Home – New Forums Money matters Financing a start up Reply To: Financing a start up

#1176709
onestop
Member
  • Total posts: 15
Up
0
::
Arrowandheart, post: 205783 wrote:
Afternoon all,

I have got to the part of getting my business off the ground and need to get some funds.

I require around 20k to get my business started I have completed a business plan and I’m wondering what I should go to the bank for a loan or a credit card?

Any help and advise on securing finance would be appreciated.

Regards,

It is pretty tough to get such a small loan for a startup business as a Business Loan. There are some lenders that will consider you outside of the mainstream lenders for a business loan of this size but you will require security in the form of real estate. Some will consider cars as security as well.

If you do not have real estate security it would be recommended if you are currently working to try for a personal loan. However bear in mind there is no guarantee you will obtain all the funds you require as these are unsecured and lenders will decide the amount lent based on risk.

A credit card can be a good option for a startup but depending on your financial position you may not get the full credit limit you require in one hit.

Bear in mind every loan application you do (including credit card applications) will be marked on your credit file and will be seen as a negative. It would be in your best interests to consult with a loans professional first to assist you in making the correct decision for your situation.

All the best.
Katherine