Hi, Im from Pittsburgh PA and I'm starting up a small towing/roadside assistance/notary/ company. I purchased a truck and materials I would need for advertising such as business cards, magnets, and internet credits for google. I'm now left with 10,000 dollars and I feel that there is no possible way I will be able to run a business and succeed without a business loan. I went to Huntington bank and requested a loan for $50,000 which would be used to rent a building, purchase another truck and to have some overhead. Huntington denied my husband and I saying that we have too much debt to income and that there is one derogatory item on our credit report. I have a copy of our credit report and we both have credit scores between 695-740 depending on the reporting agency. The more I've investigated loans I'm thinking I may be better off to request a loan for 150,000 and just purchase a building as oppose to renting, because it seems that it's easier to get a loan that way. I have some concerns though with SBA, because I can't find ANY loan requirements as far as credit goes. I don't want to spend the next three months developing a business plan and doing the SBA checklist if they wont approve me anyways. I'm looking for any help possible or advice for starting a business and some direction as to what I should do next? As far as my background goes my husband and I have submitted all the required materials to the state and already have our LLC, DOT and all other required documents approved. We both have experience in the automotive industy. He has 9 years experience and I have 4 or 5. Thanks
A solid business plan is the backbone of every successful business so,
creating one is really worth the effort. I wish you all the best with the
business.
Would be nice to see how you got on with this, did you take action> where are
you now? sometimes I feel it's just better to get on with it and don't waste
time, otherwise you will be looking back wishing you took action on the
matter..
BizResearcher | Window Shopper |
4/3/2012 - 12:52 am
The SBA guarantees loans, they don't make them. Therefore, you will need to
meet the bank's lending criteria. In addition to SCORE, a counselor at a
small business development center can help you with your business plan and in
the creation of financial statements to present to a lender.
Pittsburgh is a big enough city to have a SCORE chapter. You should contact
them and see if you can meet with one of their advisors. The fact is that
without someone going over the numbers, the feedback will not be enough.
However, I can tell you this much. You need someone that is good with
numbers, and has finance experience to present a compelling argument to the
lender.
The idea that it would be best to buy a property rather than rent at this
stage of your business makes little sense. More debt is almost never the
answer, even if it was easier to get a property loan {and it is not}.
Saying that you do not want to spend the next three months writing a business
plan just to get rejected sounds like you do not even want to try, the fact
is you will need to dedicate far less time than that, but you will need to
spend some time and effort.
janeknaa12 | Window Shopper | 8/20/2012 - 4:10 am
creating one is really worth the effort. I wish you all the best with the
business.
PDLoans | Window Shopper | 7/14/2012 - 3:43 pm
you now? sometimes I feel it's just better to get on with it and don't waste
time, otherwise you will be looking back wishing you took action on the
matter..
BizResearcher | Window Shopper | 4/3/2012 - 12:52 am
meet the bank's lending criteria. In addition to SCORE, a counselor at a
small business development center can help you with your business plan and in
the creation of financial statements to present to a lender.
loanuniverse | Window Shopper | 4/2/2012 - 4:52 pm
them and see if you can meet with one of their advisors. The fact is that
without someone going over the numbers, the feedback will not be enough.
However, I can tell you this much. You need someone that is good with
numbers, and has finance experience to present a compelling argument to the
lender.
The idea that it would be best to buy a property rather than rent at this
stage of your business makes little sense. More debt is almost never the
answer, even if it was easier to get a property loan {and it is not}.
Saying that you do not want to spend the next three months writing a business
plan just to get rejected sounds like you do not even want to try, the fact
is you will need to dedicate far less time than that, but you will need to
spend some time and effort.
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