suitable lender was then sourced to accommodate the size of the funding requirement and the time-sensitive nature of the HMRC liability.
The facility was carefully aligned with the proposed exit strategy through a future property sale and/or refinance, while communication among all parties was managed proactively to ensure the funding was completed within the required timeframe.
This hands-on approach enabled the clients to resolve the liability quickly while protecting their wider property and business assets.
The bridging loan completed successfully, enabling the clients to settle the HMRC liability and avoid enforcement action.
As a result, the clients were able to:
Conclusion:
This case highlights how bridging finance can provide fast and effective solutions for urgent tax liabilities and high-risk financial situations where traditional lenders are unable to assist.
By focusing on total asset value and exit strategy, bridging lenders can help clients protect valuable assets while resolving significant short-term financial pressures.
The relationships we build with our customers are incredibly important to us. Hear what they have to say, and learn why people across the UK rely on Rapid Bridging time and time again.
“We actually never thought it would happen because on paper it looked like it was impossible. We tried almost everything and eventually, it was Andrew and Rapid Bridging that was able to help us solve the issue.”
“Without Andrew, I’m pretty sure we wouldn’t be able to finance this development so easily.”
“Andrew sorted all our problems out. He sorted every little thing that we needed to be done… seems to just close every door and sort everything out for us.”
“Without Andrew’s help, the trust would have gone into
liquidation and lost everything — and I mean everything.”
“We were unable to get a loan anywhere. Nobody would fund building the house. We then approached Andrew who was unbelievably helpful. He was the only person who would even entertain the idea of trying to help”.
“Andrews nature and experience allowed for him to cut through some problems that we found with the other professionals. IE the solicitors and the banks”.
“Without Andrew, I would’ve lost the property. This would’ve caused no end of issues not just personally but for my business as well. Without Andrew and services, I would’ve lost everything”.
