Personal loan to invest in my business

I need a personal loan to invest in my business. I think I need between £5,000 and £7,000 (I haven't finished working out the final costs yet), but the problem is that I am disabled and on benefits. My yearly income is about £12,000. I have had a credit card and an overdraft since I was 18 (I'm 36 now), and I have never defaulted on any debt, so my credit score should be pretty good. I have a £5,000 loan which is partway being paid off and was a startup loan for my business.

I signed up for the Money Saving Expert Credit Club. Still, because I have moved in December 2021, I think it needs to wait for electoral vote registration to go through as it is not letting me authenticate with Experian at the moment. Maybe if I wait for a little bit, it'll update? I've already changed my address with the bank (which is my current account and credit card supplier).

Can anyone give me some advice on whether this is possible or not?

Comments

  • Sncjw
    Sncjw Posts: 3,558 Forumite
    Part of the Furniture 1,000 Posts Photogenic Name Dropper
    Nope not going to happen. Your on 12k a year so that's how much your debts will be if you get this loan.

    Are you making any money at all in the business. How will you service the loan 
    Mortgage free wannabe 

    Actual mortgage stating amount £75,150

    Overpayment paused to pay off cc 

    Starting balance £66,565.45

    Current balance £58,108

    Cc around 8k. 

  • Sncjw
    Sncjw Posts: 3,558 Forumite
    Part of the Furniture 1,000 Posts Photogenic Name Dropper

    Also for business you should be applying for business loan not a personal loan. 

    Is the business viable? 
    Mortgage free wannabe 

    Actual mortgage stating amount £75,150

    Overpayment paused to pay off cc 

    Starting balance £66,565.45

    Current balance £58,108

    Cc around 8k. 

  • MEM62
    MEM62 Posts: 5,225 Forumite
    Part of the Furniture 1,000 Posts Name Dropper
    Cromulent said:
    I have a £5,000 loan which is partway being paid off and was a startup loan for my business.
    Cromulent said:
    I need a personal loan to invest in my business. I think I need between £5,000 and £7,000 
    Sncjw said:

    Is the business viable? 
    @Sncjw Based on the above statements from the OP, perhaps not.  

    OP, I think you will struggle to get approval for the extra financing.  Do you have a solid business plan?  Is the business currently profitable?   
  • Sounds incredibly similar to another ongoing thread.
  • Edi81
    Edi81 Posts: 1,492 Forumite
    Part of the Furniture 1,000 Posts Name Dropper Combo Breaker
    Nope not going to happen. 
Meet your Ambassadors

🚀 Getting Started

Hi new member!

Our Getting Started Guide will help you get the most out of the Forum

Categories

  • All Categories
  • 349.6K Banking & Borrowing
  • 252.5K Reduce Debt & Boost Income
  • 452.9K Spending & Discounts
  • 242.5K Work, Benefits & Business
  • 619.2K Mortgages, Homes & Bills
  • 176.3K Life & Family
  • 255.4K Travel & Transport
  • 1.5M Hobbies & Leisure
  • 16.1K Discuss & Feedback
  • 15.1K Coronavirus Support Boards

Is this how you want to be seen?

We see you are using a default avatar. It takes only a few seconds to pick a picture.