Start Up Funding

dpooley85

Hi there, I have recently started a new cleaning company in my local area and would like funding for a second hand van (£1200 approx)

Have tried all govt and job center avenues (NEA and community funding) to no avail and have no money to put up front due to start up.

Anyone got any ideas on raising funds because i am out of ideas.

Thanks in advance

Opinion

Personally, I would say that £1,200 isn't a huge amount, so if you can't afford that then perhaps you're trying to run before you can walk.

Pennywise

With it being a physical asset and given the price, your only real options are lease, hire purchase or bank loan.

colino

That is a small amount to be spending on a workhorse, you might be lucky and find a reliable banger, but can you afford to lose that money if it needs repairs soon after? Couple that to the costs of commercial insurance and you may not have worked out your cost/benefit analysis too accurately.
Plenty of cleaning companies scoot around in unloved, (cheap!) spacious Vectras and Mondeos while starting out.

Suarez

If you're super confident that you can make the business work you could use a 0% credit card on a 20+ month deal.

motorguy

dpooley85 wrote: »

Hi there, I have recently started a new cleaning company in my local area and would like funding for a second hand van (£1200 approx)

Have tried all govt and job center avenues (NEA and community funding) to no avail and have no money to put up front due to start up.

Anyone got any ideas on raising funds because i am out of ideas.

Thanks in advance

If the business isnt making enough money at present to be able to purchase a van then i would be querying the purchase of it.

In the short term can you not use your own car or perhaps get a cheap box trailer for your car?

Also, vans need insurance (not cheap) and use quite a bit of fuel over a standard car.

Other than that you're into the realms of using your own finance options - credit card, personal overdraft, personal loan, as i doubt you would get a business loan at this stage.

OR, try the two F's of new business loans - Family & Friends.

fishybusiness

Use a car.

I wouldn´t give a cleaning company a second though if they turned up in a car, it is just normal. Parents and ex have cleaning companies in regularly, and use cars, quite new ones too, I happened to notice!

I used to contract for a commercial cleaning company, they used sign written vans, great for advertising, but at 5k a go they were not cheap.