way to raise 50k?

pc_wizard

hi there all,


Regards & Happy New Year!
PC Wizard!

Flashfly

Hi PC Wiz,

Your plans all sound exciting. I can't give you any specific advice as to your venture as it's not something I know a lot about. However I am currently trying to raise a similar amount of money and have come to realise that I can't get the whole lot on a bank loan. On an unsecured loan you will struggle to get more than £25k. But with a bit of help from my family, a bit of hard saving, and a bit of money from selling anything and everything on Ebay (and I mean anything!) I am nearly there.

You'll need to give us a bit more info about your outgoings. From your earnings minus the taxi & plate rental I figure that you have about £1600pm left over. Assuming that you only pay a minimal board and lodging to your parents you should be able to save a fair amount each month. Could you save for a while to build a nice amount so that you can borrow less?

Hope you plans go well in the New Year,

Flashfly.

chriz1000

There are several methods you can use to get the money, a combination of some or all will probably be needed:

1) Spend a good week or two preparing an excellent business plan, arrange a meeting with a Business accounts manager, and present your business plan clearly showing the level of borrowing you require. Be prepared for any questions he may have and ask about the Small Firms Loan Guarantee Scheme.

2) Apply for a couple of decent credit cards, read up on this site which are the best ones to go for. You will need one card that can do Super Balance Transfers, so you can transfer the money into your bank account.
Any existing cards you have, let them know you are thinking about buying a car (probably best not to mention it’s a taxi cab, unless they ask) and wanting to use there credit card for this debt, ask them if they can they raise the limit for this purpose. Use balance transfers to your advantage, insuring you get low interest borrowing, all the techniques are on the site.
If you haven’t had much credit history, this might not be the best method since they are likely to give you pitiful borrowing amounts.

3) Apply for personal loans, try companies such as AA loans, try and borrow £25,000 I know the AA should give you feedback if you are rejected for this amount (Which you probably will be) and tell you what the maximum amount they will lend you is. Say the loan is for a car if they ask, which is true since part of the money is for a car? Loan companies generally won’t want to lend you money for a business.

You should be successful, but it does depend on how you approach the business accounts manager, he needs to believe your business will work.
Also how well you can convince the credit companies to help you, this will depend on your credit rating too.
Good Luck!

Mark7799

Can you give a breakdown for what the money is required for? How much for the vehicle, plate and other expenses? If you are trying to raise a sum of this size (very difficult if you are not putting any savings/capital into it) it will be better to try and split the load between more than one lender.

Leasing the taxi may be an option - the lender could then put a charge on the vehicle. Depending upon what the other expenses are then a separate loan/overdraft/credit card facility could be considered. As chriz 1000 has said, a good business plan will also be necessary to help you keep track of the business performance.

jonesMUFCforever

Just a few points to consider, which other posters have not brought up. Does your employer want to sell you his/her business or will you be setting everything up yourself?
Where will you get your fares from if you are going it alone - will this adversley affect earnings? Will you have to employ someone on the switch (I watch Corrie and know the term - I think!).
With your present situation you can get up and leave at anytime - living with parents now - what if you marry or want to live with someone or kids etc and don't want to work nights? Now you can do as you please but if you own everything you are stuck - unless you can re-sell.
Whatever you decide good luck.
Sorry I don't know how you would go about getting £50k unsecured. Have you any savings now?

Doozergirl

Are you in London? I'd be interested to know where you are.

I've been out of that trade a little while now, but surely £50k is more than you would need even for a new cab?

If you are planning on owning a black cab, you can subsidise your income with advertising which should pay you around £1000 a year. Potentially more. They'll also guarantee your paintwork which means it costs you nothing in the long run.