Small Business Loans

[tiecollector]

I'm looking to open up a small business and would like to take out a loan of some sort. Where is the best place to go? What should I look out for?

Basically, I don't own my own home or have any assets really. I have really good credit and that is about it.

 

[nightowl6261a]

Capital One, they will almost give $50K to anyone unsecured based on the credit score for a Small Biz loan....especially with no assets this may well be the best, and the rates are generally good.

 

[Tck13]

Originally Posted by tiecollector

I'm looking to open up a small business and would like to take out a loan of some sort. Where is the best place to go? What should I look out for?

Basically, I don't own my own home or have any assets really. I have really good credit and that is about it.

How much money are you interested in borrowing?

 

[tiecollector]

Need to find out for sure, I'm hoping no more than 30K.

 

[Tck13]

Originally Posted by tiecollector

Need to find out for sure, I'm hoping no more than 30K.

There are several ways to do it. As nightowl mentioned, a small amount (like $30k) can be done on personal loans, credit cards, and such. Or, you can go to the small business association (SBA) and they will provide business loans but you'll need to have 20% of your own money. In other words, for a loan of $100,000 you'll need $20,000.

Finally, depending on where you live you can get help with SCORE (Link)(free business mentoring / help / counseling from experienced, usually retired, executives) or local universities usually have excellent classes in developing business plans and they will point you in the direction for financing once you find out what you need. A tight business plan will help tremendously both in the success of the business and finding out what the exact amount is that you need to borrow.

 

[GQgeek]

Aren't there government programs that deal with this as well? I know that's the case in Canada.

 

[dpw]

look on web for nxlevel.org. they may have classes in your area...great business plan material for small companies

 

[Toiletduck]

what business are you planning on opening up?

 

[tiecollector]

I have some old retired pros who will tell me what I need to get started. I want to start a flowershop and may need more money than that since I may end up being the sole proprietor. There is relatively little overhead in starting a flowershop though.

I am going to meet with people later this week. I'll let you know how much they say they think I need.