Start-up Loan for Limited Company

[seamota]

Hello guys,

I've made my limited company finally and I'd like to start work soon.
I will need some money at the beginning, so could you give me some informations what offer is interesting, where should send request about the loan?

Do you have any bad/good experience?

Regards,
David

 

[Christine Hough]

To start with you would need a full business plan with projected revenue figures and realistic and accurate market data.

You would need to be putting money into it your self.

You may also need to provide security for the loan but be careful.

Bank loans are not easy to get. Many people prefer to fund it themselves through personal card or overdraft. Or look for help to family. But basically wherever you get it from you need to have a robust plan to pay it back.

 

[NickGrogan]

I will need some money at the beginning...

What for?

 

[Christine Hough]

If you are the person behind seamota.com then the site does not have any contact details or refer to the Ltd company. Also your current employers are mentioned - do they support what you are doing?

I have to say the site would not make me look again at your services.You do not way what you did for the portfolio examples.

I don't know what skills you have... were you the banner designer?

 

[seamota]

What for?

People and Ad campaigns.

If you are the person behind seamota.com then the site does not have any contact details or refer to the Ltd company. Also your current employers are mentioned - do they support what you are doing?

I have to say the site would not make me look again at your services.You do not way what you did for the portfolio examples.

I don't know what skills you have... were you the banner designer?

Christine, seamota was just my personal portfolio which I was using before.
Company will have website with full details, descriptions, team members etc.

I am working on everything now, so will be ready soon.

 

[NickGrogan]

People and Ad campaigns.
.

People to do what? Getting a startup loan for advertising is going to be a hard sell.

 

[seamota]

People to do what? Getting a startup loan for advertising is going to be a hard sell.

Generally I will need Project Manager and few freelancers to work. I can use my private money, but I thought will be better when I take a loan.

 

[Christine Hough]

Have you got prospective clients or a target niche?
Free lancers you will only pay for as you use them, so think about cash flow in your terms and conditions.

I would suggest bench marks, with payments at each stage so you have funds to meet obligations as you go on.

Is there is a team of you are you all partners? If so is there not a project manager among them, or will you be operating alone and subcontracting.

By concentrating on cash flow you can minimise your loan requirements.

 

[japancool]

team members etc.

Have you already got those team members?

And how much money are you talking about here?

 

[NickGrogan]

You need a clear business plan, at the moment it's only coming out a little at a time which makes it impossible to answer,

You need a plan with cashflow analysis and a budget, otherwise we are all just guessing.

 

[businessfunding]

The only start up loan that really exists is through the Goverment scheme. Google 'start up loans' and it should take you to a site which, in turn will point you to your local provider.

Other than that banks will look at a term loan which will almost certainly need to be secured against property (after they assured themselves that you proposition has merit)

I agree with the gist of previous comments - look at ways of starting & building a business within your means before saddling yorself with debt.

 

[k100danny]

This depends on a lot of factors but you will 100% need a solid business plan, bank managers don't want to see rough estimates of what you think you will make and also they hate people using figures for other businesses, this is a stand alone business and what other people make in this sector doesn't mean you will.

secondly without sounding harsh you're going to struggle to get a loan for a start up, you may be offered a secured loan but this will go against you personally or property you own. You do NOT need money for contracts or jobs you are yet to be employed to do, this is setting you up to fail. a bank will be more likely to lend the cash if a client comes to you and asks for something, you agree a price and they may forward up to 90% of the invoice for you.

 

[AmmyWilson]

Hi David, all depend on your business worth and what kind of your business there are so many option for you to take loan from bank as well as merchant companies... what they want to know about your business in detail or you can say that a solid business plan.

 

[Carl Mintern]

should be much easier to take out a loan with a years books so he has that in his favour

 

[Chris Ashdown]

Most banks will be looking for you to invest about 50 percent of the amount you want to borrow in cash so they know you are equalling their risk, even angels will want to see a large risk on your side before they invest

What are you offering as a new company which you compeditors and old company cannot do better or cheaper and at lower risk to the customer

You talk about other people but have you priced them into your plans, its hard to pay people who maybe sitting around not fully working

 

[Funding for Communities]

Hi David,

Just from the gist of what you have said I don't think you will find many willing lenders without putting up security unless you go down the personal route and use the borrowed funds for the business.

Mike