COD BRIDGING FINANCE is the property bridging finance arm of Gane Capital (Pty) Ltd, which is wholly owned by Attwood Equity Holdings, part of the Attwood Group. The Attwood Group, established over 40 years ago, is primarily involved in property investment and development, asset management and the hospitality industry.
Our core strength lies in the offering and provision of various forms of short term bridging finance. The primary focus here is on the offering of the below mentioned products. These products are designed to provide upfront cash flow to corporate entities and individuals in transactions where there is a sale of a property or registration of a new bond pending. The demand arises due to the time period taken in the conveyancing process to ultimately register the transfer of a property or bond, in the Deeds office.
In the case of the sale of a property, this time period is typically between 60 – 90 days and the seller only receives payment of the proceeds from the sale upon registration.
Chris has over 20 years of experience in finance both locally and abroad [BSc Finance (Boulder, Colorado), Euromoney diploma in International Capital Markets (Oxford, UK)].
An admitted Attorney, Warren practised as such for 7 years in the greater Durban area before being appointed to the position of Legal Advisor to COD BRIDGING FINANCE in November 2006. In 2012 Warren was promoted to Director, a position he still holds.
Warren Mellow and Colette Rudolph (10 years banking experience) head up COD BRIDGING FINANCE’s Credit Department.
Our Credit Department will only consider such an application if the buyer has received an approved bond grant in an amount higher than the purchase price. For example, the purchase price for the property is R1 000 000 and the purchaser’s approved bond is for R1 250 000, which includes an allocation for his/her transfer and bond costs.
In these instances, the purchaser often requires upfront bridging finance to pay for the transfer duty as he/she may not have the cash on hand to settle same. We could assist by bridging a portion of the R250 000 surplus available to the purchaser.
Generally speaking, no, however, our Credit Department may set a minimum fee (usually 18-22 days) if the transaction has already been lodged in the deeds office
No, we also bridge estate agent’s commission and on occasions, transfer duty/costs for purchasers with approved bonds greater than the purchase price of the property they have purchased
First you will need to register with our Credit Department. This is a quick once off procedure, at the end of which you will be provided with a pre-populated bridging finance agreement for your use whenever you wish to bridge your commission. This agreement would need to be completed and signed and submitted to our Credit Department together with a copy of the OTP and consent document signed off by your Principal
Whilst we do consider a client’s credit record in assessing their application, it is only 1 of several factors that we take into account. Other factors could include the amount applied for, whether we have a prior relationship with the transfer attorneys, the amount of equity in the transaction, the value of the property, the stage of the transfer (advanced or in early stages) and so on! We are always available to discuss these types of questions so please do not hesitate to reach out if in doubt 😊
In most cases we do require the Directors of the company to stand surety for the company’s debt, however, this may not be necessary if the amount applied for is below R75 000 and is for payment of rates.
Due to the inherent risky nature of new developments, we will generally only consider advancing finance once the unit / property in question has been built, all applicable consents / certificates obtained eg NHBRC enrolment and completion, approved SG diagrams / plans, Occupancy Certificate etc, are in place. If the development is not this far advanced, we might consider finance but would require alternate security, such as a bond over property or the like.
As the company is a separate legal entity from its Directors/Shareholders, it would be necessary for all the Directors of the company to sign a Resolution authorizing the bridging finance application. There may be additional documents such as a personal deed of suretyship (see above) that would also be required. Our Credit Department would draft all of the required documents and would be on hand to talk you through the process.
COD liaises with the transfer attorneys directly for the necessary supporting documents, keeping you informed throughout the process. Once COD’s Credit Department is satisfied that everything is in order, COD will draft the necessary bridging finance agreement for your signature and return. Whilst we strive for a 24hr (or less) turnaround time, much depends on how quickly the client and attorneys provide / return the necessary documents. Once approved, we can attend to an immediate payment should it be required
This may fall under our Mezzanine Finance offering. Briefly, Mezzanine finance, refers to a short term secured business loan of not less than R250 000 to a legal entity eg company, cc or Trust, repayable within a maximum period of 12 months. Please contact us should you be interested in this product.
Our primary focus is on offering specialized finance, which involves the provision of various forms of short-term bridging finance, for both businesses and individuals, which is not typically provided by the major banks and financial institutions.
