Alternative against taking business loan

[Sotherefore]

Personally I don't just want to be in a position of getting a loan to start up a business because I understand it within me that is not the right action and there is a possibility that I'm risking my life and my business.

 

[Senator]

Most of us do know the risk associated with working on a loaned money. I will rather that I seek help for money from family memnfes as well as from my numerous friends around me

 

[tyrim88]

Banks consider healthy and well-established cash flow as one of the key indicators in the ability to pay off existing debts. Business owners may have difficulty getting a loan from a bank if the company’s operating costs outweigh the money that is entering the business.

This is one of the reason why a lot of financial institutions would not like to give loan to most busineses.Because they would like to see a good balance sheet and also a verifiable collotaral.

 

[YERUS]

If you are keen to start a business but have no starting capital, then there are some alternative options rather than taking out a business loan.
Firstly, have you considered starting off with a business that doesn’t require much capital that you could perhaps self fund? This will allow you to earn some money and then invest your earnings into the larger idea. Always my preferred option!
Secondly, think about taking on a business partner. There will be people out there who want to partner into a business but don’t have experience in business, but do have capital. Discuss an equal partnership. You can often find these people on message boards and forums. They will probably even bring their own set of skills to the table!
Lastly, if you are adamant on taking out a business loan, then consider purchasing an established business.
There are many sites where people list established businesses for sale, and if you can find one in the area you’re looking to work in, then this may be an option for you, because with an established business, you will be able to ask for accounts and be sure that the loan repayments would be covered before taking out the loan.

It is very difficult not to resort in loans when you have run out on other alternatives.
Obtaining a loan to start a business is one thing i detest, The type of difficulties experienced in trying to repay the loan plus the interest is horrible.

 

[nimzy]

Yiu have make a good point. to me there are better and more recommendable alternatives that are more profitable than taking loan. loan to some extent i sees it a way of making business not to move forward effectively because there will.be alot of money spend on servicing the loan.

 

[Yhubee]

You could work and save up money for your business or you could borrow from friends and family which can be returned at an agreed date

 

[Ralphjoe]

If you are keen to start a business but have no starting capital, then there are some alternative options rather than taking out a business loan.
Firstly, have you considered starting off with a business that doesn’t require much capital that you could perhaps self fund? This will allow you to earn some money and then invest your earnings into the larger idea. Always my preferred option!
Secondly, think about taking on a business partner. There will be people out there who want to partner into a business but don’t have experience in business, but do have capital. Discuss an equal partnership. You can often find these people on message boards and forums. They will probably even bring their own set of skills to the table!
Lastly, if you are adamant on taking out a business loan, then consider purchasing an established business.
There are many sites where people list established businesses for sale, and if you can find one in the area you’re looking to work in, then this may be an option for you, because with an established business, you will be able to ask for accounts and be sure that the loan repayments would be covered before taking out the loan.

The only alternative to taking bank loans is getting contributions from your family members for you to start up your business and this is the most safest way for you to get money to start up a business instead of having to take a loan from Bank that have high rate interest.

 

[Ellamma]

There are other alternative beside taking a loan to start up a business. I'll suggest one opt out for contribution from family and friends. Family and friends can contribute for you to start up a business...or you can decide to save some money

 

[Oliver4smile]

If you are keen to start a business but have no starting capital, then there are some alternative options rather than taking out a business loan.
Firstly, have you considered starting off with a business that doesn’t require much capital that you could perhaps self fund? This will allow you to earn some money and then invest your earnings into the larger idea. Always my preferred option!
Secondly, think about taking on a business partner. There will be people out there who want to partner into a business but don’t have experience in business, but do have capital. Discuss an equal partnership. You can often find these people on message boards and forums. They will probably even bring their own set of skills to the table!
Lastly, if you are adamant on taking out a business loan, then consider purchasing an established business.
There are many sites where people list established businesses for sale, and if you can find one in the area you’re looking to work in, then this may be an option for you, because with an established business, you will be able to ask for accounts and be sure that the loan repayments would be covered before taking out the loan.

Well, I live your first option because there is this saying that all great things starts small, so it is not bad to start somewhere at first. However there are business that requires a lot of money to start and it is sure if you can raise the money, the you will make profit.

 

[Heatman]

Getting a business loan is the last advice I would give to anyone but when it becomes very paramount but you must get the loan, you should try as much as you can to analyse the possibility of your business paying back the loan when it's due in order for you not to lose your property that you used for collateral.

 

[Ghost]

Since taking a business loan can have a negative effect on the future of a business then other options such as grants frim friends and family, government grants, or getting a partner with the ready funds.

Also selling of asset is there. But there are times all this factor is not available for an individual, shouldn't the person succumb to taking loans?

 

[Stylex]

is simple , taking a loan is simple but we find it hard to take it back ,that's the problem in taking loans, I don't want to a loan to start up a business ,but rather start it small and later on develops

 

[Seno inyang]

If taking business loan is not encouraging based on some policies that an average man may not be able to consider then an alternative for taking a business loan should be:
You can come across business lenders that offers a small amount of loans with shorter term and higher interest rate.

 

[Good-Person]

Taking business loan is very risky. I always advised people that want to go into business to always save or invest first before starting a business. The worst is to run to their families and government.

I do not think that anyone should take the risk of borrowing money in order to get a business started. I think the only great way to start a business without loan is to save money and start a small business using the limited capital you have.

 

[Adebayonle7]

Wth respect to point 1, some businesses do not require much capital for start, you have suggested self funding to that respect, you seem not to address the situation of those who have 0 balance in their accounts.
The best suggestion I can give is for one to find a job doing whilst saving from such job. You may as well source from families.

As regards the skills, you are very right, you can advertise your skills online and get to save from the money you make from such skills.

I don't suggest partnership because one of the partners may end up working for an ulterior motive thereby killing the business.

 

[Mayox25]

When one is desirous of starting a business and there are no capital there are options to look out for.
The option of going into partnership can be considered, looking for investors to invest in one's business ideas.

 

[Toyoabasi]

Self fund, that is always my preferred option too!
Most times it is difficult sourcing for capital, it is best to take up a business that requires low capital than to opt for loans.
One can also apply for grants from the government or opt for a partnership.

If you are keen to start a business but have no starting capital, then there are some alternative options rather than taking out a business loan.
Firstly, have you considered starting off with a business that doesn’t require much capital that you could perhaps self fund? This will allow you to earn some money and then invest your earnings into the larger idea. Always my preferred option!
Secondly, think about taking on a business partner. There will be people out there who want to partner into a business but don’t have experience in business, but do have capital. Discuss an equal partnership. You can often find these people on message boards and forums. They will probably even bring their own set of skills to the table!
Lastly, if you are adamant on taking out a business loan, then consider purchasing an established business.
There are many sites where people list established businesses for sale, and if you can find one in the area you’re looking to work in, then this may be an option for you, because with an established business, you will be able to ask for accounts and be sure that the loan repayments would be covered before taking out the loan.

 

[Laurentta]

There are other alternatives than taking loan in starting a business. For example, one could search for investors. They are many people out there without business idea or those who do want to go through the stress of running a business but they are looking for business to invest their money into.

 

[joy101]

I don't really think that taking a business loan to start up business is not bad depends the kind of business you really want to start, going for loan is not bad idea.

 

[Sotherefore]

I don't really think that taking a business loan to start up business is not bad depends the kind of business you really want to start, going for loan is not bad idea.

I don't really understand what you're trying to say, does it really mean that you are in support of taking a loan to start up a business or not because personally I can never imagine taking a loan to start up anything.