Hello,
New guy here first time posting.
I have been self employed for the past four years running a Plumbing and Excavation shop. The housing started to suffer in my area last Fall and now I want to Purchase a existing Hardware Store. I have been doing my Due Diligence all winter, Made a offer. Now I have a number to take to the bank. The Store is profitable with Real Estate along with 3 rentals upstairs. My family and I will have to relocate which is no big deal.
I have been trying this winter to sell off my Heavy Equipment and Trucks to cover my 10% Down payment when we go looking for financing. The problem is with the Economy I am having a tough time moving the equipment. My target was to put $60,000 down. I do have upwards of $110,000 in Owned Equipment. I have a Credit Score of 762. I did build my own house so I do have equity built into it.
Will a traditional bank look at my equipment as Usable Collateral to move forward on the Purchase. Get into the business and than try selling off the equipment and use the money to put towards the loan?
I am using the Hardware Chain Representive as my middle man. I have a Business Overview, Business Plan, Resumes etc. I am ready to go. What will the bank say??? Any help will be very appreciated.
