Bidding against cash offers

I have a question about bidding against cash offers for purchasing a home.

There is a home that I am looking to bid on that is listed at $265K. It is a hoarders home but is in a great neighborhood and has a nice yard, good square footage, a great exterior. The inside is a full gut renovation (dog pee stains on carpet, and mountain of used Chipotle bags in one room, etc).

How can I bid with regular financing to beat cash offers?

I understand that a cash offer comes with less contingencies for a seller. The odds are more likely that the deal will go through with less hassle, so it is more desirable.

The home is listed at $265K. I believe the value is $260-280K and after renovation $350-370K. I was thinking of offering a traditional financed offer at $240K with an escalation clause up to $285K.

However say there is a cash buyer (which is more likely in this unfinished/hoarders home scenario) at $265K. If my escalation clause causes my bid to go to $266K, if I was the seller I would definitely go with the cash buyer.

My question is is there a way to structure the deal where it is competitive against other traditional offers (escalation clause would suit this) but also against cash offers? From my understanding a traditional financed offer would only be desirable as a seller if it was $12-15K more than the cash offer. Therefore my escalation clause would be worthless if the next best offer is cash. I am not willing to waive the traditional contingencies.