wWERE DO I GET FUNDS TO START-UP BUSINESS?

[mdkmservice]

I want to start a cleaning business, but i don't have the best of credit, i just went though a divorce. I have 18 yr. in the cleaning business from janitorial to team leader,lead,supv, to housekeeping manager. Now i what to become a owner. I KNOW I CAN DO,I JUST NEED HELP WITH THE FUNDS. COULD I GET SOME HELP OUT THERE? IAM IN FAIRBURN, GA. 4mil. out side Atlanta.

[Kevin]

From an old post, hope this helped




So your going to start your janitorial cleaning service but you need some money and financing. Of course you can go conventional with a bank loan and credit.. But what about some investors. First you have to decide if you want to involve your family and friends, if so bring them on board. Remember the holidays are never the same when you owe your family money. How is business? will be the topic of all conversations, or where is my money bluntly. First lets determine the capital investment needed. Some may disagree but you can get going in this business for under $1000 equipment and supplies. This is not the luxury van, and equipment to start. Just the basic cleaning equipment, advertising tools, uniforms etc. In my opinion you need enough money after you basics for 6 months of living expenses. This I believe is imperative. If your bills are currently $2000.00 a month, I say you need $12000.00 set aside. Why? so you can soley concentrate on your business without the worry of failing on your financial debts. So if you do not have your emergency money set aside. Get it? How about Investors, family or friends. You can write up simple agreements to borrow x and x amount of dollars, in return you pay them back x and x amount of dollars. So with this in mind, and another point I think you should have a couple of personal investors, your chances of success are greater when you owe Mom and Dad, other than owing an entity. Now this example I'm going to use is from Wealth without risk, I think one of the best books I ever read
www.amazon.com/gp/product/0671694030/002-1857171-8898447?v=glance&n=283155

1- Take $1000 to your bank and open a CD, wait two weeks, then ask for a $1000.00 loan. When the bank asks what is the collateral. The $1000.00 CD you hold at the bank and your personal savings or checking accounts.
2- Duplicate this process with 3 or 4 more banks.

3- End result you have $4000 of secured loans, and $4000.00 in Cd`s Now whats the interest rate, you are getting 3.5% a year from the CD, and if you got a good deal on the loan paying 5.5% and for this example well say a 2% difference.

4- Make your payments on time to your loans, and do not touch your CD`s. Use this 4000.00 for financing of equipment needed for your business and making your financial obligations.

5- Worst case scenario, you lost 2%

6- Along with bank loans, your investors family and friends made a deposit, pay them a timely structure of payments.

7-Other ways of gaining funds, You can sell things, garage sale, personal sale of things laying around the house. I would avoid credit cards and high finance lines of credit.

The best thing with having living expenses set aside is, the security blanket feeling. Regardless if something goes wrong you are still going to eat, and have a roof over your head for the six months. You can work daily, as long as you wish on building your business, performing cleaning jobs, advertising, and the daily duties.

Along with family and friends, what about outside investors or partners, has anyone used an outside investor with their service?

usacleaning.proboards30.com/index.cgi?board=membersbusiness&action=display&thread=1135341741

[dustbunny]

You really don't need funds to start one.. Cleaners you use in your own home, a vacuum , and a drive to WANT your business ~