Close search

Lulalend: Bridging Finance

Table of Contents
Lulalend Inventory Loans
Introduction

Lula, the funder formerly known as Lulalend, offers bridging finance built for the reality of South African small business: money owed to you that has not arrived yet, and costs that will not wait. Bridging finance advances the cash to cover that gap so you can keep trading while you wait to get paid.

Who it suits

This fits an SME that is trading well but caught in a timing squeeze, waiting on a large invoice or a slow-paying client while wages, stock or suppliers are due now.

What you get

  • Working capital advanced in days, not the weeks a bank typically takes.
  • An online application assessed on how your business actually trades.
  • Clear, upfront costs and flexible repayment as your cash comes in.
  • No handing over equity: this is funding, not an investor buying a share.

How the cost works

Bridging finance is quote-based, so the cost depends on the amount and term rather than a fixed monthly fee. You see the full cost upfront before you accept, with nothing hidden. Check what you qualify for at no cost and no obligation.

Our take

Lula is the funder our readers turn to most, and speed is the reason. For a business bridging a genuine timing gap, having the cash in days rather than weeks is often the difference between taking an opportunity and losing it. See how cash flow timing affects your business, and compare the full range of funding options before deciding.

Check what you qualify for

Related: Bridging finance explained  ·  Cash flow  ·  All funding options

Main Features

Type Of Funding – Bridging Finance

Qualifying Criteria – Your business should have a minimum annual turnover of R500,000 and must have been actively trading for at least one year. During the application process, your business’s VAT registration number is used for verification purposes.

Repayment Terms – You can choose between the six months term or the 12-months term.

Application process – Apply online and share details such as how much funding you need. According to Lulalend, the online application can take about 8 minutes to complete. You will be required to supply recent financial information. To speed up the approval process, the company advises that you link your online bank account, which will allow them to see your bank transactions in read-only format. You can get approved within 24 hours.

Pricing

Based on your loan amount, the monthly payment due includes a capital payment (a fixed fee) and the monthly cost. The monthly costs depend on what monthly plan you choose – 3, 6, 9 or 12 months.

How it works: Every month you pay back a sixth or 12th (depending on which plan you choose) of the total advanced amount plus the monthly cost. According to Lulalend, the monthly costs are between 2% – 6% of your advanced amount for the first one to four months (plan dependent) and 2% for each of the remaining months. If you settle your loan early, you will not be charged any further monthly costs or any early repayment penalty fees.

Pros and Cons

Pros

Transparency on costs - there is an online funding calculator available.

Cons

Stricter finance requirements – this can be a disadvantage to some businesses.
FAQs

Bridging finance can be used for a variety of short-term needs, such as:

  • Covering a temporary cash-flow gap while waiting for an invoice to be paid.
  • Funding unexpected expenses, like repairs or equipment breakdowns.
  • Taking advantage of a time-sensitive business opportunity, like a bulk purchase discount.
  • Bridging the gap between selling an asset and needing the funds for a new one.

Bridging finance can be a good option for businesses that need quick access to funds and have a clear plan to repay the loan within a short timeframe (typically 3-12 months). However, it’s important to consider the interest rates, which can be higher than traditional loans, to ensure it’s a financially sound decision for your business.

Lulalend prides itself on a fast and efficient application process. They advertise approval within minutes and funding within 24 hours, subject to completing the application and providing necessary documentation.

Lulalend keeps the application process paperless. You’ll likely need basic business information, recent bank statements, and your VAT registration number for verification purposes.

Get Offer
Redeem Offer Now
You’ll be redirected to Lulalend: Bridging Finance’s partner page to claim your exclusive offer
LOGIN to Reedeem Offer

Already a Member? Click here to access your unique redemption code

OR

Create SME Hub Account

Join the SME Hub Community in 30 seconds to qualify

Report

Harassment or bullying behavior
Contains mature or sensitive content
Contains misleading or false information
Contains abusive or derogatory content
Contains spam, fake content or potential malware

Block Member?

Please confirm you want to block this member.

You will no longer be able to:

  • See blocked member's posts
  • Mention this member in posts
  • Invite this member to groups
  • Message this member
  • Add this member as a connection

Please note: This action will also remove this member from your connections and send a report to the site admin. Please allow a few minutes for this process to complete.

Report

You have already reported this .