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    3 Replies Latest reply on May 13, 2008 11:08 AM by bizconsultant

    Business startup in jeopardy from line limit change

    pt_guy Newbie
      I am a physical therapist opening a private practice. I have been and intended to continue to use part of my home equity line of credit to help finance the startup phase. Everything was moving along smoothly until last week when the bank lowered my line of credit significantly without warning. The reason cited was real estate values changing. Now I'm two weeks from opening and my startup capital is 80% lower than expected. I have ten years experience running the same type of office as my new practice and in the same geographic location. The business plan is solid and I have the referral relationships to get patients. I'm just stuck in a tough situation because of the line of credit change. Could anyone give me suggestions as to where else I might find additional capital? I originally had trouble qualifying for an SBA loan because of the previous limit on my home equity line (even though I had more than half of the limit available at the time).

      Thanks.