Personal loan to invest in my business

Options
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: 3,511 Forumite
    First Anniversary Name Dropper First Post
    Options
    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 start date 1/3/23.

    Starting balance £66,565.45

    Current balance £63,787.16

  • Sncjw
    Sncjw Posts: 3,511 Forumite
    First Anniversary Name Dropper First Post
    Options

    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 start date 1/3/23.

    Starting balance £66,565.45

    Current balance £63,787.16

  • MEM62
    MEM62 Posts: 4,786 Forumite
    First Anniversary Name Dropper First Post
    Options
    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: 1,448 Forumite
    First Anniversary First Post Name Dropper Combo Breaker
    Options
    Nope not going to happen. 
Meet your Ambassadors

Categories

  • All Categories
  • 343.7K Banking & Borrowing
  • 250.3K Reduce Debt & Boost Income
  • 450K Spending & Discounts
  • 235.9K Work, Benefits & Business
  • 609K Mortgages, Homes & Bills
  • 173.3K Life & Family
  • 248.5K Travel & Transport
  • 1.5M Hobbies & Leisure
  • 15.9K Discuss & Feedback
  • 15.1K Coronavirus Support Boards