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    2 Replies Latest reply on Dec 4, 2017 6:19 PM by Moderator Rebecca

    Starting an LLC and obtaining a loan for commercial space

    REBiz Adventurer

      I am interested in establishing a Limited Liability Company.  As a new business with no startup capital, the only way I can afford to fund the business is through my own personal capital,  I can afford to file for and obtain the LLC with all requirements as well as to obtain a private mailbox for the business address.  However obtaining access to a lease or preferably ownership of commercial real estate is cost prohibitive in this market without a substantial loan.  Considering the business needs commercial space to function, the only thing I can do right now is to establish business credit and time longevity of the business but with no real assets or income.  How difficult is it to obtain a substantial loan for a business that had been created but is not operational assuming business credit has been successfully established?  Or what other steps do you recommend that I may be missing or overlooking to put me on the right path?

        • Re: Starting an LLC and obtaining a loan for commercial space
          Donald Jennings Wayfarer

          That's the same problem everyone has, we all want money, in the form of a loan, line of credit or grant. I would say you need a 3 or 5 year written business plan to make your case.

          2 of 2 people found this helpful
          • Re: Starting an LLC and obtaining a loan for commercial space
            Moderator Rebecca Guide

            Hi REBiz! 

             

            It's a good idea for anyone starting a new business to contact your local chapter of SCORE.  S.C.O.R.E is an organization made up of business executives and entrepreneurs, They offer free, confidential counseling and education on almost any subject that a small business owner may need.  They also provide mentoring for you and may be aware of various other contacts and funding outlets available for your business that you have not thought of.  For example, did you know there were special loans available for veterans, seniors, women and other groups?  Once you are assigned a mentor, they will discuss all the options available for you, and the paths to explore those options.

             

            Also, as Donald stated, you will need a business plan. We have an excellent guide available that will be helpful in that process: Guide: How to develop a business plan.

             

            Please feel free to browse our expert articles, where you will find some great articles, tips and advice from some of the best small business experts in the world.  Also, continue to browse through our discussion forums, ask questions where you can and feel free to jump in with any advice of you own.

             

            We look forward to hearing more from you and about your business.

             

            Cheers,

            -Rebecca