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How do i raise capital for starting a business with a bad credit history and no equity or wanting a partner?


How do i raise capital for starting a business with a bad credit history and no equity or wanting a partner?

Starting a business means you need to have a plan. It's the first step. Once you have a plan (Business Plan), you can present it to any potential buyer (bank), who would then possible loan you the money you indicated on the Business Plan that you need. Not always they will loan you it, however having a plan, has them to know what you're after, and how you are going to pay them back. Small Business Loans are the best way for you to get the money you need to start your winning fortunes up.

Try to start your business without a loan. It can be done if you start slowly. Suppliers will give up to 60 days credit on stationery etc so you could do it. See if you can get the history brought up to date when perhaps you are not so bad. I did all this and set up a business and with the help of suppliers I went from strength to strength. When the money started coming in I paid up all suppliers straight away and continued to pay up front with them for future supplies. I also ensured that the bank had a nice float of money in my account with plenty of throughput. My bad credit turned to good within a year. Have a go.
Happy Christmas and good luck with your venture.

Try local government agencies, they are lots of Governement sponsered schemes to help people in business start ups, they can also advise on applying for grants (better than loans since they don't need to be repayed)

Try talking with SCORE. It is a volunteer network of retired executives. They can counsel you on small business lending qualifications as well as discuss your business model.

This is a great resource for someone trying to get started with a business who needs funding.

Despite your credit you may still be eligible for an SBA loan.

First thing is first, you must have a well written business plan to present to anyone you will get funding from. The more specific the business plan the better the responses will be.

You can get money from venture capitalists, which is not having a partner, but does make you owe to the investor.

There are traditional 'loan sharks', but you will have very high interest rates and unless you know you will be very successful it's probably worth it to go that route.

Some people take out credit cards to start a business and charge everything, but there is risk there also obviously.

After writing a detailed business plan take a trip to your local SBA office and dicuss your options with them. The SBA has a lot of answers and a lot of resources.

Good luck.

There are various sources of finance available - some with government support, and some with special funds for those people with viable business ideas but personal disadvantage such as you describe. Get some free, independent advice from your local enterprise agency before approaching any lenders/investors as they are impartial and not tied to any particular "product". You can find your nearest agency at www.nfea.com. Good luck!

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