Capital For Equity Gaps In Commercial Deals
CommercialGapFunding connects qualified sponsors with capital providers that fund equity and collateral gaps in Commercial Real Estate, Trade Credit, Business Acquisitions and Project Finance. The focus is simple. Real transactions, documented senior capital, and gap structures that complete the stack.
Professional sponsors and qualified investors only. No retail investors.
For Sponsors With A Gap To Close
You have a transaction, a senior lender or buyer on the other side, and a shortfall between what they will fund and what the deal requires. You need a clear answer on whether that gap can be covered with mezzanine capital, preferred equity or structured credit, not marketing pitch decks.CommercialGapFunding is built for sponsors who are already in motion. Senior lenders identified. Purchase contracts, term sheets or offtake agreements in place. A defined equity gap that needs to be filled on commercial terms.
Typical sponsor situations
Commercial Real Estate buyers with PSA signed, senior term sheet and an equity shortfall
Borrowers with senior term sheets for trade or receivables facilities but insufficient collateral or cash margins
Buyers acquiring operating businesses where the acquisition facility does not reach full enterprise value
Project sponsors with clear offtake and senior interest but a missing layer between pure equity and pure debt
What we expect from sponsors
Signed or near final commercial contracts, not concepts
A defined capital stack, including senior lender or buyer position and their conditions
Evidence of sponsor equity at risk, not 100 percent external capital
A realistic closing timeline and the ability to answer detailed questions
If you are still at idea stage, without contracts, without a senior lender and without your own capital committed, this platform is not for you.
For Lenders And Investors Providing Gap Capital
You provide mezzanine, preferred equity, co investment or structured credit. You are not looking for retail enquiries or unrealistic leverage requests. You want to see transactions where the sponsor has done the work, senior capital is committed in principle and the remaining gap is clearly defined.
CommercialGapFunding works with
Private credit and mezzanine funds
Commercial Real Estate debt and preferred equity providers
Family offices and investment firms backing search funds and buyout sponsors
Specialist funds and credit desks backing trade and project finance gaps
What you can expect
Mandates with senior lenders identified, term sheets available or in advanced discussion
Clarity on purchase price, leverage levels and sponsor equity
Transactions presented in a consistent format across CRE, trade, acquisitions and projects
Access to detailed data only after mutual interest and NDA execution
You define your ticket size, target return, structures and red lines. The platform is there to reduce noise and present situations that have already moved beyond casual enquiry.
How CommercialGapFunding Works
Submit Transaction Or Capital Mandate
Sponsors submit a transaction brief: sector, jurisdiction, size, counterparties, senior lender or buyer, equity contribution, gap amount, structure preferred, closing timeline. Capital providers set out mandate: sectors, regions, minimum and maximum ticket sizes, preferred instruments, target returns and structural requirements.
Screening And Structuring View
Transactions are reviewed against basic criteria. Purchase contracts, term sheets, financials, collateral and sponsor equity are checked for consistency. Where a case is credible, a neutral structuring view is formed on whether gap capital is realistic and in what band of pricing and terms. A concise summary is prepared. Under prepared or unrealistic files are declined.
Matching And Controlled Access
Capital providers that match the sector, region, structure and size receive anonymised summaries. Where there is interest, NDAs are signed and access is granted to the full data pack. This can include financial models, appraisals, legal documentation and senior lender information.
Term Sheets And Closing With Regulated Partners
Term sheets, intercreditor arrangements, security packages and closing documents are negotiated and executed directly between sponsors, senior lenders and capital providers, supported by regulated legal and financial advisers. CommercialGapFunding coordinates communication and document flow. Funds always move directly between investor, lender and transaction vehicles.
Sectors And Use Cases
Commercial Real Estate Gap Funding
Equity top ups where senior lenders require higher cash investment from sponsors
Mezzanine loans behind senior mortgages for acquisitions and recapitalisations
Preferred equity into property holding structures to close purchase price gaps
Structured capital for value add and development where senior funding is capped
Trade Credit And Receivables Gap Funding
Subordinated facilities behind bank trade lines for importers and exporters
Second loss capital supporting borrowing base or receivables programmes
Structured notes backing SBLC margins and collateral top ups
Capital for trade linked inventory where senior lenders restrict advance rates
Business Acquisition Gap Funding
Equity and mezzanine capital for management buyouts and independent sponsor deals
Co investment capital sitting alongside financial sponsor equity
Holdco PIK and junior instruments behind senior acquisition facilities
Refinancing of seller notes into more formal gap structures post closing
Project Finance Gap Funding
Development and pre financial close capital ahead of long term project debt
Mezzanine tranches between senior lenders and sponsor equity
Preferred equity into project holding companies to meet minimum equity tests
Back leverage on contracted cash flows where long term debt is constrained
The common factor is a defined transaction with a clear capital stack and a realistic gap that can be priced.
Sponsor Criteria
Sponsors that fit CommercialGapFunding share certain characteristics.
They control or will control the relevant asset or business through binding agreements
They have a signed or near final purchase agreement, offtake agreement or project contract
They have a senior lender, buyer or anchor capital provider engaged, with a term sheet or clear expression of interest
They have committed capital at risk and a credible plan to manage the asset or business post closing
They are open to market pricing on gap capital and do not expect grants or charity
Situations where the sponsor is attempting to stack multiple high leverage layers without real equity, or where commercial documentation is missing, will not be progressed.
Capital Provider Criteria
Capital providers registering with CommercialGapFunding are expected to
Deploy their own capital or discretionary capital under management
Have clear mandate documents, including sectors, jurisdictions, ticket sizes and structures
Understand intercreditor dynamics, collateral structures and covenant packages
Be prepared to evaluate opportunities based on full documentation and models, not marketing summaries
Accept that many situations require negotiation and compromise with senior lenders and sponsors
This platform is for professional parties who understand that gap capital sits in a specific risk and return bracket and that not every submission will be suitable.
Why Use CommercialGapFunding
| For Sponsors | For Capital Providers |
|---|---|
| Consolidate your transaction story, contracts, capital stack and gap into one coherent package | Spend time on transactions where the sponsor, senior lender and counterparties already exist |
| Reach capital providers that specifically focus on mezzanine, preferred equity and other gap solutions | See deals from multiple sectors presented in a consistent format, with clear gap amounts and proposed structures |
| Improve the quality of conversations with senior lenders by demonstrating a realistic plan to close the equity or collateral shortfall | Build a pipeline of situations that match your mandate, rather than reacting to random inbound requests |
CommercialGapFunding does not turn weak or mispriced transactions into funded ones. It gives commercially viable deals a clearer route to the specialist capital that can complete them.
Submit A Transaction Or Request Mandates
Provide detail on your organisation, the type of transactions you bring or fund, and whether you are raising capital or allocating capital. You will receive next steps on onboarding, documentation standards and access to suitable opportunities.
Regulatory And Legal Notice
CommercialGapFunding is a capital advisory and arranging platform for professional users. It is not a bank and does not accept deposits. It does not provide investment advice, investment recommendations or any form of personal financial advice.Any securities, loans or other regulated products associated with transactions are offered and executed through licensed entities and legal counsel in the relevant jurisdictions, subject to full KYC, AML and sanctions screening. Access to CommercialGapFunding is restricted to corporate users and to professional or accredited investors as defined in their home jurisdictions.
No funding outcome, pricing level or investment allocation is guaranteed. All parties are responsible for conducting their own due diligence and obtaining independent legal, tax and financial advice before entering into any transaction.