Major challenges to start a business with loan.

[Hammad1245]

One of the major challenges of starting a business with loan is the fear you have. Try not to start a business with loan because you will have to return it with interest.

 

[Ralphjoe]

Starting a business with loans is not advisable especially if you are not too knowledgeable about the business you want to start, as a rookie in the business world, the best method to source for funds for your business is through personal savings and contribution from families and friends.

Loan for Businesses are mostly good for experienced business owner who wants to expand their Businesses as they are very knowledgeable about the business already. These are the people banks mostly grants loans.

 

[Josemendez]

One of the major challenges of starting a business with loan is the fear you have. Try not to start a business with loan because you will have to return it with interest.

Well , this is not quite ideal . If the business is a good one that you have seen the feasibility . Yes ,you will pay interest ,but after paying of the interest , the profits from the business becomes solely yours . This is the benefit from taking loans when you don't have enough to start from your own

 

[btaliat]

To be honest, In all ramifications, it is not that advisable to start a business with bank loan. Business is unpredictable, it may yield profit or loss depending on various factors. Inability to repay loans secured from bank may put the business owner in problems he doesn't even prepare for.

 

[MastetG]

Don't ever try to use loan to start a business rather use loan to grow a business
because by that time you are sure of were the money is going
and I will tell you a story of a friend
who use loan to start a business he do not know the future of
so at the end he regret it because the business later crash
so I don't advice anybody to collect loan to start a business

 

[Adeyoola7]

if you're starting a business, it's virtually impossible to get a loan from a bank or online lender in your company's first year. Lenders require cash flow to support repayment of the loan, so startups are typically disqualified from financing.

 

[Ibrahim]

As for me it's really a bad idea using loan for business because it's really very wrong and if care if not taken the person will run the business on lost because as he or she running to pay up the debit from the sales he or she made then he or she will also be thinking of getting another loan because he or she won't gain anything from it, it's very bad and don't even try such thing because it's what have withness and later you will just see it that the person doesn't sell anything anymore

 

[Tunnexisco]

One of the major challenges of starting a business with loan is the fear you have. Try not to start a business with loan because you will have to return it with interest.

Your point is actually seconded by me, i also believed that starting business with loan could be another source of problem to your business development, if it is based on daily installmental returns, but it could be profitable only if the loan refunding is based on long term returning terms that does not require higher percent of interest. It is always better to consider the terms and conditions attached to loan money before applying for any, so as to avoid problem of business liquidation in the future.

 

[jenellei]

Starting a business is already risky specially if the competition is tough and the plan is not that solid. Therefore, using a loan to start a business is even more challenging. Once the business failed, paying the loan would be a big part of the problem. It's like doubling the risks and the pressure.

 

[joy101]

One of the major challenges of starting a business with loan is fear, but is not advisable if you are not knowledgeable about the business you want to start. So you have to know the kind of business you want to do before taking a loan.

 

[Ojonuyo]

Yeah, I agree it has much disadvantages compare to it advantages. Starting a business on a loan basis , put your business under certain financial stress and challenges. And when the business is just starting up it might be hard to really make huge profit within short period of time before paying back the borrowed loan. Most times it is advisable you save your own personal money for your business rather than getting loan. And most preferable you can go into partnership to actualize profit.

 

[Aniwhyte]

I would not advise anyone to start a business with a loan, most especially if he or she is into such line of business newly as you're not sure yet if the business would be able to stand the test of time. It is quite very risky to begin a new business with a loan, i won't in anyway advise that.

 

[Gilead]

I believe starting a business with loan could be quite good as well as the other way round. The major challenge of one taking a loan for ones business definitely starts from the feasibility study of such business!..
If the feasibility study of a particular business is positive then,this should reduce the feeling of insecurities one may have concerning taking the loan but if not,then one will be very concern about such business.

 

[Nurudeen]

I can't ever advice some one to set up a business with loan because the loan will come with interest which they will want you to start paying back immediately you start the Business which is not possible. As a newbie in any business, you need to give the business some time grow and establish itself in your niche but where you got loan from won't want to understand

 

[Golden_ear]

I will not even advise a business man to start his business with loan. When you start your business with loan, you start paying back with interest and it might cause business failure. So even if you have means to do business with loan, you need to be extraordinary careful for business to grow well.

 

[Oscar]

The biggest challenge entrepreneurs face when starting up a business is the problem of getting sufficient capital but obtaining a loan to start up an unproven business is a bad idea especially if you are a newbie in the business world.

 

[GoldenLady]

Instead of taking business loans, try to save as much as you can, and start small.

People usually need loans for business if they want to start on a large scale.

Also, most of these people have no experience whatsoever on business.

Doesn't that just smell like failure?

 

[chalcedony8]

Starting a business with a loan is one of the major set backs that affect present day businesses, when one starts a business with a loan, the growth of such enterprise is very slow or might now even grow at all, loans should be used to finance an already existing business and not to start it.

 

[Harisstech]

Well , this is not quite ideal . If the business is a good one that you have seen the feasibility . Yes ,you will pay interest ,but after paying of the interest , the profits from the business becomes solely yours . This is the benefit from taking loans when you don't have enough to start from your own

Starting a business with loan is very risk, because the business itself is risk, there some certain things to consider when planning to establish a business. The first thing is business plan , and. The other to consider is completion. So when you start a business with loan that you will pay back with interest, the expectations will be too highand if you fail to meetup will the demand, thsle business will eventually fail and this will lead to debit,

 

[chalcedony8]

starting a business with a loan is not advisable, cause it ties down the profit of a business, all the profit you get from selling will be used to pay back the loan, profits that is suppose to increase the business and also live on will now be directed back to paying loans, there's no way such business will grow, and the owner of the business self won't grow financially.