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    15 Replies Latest reply on Jul 21, 2010 11:29 AM by dhaveji78

    Data Center Startup Business needing advice.

    DataCenter Newbie
      I am currently looking at starting my own Data Center business. I do have cash for the deal but not all of the cash required to get it going. Would an SBA loan be my best option for getting the cash for this project? If so could a contract help leverage the amount of cash you would need. Example my the contract would be for 100K a month and has an EBITDA margin of 25%. This DC would only be 30% occupied with more space for future growth. The DC will cash flow once it is up and running the problem is during the construction phase it is going to need cash to get it going. I am looking at leasing most of the gear and spending the cash on installation of the gear. Cash required for the current contract would be in the 1.5M to 2M dollars. This give you working capital too for the first 3 months once the Tenant is in and running. Great opportunity do not want to see this thing get away.