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    9 Replies Latest reply on Apr 14, 2014 2:44 PM by logan3018

    Startup Business Loans....?

    lisa13us Adventurer

      Hello all,


      How to start a small business and what are the advantage of start up business loans. Please suggest me....


      waiting for your reply.



        • Re: Startup Business Loans....?
          Moderator Berta Guide

          Hi Lisa,


          I would first suggest checking with the SBA on what all you need to do to start up a business. They have lots of great information & guides. Have you checked the market in the area you are thinking of opening your business to be sure that there is a market for the service/product that you will be offering?



          • Re: Startup Business Loans....?
            Kirsten Clark Adventurer

            If you’re applying for a loan from a bank it’s important to prepare a Cash Flow Projection. This tool, as part of your financial package, will explain just how you plan to use the funds you are receiving and how you plan to pay back their loan. This is an important exercise and provides the necessary information the bank needs to make their decision.

            • Re: Startup Business Loans....?

              Hi Lisa13us,


              Tell us a little about yourself. There are many different ways of starting a small business depending on what kind of business it is. My first question is, do you have a business plan and an accountant?



              • Re: Startup Business Loans....?
                brittney23 Wayfarer

                Hi Lisa ! I'm with EMG and our company looks for small to medium sized businesses everyday! Our objective is to help you build your business from the ground up and our services are designed to actually generate MORE income every month! One of our services is a cash advance to get you started! Feel free to email me at

                • Re: Startup Business Loans....?
                  phanio Pioneer

                  Two things:


                  1) starting a business is about providing a product or service to a segment of the people that are not getting their needs met or are being undeserved. Thus, you have to to conduct a feasibility study on what you plan to offer consumers. It can't just be something you want - it has to be something they want.


                  2) No traditional lender will provide you a start up loan. They just don't do it because of the risk. This means that you either have to offer something from your personal life - personal income or personal assets to secure the loan or cover the payments. Even those alternative lenders will still require something to back the loan - personal income, personal assets or financial assets that most start up businesses just do not have yet. Thus, to get financing for your new endeavor, you have to think about and research the many bootstrapping options that are out there.

                  • Re: Startup Business Loans....?
                    koln123 Tracker

                    As has already been mentioned in the replies, a great deal of the answer in the "how" to start a small business depends on some basics.  What type of business is it?  Will you be starting it mostly on your own, or will there be other owners that have varying expertise?  How much do you roughly need to start it?  Will it require a business space or retail location?   More often than not, a start up loan is either needed, or it is not needed, rather than it being an advantage to get one.  There are advantages of some types of loans for newer businesses versus others.   It could be argued very well that if start up money is needed, getting it through the SBA would be ideal, though not easy.   Typically they do not give 100% working capital.  There are conditions on how it must be used.  In many cases, it may be to one's advantage to use an existing line of credit if there is one, over an investor that wants ownership and a % of profits for X number of years.   Good Luck SBLD

                    • Re: Startup Business Loans....?

                      Hi Lisa13us,


                      You might want to try our great tool  here in our small business community that may be helpful as you consider options on How to Raise Capital ?  Once you complete the module you will have an action plan of what may work best for your business depending on your individual circumstances.  Let us know how things are working out for you.

                      Good luck!


                      • Re: Startup Business Loans....?
                        Tran Nguyen Tracker

                        Hello All,


                        As an accountant, I agree with Phanio. I'll address this in portions.


                        How to Start a Small Business:

                        From the ground up, you would need a business plan, a service/product that consumers want, and a good amount of start-up capital. You then have to decide on what filing your business will be under -- as this will determine your taxes (Limited Liability Corporation, S-Corp, or C-Corp). Let me know if you have questions regarding the differences between the filing status.


                        How to get a business loan for your new business:

                        There are several ways to go about this. As Phanio stated, having a business plan, a model of how your business would work, and why you think it would succeed. Traditional banks will look for feasibility as this means "Regularly Repayment Schedule".


                        However, having an accountant helps this process significantly. Any accountant worth their salt, will have a vast network of referrals that they can send you to. Being referred to a bank that the accountant uses personally or have great amount of dealing with, will greatly increase your chance of getting a loan.


                        Finally, do not think of loans as solely coming from a bank. Having investors is another type of loan -- one that you can state the repayment method on.


                        I hope this helps. Let me know if you have any questions.


                        Tran Nguyen