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3 Replies Latest reply: Nov 18, 2011 8:52 AM by Bridge RSS

Do I look for investors or the Bank- International Business

autosghana Novice
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My business wants to take bank guarantees and letter of credit as a formal form of payment because it gives our customers more security as the business is international. We financially are not there yet as to how expensive the cost of vehicles could be when it comes to purchasing before getting our money back from the bank. With a 100% purchasing cost deposited we will have to pay the cost of the vehicle for our customers which could range from 3 to 5 cars a day with an individual average purchase of about $7000. Does anybody get an idea of what I am saying?

  • Re: Do I look for investors or the Bank- International Business
    Expert
    Currently Being Moderated

    What exactly is it you are asking?

    I am reading that you want to finance vehicles internationally for your customers at 100% and that you are estimating financing 3-5 cars a day at a average of $7,000.00 per vehicle (so approximately $21,000 to $35,000 cash outlay per day) but that financially, you currently cannot afford to lay out that type of money and wait for the bank to return your capital. Do I understand you correctly so far?

    In the title, you question if you should look for investors or go to a bank, but WHAT exactly are wanting to know?  Are you asking which is the best route to take as far as financing options go or for suggestions on how to get financing direct to the consumer through your business so that you don't have any cash outlay or tied up funds in the interim?

    Either way, it would all depend on the circumstances of your business and honestly I think you may need to provide some clarification and more detail in order to get an answer better suited to your specific needs.

    Thanks!

    ~Moni

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