starting a business / business loans and stuff

Ahoy peeps
Ive found myself in a mid mid-life <strike> crisis </strike> “what to do with myself” dilemma with some possible changes at my current employment afoot that could see me jobless at the end of the year, but its not all bad, in a strange turn of events the latter has also allowed me to find myself with an opportunity to be involved with one of my fav pass times as a job. Silver cloud blah blah blah. The only thing is to do this thing (more details later one when things are moving along more) I’ll need to borrow a fairly sizable chunk of cash to get things up and running. Like 60-70K sizable. So im wondering has anyone had any experience with borrowing cash for a business and can give me any advice as to what to do to prepare to do so, what to look out for in fine print, etc. Ive borrowed before for my car and then my house so im not a complete debt newb, but im not sure if borrowing for a business is any different.
Its super early days in this possible project, I only found out on friday, so Ive only had chance for a quick google but like anything, its hard to get simple, experienced based advice so I thought id ask on here in the off chance anyone is wise in the business money ways

stay rad
trent

Hey mate, the best way to “borrow” money to start a business is to use the equity in your home!!!!! * That’s of course dependant on whether or not you have that amount of equity in your home or not?????

The interest will be not only shite loads better than a business loan, but it will be easier to get, have less fees and red tape bullshit!!!!!

If so, this loan should be setup as a separate equity line account, and depending on your personal situation, who’s name it goes under is most likely info that’s best talked over with hour accountant!!!!!

For example, if you (and this will most likely be the case at least for the first few years) run the business at a loss, and your significant other has a worthy income stream that pays a decent amount of tax, it will be a positive to have the business in her name in order to claim the loss against her earnings!!!!!

But like I said, this is all dependant on your personal sitch, and should be discussed with at least one accountant/financial guru!!!!!

If I think of anythin else I’ll post, or if ya have any other questionable actions, don’t hesitate to ask or shoot me a personal one!!!!!

Either way, best of luck and I’m sure you’ll do it well!!!!!

Ohhhh, and make sure that the loan includes a buffer of sorts “Working Capital”, as this is very crucial in operating a business in today’s “Nobody Pays On Time”, “Unforeseen Circumstances” climate!!!!!

* Just shooting things at ya, even though ya most prob already know!!!!!

Have you thought about seeking investment, i.e., venture capital? There are benefits to doing it this way, I think. It minimises your personal risk and the partners could also bring some valuable assets into the business. Just a thought.

* I also had to make your title a bit shorter because it was breaking the page (and yes, I need to get this fixed).

Thanks mizu, thats exactly the kind of info i was looking for. It gives me a direction to start looking at.
The thing will be a user pays to use kinda deal so I think once im passed the initial setup stages I wont have to worry too much about the ‘nobody pays on time’ issue…........fingers crossed.
Anyhow im sure ill hit you up for more mizu wise-ness in the coming times.

Initially i thought about bringing in investors jezzapants, and will def keep that an option if I need to, but ideally id like to keep it all in my hands and all ,if any profits, padding out my bank account for japow trips etc BUT I can see how it would beneficial and i wont write it off as an idea straight away.

Im pretty excited about where all this could take me!!!

radical
trent

Working Capital can also address issues such as equipment breakdown/maintenance, employee wages/entitlements, low volume periods, etc etc!!!!!

Pretty much every business will have a “kitty” that they can access in order to keep cash flow operating as it should!!!!!

trentradpants - 22 April 2014 04:05 PM

Ahoy peeps
in a strange turn of events the latter has also allowed me to find myself with an opportunity to be involved with one of my fav pass times as a job. Silver cloud blah blah blah.

stay rad
trent

So what you are saying is instead of watching porn, you will be making it? Radical

Kickstarter/crowdfunding seems like a pretty popular option these days. Depending on what you’re trying to market. In saying that I have next to 0 business experience

Azz - 22 April 2014 09:22 PM

trentradpants - 22 April 2014 04:05 PM

Ahoy peeps
in a strange turn of events the latter has also allowed me to find myself with an opportunity to be involved with one of my fav pass times as a job. Silver cloud blah blah blah.

stay rad
trent

So what you are saying is instead of watching porn, you will be making it? Radical

trentnopants?????

Producer / Director, Radpants is married and a Father!!

Gotta take one for the team if ya gonna be an Entreporneur!!!!!

Azz - 23 April 2014 08:30 AM

Producer / Director, Radpants is married and a Father!!

Yeah because of that its just me doing solo shows, with bacon. Im sure it will be a hit, i might even grow a beard to bring some of that hipster coin in!!

K2 will be your best customer!!

Azz - 23 April 2014 08:57 AM

K2 will be your best customer!!

Hobo Jesus has got his own porn site to worry about, remember!!!!!

Don’t bother approaching a bank for a business loan.

I did (before the GFC) with everything in superb detail - the manager even said it was one of the best he’d seen. They still knocked me back and it was considerably less than what your asking. It would have been a wise investment considering GoPro was nothing when I started and they openly copied my marketing strategies to become what they are today.

Follow mizu’s advice!