Help with Start Up Loans

[Orla_Erikksson]

Good morning everyone

I'm looking to secure a loan for the remaining 25% off my business funding. I've looked into Start Up Loans but the reviews are a bit all over the place and generally bad- has anyone had experience getting a loan there?

Second question - All my required documents are ready to submit, but I'm unsure if now is best time to apply for the loan. How long can the process take, months? weeks?

If the application is successful is the funding given immediately or can I choose a specific month (for example) to have it paid to my account? I had already started the application process, got through the credit checks but then I had negotiations for a lease fall through so I paused. I'm hesitant to apply before securing a premise, but if the process is a long one I figured it might be worth getting the ball rolling now?

Many thanks for any help.

 

[intheTRADE]

Forum members with more expertise in this area will belong very soon I'm sure, but if I were in your position I would not be applying until you have secured premises

You've already had one fall through, it could easily happen again but this time whilst you've had the funding prior.

 

[Mark T Jones]

Firstly, the only reason anyone would leave a negative review is because they were declined.

You will be declined if:

- you have poor personal credit.
- you fall outside the criteria outlined on their website
- your business plan doesn't stack up (most delivery partners will help with this, but they absolutely won't do it for you)

Other than that, its a fantastic facility.

You don't gave to draw down immediately. I believe the time limit is 3 months but you need to check that

 

[Mark T Jones]

To add - the time factor really comes down to how advanced your plan and projections are. With those in place I'd suggest a fortnight process

 

[Orla_Erikksson]

Forum members with more expertise in this area will belong very soon I'm sure, but if I were in your position I would not be applying until you have secured premises

You've already had one fall through, it could easily happen again but this time whilst you've had the funding prior.

Yes this was my worry too, might be best to wait, Do you know who the Start up loan experts are here?

Firstly, the only reason anyone would leave a negative review is because they were declined.

You will be declined if:

- you have poor personal credit.
- you fall outside the criteria outlined on their website
- your business plan doesn't stack up (most delivery partners will help with this, but they absolutely won't do it for you)

Other than that, its a fantastic facility.

You don't gave to draw down immediately. I believe the time limit is 3 months but you need to check that

To add - the time factor really comes down to how advanced your plan and projections are. With those in place I'd suggest a fortnight process

Thanks for verifying this, with it being govt backed I was so shocked by the reviews. I have pretty decent credit.. except for I do have one missed payment on a credit card due to a Barclay error (i've contacted them and I can't seem to correct it)..

I've been working on my business plan extensively and done quite a lot of research so hopefully my documents are adequate enough and won't take forever to process.

 

[Mark T Jones]

Yes this was my worry too, might be best to wait, Do you know who the Start up loan experts are .

Yes

I am an advisor for Transmit - a delivery partner.

I'm happy to answer questions on here.

If you want to proceed I will either work with you or point to to the best partner. I only work with premise-based businesses who are engaged with planning and projections, you seem to tick those boxes

 

[Orla_Erikksson]

Oh wow I actually found out about Start Up Loans on the Transmit website but I don't know why I didn't just apply straight from your website *head smack*. I just assumed the application would redirect to the main website. My delivery partner now is NWES but I didn't choose it, seems like it was just assigned to me as the most fitting - any idea what they're like? I wonder if I can change as I haven't submitted any documents yet, just passed the credit check stage.

Since I'm contributing majority of the finance do you know if I have to prove the money is there, like show it on a bank statement? Don't mind doing so as its currently sitting in a premium bonds account, just want to make sure I have all the right documents.

 

[Orla_Erikksson]

Yes

The above reply was to you Mark!

 

[Mark T Jones]

Oh wow I actually found out about Start Up Loans on the Transmit website but I don't know why I didn't just apply straight from your website *head smack*. I just assumed the application would redirect to the main website. My delivery partner now is NWES but I didn't choose it, seems like it was just assigned to me as the most fitting - any idea what they're like? I wonder if I can change as I haven't submitted any documents yet, just passed the credit check stage.

Since I'm contributing majority of the finance do you know if I have to prove the money is there, like show it on a bank statement? Don't mind doing so as its currently sitting in a premium bonds account, just want to make sure I have all the right documents.

I don't know them - I'm sure they are good.

You will be asked to prove anything that is central to your plan- evidence of premium bonds is fine

Happy to answer any questions

 

[Orla_Erikksson]

I don't know them - I'm sure they are good.

You will be asked to prove anything that is central to your plan- evidence of premium bonds is fine

Happy to answer any questions

Thank you Mark,really appreciate your help. Is it alright to direct message you at some point? and if its not too much get your opinion on my business plan?

 

[Mark T Jones]

Thank you Mark,really appreciate your help. Is it alright to direct message you at some point? and if its not too much get your opinion on my business plan?

Whilst I'm happy to answer questions about the facility and process - and general business stuff, I'm afraid I wouldn't want to feedback on your business plan- partly because that's the job of your mentor, and having 2 of us doing it would probably just add confusion.

Also because its a service I charge for (unless I'm arranging the loan) which would be a waste of your money

 

[Chris Ashdown]

One thing , with your business plan and cashflow projections, do you show what happens if say sales are 50% of what you expect

 

[Orla_Erikksson]

Whilst I'm happy to answer questions about the facility and process - and general business stuff, I'm afraid I wouldn't want to feedback on your business plan- partly because that's the job of your mentor, and having 2 of us doing it would probably just add confusion.

Also because its a service I charge for (unless I'm arranging the loan) which would be a waste of your money

Very fair point and I completely understand!

 

[Orla_Erikksson]

One thing , with your business plan and cashflow projections, do you show what happens if say sales are 50% of what you expect

Hi Chris, in my projections I've anticipated seasonal fluctuations and periods where there might be a cash shortage. I've included a brief plan of action if that happens - is that the kind of thing you mean?

 

[Chris Ashdown]

With start up's, Meany of the potential sales are just basic assumptions built on little real knowledge unless you have a history in that field

Therefore the lenders will want to know what happens if the sales are significantly lower for any reason, how much can sales figures drop allowing you t0 comfortable still pay the loans

 

[Orla_Erikksson]

With start up's, Meany of the potential sales are just basic assumptions built on little real knowledge unless you have a history in that field

Therefore the lenders will want to know what happens if the sales are significantly lower for any reason, how much can sales figures drop allowing you t0 comfortable still pay the loans

Thank you for the suggestion, I've addressed this briefly but not really in the context of the loan so I'll make some ammendments. I was worried about my plan being too detailed but I guess the lenders will want as much information as possible.

 

[Mark T Jones]

Thank you for the suggestion, I've addressed this briefly but not really in the context of the loan so I'll make some ammendments. I was worried about my plan being too detailed but I guess the lenders will want as much information as possible.

Give them what they need to know - enough to show you have done the research and considered potential pitfalls.

Don't overload with irrelevant detail and, above all, don't turn your business plan into a sales prospectus