I have what I think is a great business idea. I've been researching it for over a year and I'm now working on specifics and writing a business plan. I'm a single mother of 2, ages 12 and 14 so they will only be at home a few more years. My credit absolutely sucks and we are sharing a house with my mom that is one gust of wind away from falling down. They are ashamed to have friends over and I don't blame them. I would like to give them a decent home/life again while they are still around to appreciate it, but if I go the conventional way by cleaning up my credit, etc. it will take years. By the time I accomplish anything, they will be off to college.
My question is this: Does anyone out there think I am crazy for hoping to find someone who will loan me $225,000 for a home, business and to pay off debts? The lender would keep the deed to the home and we could have a contract drawn up stating that if I didn't pay the loan off in a specified amount of time, the business would be theirs.
It's a really good business idea in a virtually untouched niche so I'm sure it will be successful. I've never wanted to do anything so much in my whole life. My kids deserve so much better and I'll do anything to make this work.
2006-10-26 06:35:48 · 7 answers · asked by Someday Soon 2 in Business & Finance ➔ Investing
I wish you nothing but success.
However...yeah, I think you're going to have a hard time finding someone to loan you that much money for an unproven idea (no matter how good), and with a shaky credit record. That doesn't mean it's impossible, but it's not going to be easy.
Determined people can overcome any obstacle -- you ARE going to get turned down a number of times, but if you don't get discouraged and keep trying, you may just find someone willing to believe in you and give you a shot. I hope you do.
2006-10-26 06:40:12 · answer #1 · answered by Anonymous · 1⤊ 0⤋
I know that this can be done. You may have a little problem finding someone to loan you the money, though. The bar in my sleepy hometown is owned by what is called "contract for deed." At least this is what I think that it is called. For a fee, the person who already owned the bar in this case, drew up a contract that states that if the owner misses a payment, the bar reverts back to his full ownership. This means that if the bar "owner" misses the very last payment after paying 200 thousand dollars, the real owner gets to keep the bar and the money. I know of others like this that buy houses this way. The only thing that is different a lot is the amount of time and the leniency. I know some people will do this and give you a thing like if you miss or are late on two payments in a row then they get it back. I hope this works out for you. Good luck.
2006-10-26 14:25:06 · answer #2 · answered by opsout 1 · 0⤊ 0⤋
You can probably get the loan because you have collateral however they probably wont lend you more than what the house is worth....and with you credit being low the interest rate will be high...my advise is to shop around ...you never know until you do it just be careful of loan sharks...
Also make sure you prepare a business proposal...a blueprint of you business idea (be very detailed).....you may want to look into government assistance as well....check out this web site www.gsassistance.com
2006-10-26 13:44:29 · answer #3 · answered by teaspoon520 3 · 0⤊ 0⤋
I think it can be done just don't get discourage you are going to need a good co signer with a high score and good income and probably some money and the business plan better be good very detailed and well thought out good luck hope to see you Forbes's
2006-10-26 13:51:34 · answer #4 · answered by blaze67247 5 · 0⤊ 0⤋
You should be able to get an equity home loan for the equity calue of your house. That is about all you can hope to borrow.
I doubt that they would be interested in taking over your busiess if it doesn't generate enough cash for you to make your payments.
2006-10-26 15:01:38 · answer #5 · answered by Ranto 7 · 0⤊ 0⤋
Draw up a professional business plan and it should explain how you will live at least one year if you make no money.
2006-10-26 15:10:06 · answer #6 · answered by Anonymous · 0⤊ 0⤋
sounds good go for it , follow your dream
2006-10-26 16:04:54 · answer #7 · answered by ask me how 2 · 0⤊ 0⤋