borrowing money

[Guest Mario]

Again, my opinion!!! Taking a loan is like eating Arsenic. A little bit will probably not have any affect on you , but the more you take in the more it affects you! And finally, if you take too much it will take you OUT!

[Guest c5golfguy]

How much do you think you need??

[Twisted Tinter]

How much do you think you need??

Why, you offering to front the money?

[Naples Tint Company]

This certainly isnt the type of business that requires a huge startup capital... I used some credit cards to stay alive in the hard spots the first year, but really did it all as it came together.

[Guest beachtint]

This certainly isnt the type of business that requires a huge startup capital... I used some credit cards to stay alive in the hard spots the first year, but really did it all as it came together.

I have two kids a wife that is hot at 25 two car payments a house payment and need to advertise only to companys in my area but we are at every bid together ive started out in a in hole wall shop make in enough to get buy i just know we can do more

[The ///Man]

This certainly isnt the type of business that requires a huge startup capital... I used some credit cards to stay alive in the hard spots the first year, but really did it all as it came together.

I have two kids a wife that is hot at 25 two car payments a house payment and need to advertise only to companys in my area but we are at every bid together ive started out in a in hole wall shop make in enough to get buy i just know we can do more

So save some money and do what you need to do

[watchdaride]

How much do you think you need??

Why, you offering to front the money?

Go to jersey and get an unsecured loans from the Soprano boys on the corner.

[EWF]

Hi Beachtint,

There have been several members here advising against borrowing money to start up your business. I think this is very wise counsel and I completely agree with them. Skill will take you further than borrowed capital in this business. Start out small, save your money, assess your progress each step of the way and build your company with your own money, sweat and perseverance. The sweetest success is that which you earn entirely on your own.

EWF = 100% Debt free since 1984.

-Howard

[Guest Pacific Islander]

Hafa adai (hello) Beachtint,

You have brought up a very good subject.

I've been in business since 1990. In 2005, we ran into a bit of financial trouble (not big or bad) and didn't want to use personal funds, I went to the bank for a business loan...guess what, "because your company has no credit history, we are unable to provide you this loan".

In other words, for 15 years without needing any financing which I thought was a good thing, our company could not get a loan from that bank.

BUT...needless to say, I pulled all my accounts (2 savings, 1 checking) from that bank that gave me the lame excuse, went to another and got the loan almost immediately.

So...be smart when it comes to your business...it's a great thing to be debt free, but it's also good AND wise to have credit history.

Realize you are two people; 1 is yourself and the other 1 is the company, which the bank will need your personal guarrantee...hehehe, kinda means the same thing, you are one in the same.

Simply put...live within your means but always strive to grow.

Pacific Islander

[Guest Bean Counter]

I think the advice to avoid debt is sound. As a rule of thumb you can never go wrong that way as long as your cash flow is adequate to sustain you through slow periods. Hopefully you become like The /// Man and can use your savings as your own financing.

To address what Pacific Islander said though, the lack of credit history can be a detriment, especially in tight lending times, if you ever do need financing. One solution is to get a line of credit whether you need it or not. Most banks I've worked with don't want you to never tap your line so the easiest thing to do is tap your line for some larger purchases and then turn around any pay your line back down. You will incur some interest expense this way, but you also have the peace of mind of having access to cash in a crunch. I'm new to the board so I don't know the size of most shops on here, but I can't imagine the LOC would need to be too big.