funding??

[bloop]

i posted on here a month or two ago that i had a chance to buy into a bingo hall.I was able to get the guy to agree to let me purchase the place and all the equipment under his asking price and make payments on the rest.However i am short about $5,000.I'm pretty sure i can't get a loan so i'm lookin to see if anybody has a link to potential investors?I remember seeing on here before about people who will lend you the money and ask for it paid back with intrest but can't find it.Any help would be appreciated

[Nazreen]

Hi Bloop, welcome back.

Are you referring to the thread on Online Loans (http://www.businessadviceforum.com/showthread.php?t=1236). Why don't you try going for a bank loan first? The interest rates for online lines are about thrice that what the banks are charging. Anyway, there's no harm in trying.

If you really can't get one, especially with banks getting stricter in lending money due to the current financial crisis, you'll still have online loans as a last resort.

[Fergal]

Hi Bloop, looks like Nazreen has given you the link you need and some very helpful advice.

Have you spoken to your local bank?

[Nazreen]

When you borrow money to fund your business, this is usually referred to as debt financing. This will involve borrowing money from banks and creditors, online creditors, or you can even approach your family and friends to borrow from them.

There is also something called equity financing. This doesn't necessarily mean that you can't do this because you're still starting and your business isn't even listed. If you're just starting your business, you can approach potential investors who will be willing to invest in your business endeavor.

There's also a third and this involves getting a job. If you already do have a job, you might also do some moonlighting to earn that extra cash to fund your business.

[scifi]

Hi! Bloop
I think a group of people called Angel Investors can solve your problem of funding.
Angel Investors are High networth individuals who provide seed money.
Try searching for one of them in your area.http://www.angelgroupnetwork.com/
This is the link of one such online group....
You can find many more on the net...

[Kay]

i posted on here a month or two ago that i had a chance to buy into a bingo hall.I was able to get the guy to agree to let me purchase the place and all the equipment under his asking price and make payments on the rest.However i am short about $5,000.I'm pretty sure i can't get a loan so i'm lookin to see if anybody has a link to potential investors?I remember seeing on here before about people who will lend you the money and ask for it paid back with intrest but can't find it.Any help would be appreciated

bloop, have you tried your local council to see if they have anything geared towards supporting small businesses? If you're in the UK, the Citizens Advice Bureau would be worth visiting too and also any local chamber of commerce groups for small businesses to get to know other business people.

[Fergal]

Good suggestions Kay. If you're in the UK you could also contact your local National Enterprise Agency, more info here (http://www.nfea.com/index.htm?page=find_lea.htm).

[Nazreen]

I've just gone through the NFEA Membership - Benefits and opportunities (http://www.nfea.com/content/NFEAMembershipBenefits.pdf) but I didn't read specific details on how NFEA provides funding, Fergal.

Anyway, it's good to know that there are non-profit organizations out there that are willing to share their knowledge and expertise to help small and medium-sized enterprises.

I've read somewhere that in some countries, there are also non-profit cooperatives who offer loans with lower interests than that of a bank's. I think that Bloop should also look into this.

[Fergal]

Nazreen, thanks for pointing that out and sorry for not being clearer. The agencies that help small businesses are the National Enterprise Agencies (NEA).

The link I posted is for the National Federation of Enterprise Agencies and the map on that page shows you how to get in contact with your local NEA. So if you were in Durham for example, and you clicked the Durham region on the map you would be brought to this page (http://www.nfea.com/index.htm?page=find_lea/northern/durham_city.htm).

I hope that's clearer.