Especially in the initial phase, start-ups have little money left. In addition to the investments that are due when starting a new business, the private cost of living must also be met. It makes sense to take out a loan to set up a company. This is the only way to relieve the already tight financial budget.
The hood bank
The first way leads naturally to the house bank. The advantage of this is that the entrepreneur is already a customer here. You know each other, which is an advantage in a personal conversation. However, it is essential that the entrepreneur prepares very well for the interview and also has answers ready if the bank’s clerk has doubts about the feasibility of the business model. At the same time, he should know that there are also government grants for start-ups. In addition, the former bank (Cream bank) also helps with an entry fee. Only the house bank establishes contact with the Cream bank.
A personal loan can also be useful
The amount of the loan depends on the type of company. If it is only a small company, a small loan is often sufficient to set up a company. It can be worthwhile to take out a loan from a private person. The best providers on the net are Across Lender and Spin Lender. The entrepreneur can set his wish here and tell something about his business model.
The private members then decide for themselves whether they want to grant a loan to set up a company or not. Nevertheless, a Credit Bureau exam also takes place here. A good credit rating is therefore essential. But these platforms have a big advantage over the banks, because the self-employed are very welcome here. This is not necessarily the case with banks, because a self-employed person cannot yet have any fixed turnover in the initial phase. The banks are therefore afraid that they will not see their money again, and it is very difficult for them to set up a loan.