Would you prefer getting a loan for a startup or getting an investor?

[Ryu_Ar1]

Would trying to start up the business in your own little way the best option or can you consider bringing a third party into the business who will just serve as a partner that contributes just money?

Looking at the current situation I seem to prefer to do it by embracing investors rather than borrowing for business ideas.

I have experienced the option of making loans to the business that I did even though it was classified as not too failed but when we do it with loans then of course we will be chased to repay the debts that we do which is not a comfort. Although it is true that debt is not bad for doing business, when we cannot control debt properly then indeed this will make a difficult situation for us to go through so that this will have an impact on the business you are doing.

Instead of something like this happening, it will be more possible if you do business maximizing personal capital first and if possible there are investors this is also a good addition because apart from capital support at least with the presence of investors we will be more able to make some good solutions, especially for internal business problems we become have a big responsibility because it is not only about our capital but about the capital of others who become our investors.

[Fredomago]

It depends on the contract. If you can find an investor that isn’t greedy, then that’s a great option because investors are usually better than loans. When you have an investor, if anything goes wrong, it’s his money that goes, you’re not held responsible as he knew the risk. If you take a loan, they don’t care what you did to the money, you have to pay it back. But there are some contracts with investors that can make you consider a loan that you would an investor.

Of course having a contract is a must.You should never do any business with anybody if there is no possible contract, that way everything will put into legality with the presence of a licensed attorney.

Now investors are actually greedy since it’s their money that are being risked in the first place. However, your responsibility here is to act as a business partner, so that you can ensure that everything in your business idea is followed so that the success will be certain, unless if the investor itself will find his own way on achieving the business’ success.

Indeed, that’s all it cost when you have an investor, that’s the major point with which we can say that investors are better than loan because all you have to apply is as much as your intellectual property of the said business, if it fails, you just have to prove that you did your best. But it would be great if you could make it work out because it’ll leave a track record that you’ve done something with an investor and it went well. Just in case you have future ideas and would need investors again. It is something that would boost their confidence.

If you failed ut manage to prove that you already did everything according to your road map then you don't have any liabilities with your investors, unlike with loaning your start up capital, if you failed you need to repay your loan and you are subjected to return the money or else legal actions will take place against you.

It's important to understand the trust you have from your ideas, if you think that there's a big chance that it will prosper along the way, then barrowing money is your option that will allow you to earn everything after the success, unlike with investors they have that percentages with the earnings that your project earns.

[Orekelewa Ade]

I see loaning as set back
I would get an investor to start the business with rather than getting a loan
I know what loaning has done to my parents and I don’t intend getting myself involved with anything pertaining loan .
I’m staying clear off it fr

[Kriptogram14]

I see loaning as set back
I would get an investor to start the business with rather than getting a loan
I know what loaning has done to my parents and I don’t intend getting myself involved with anything pertaining loan .
I’m staying clear off it fr

Borrowing money will make us uneasy with loans and will also make us a burden on our minds, where when we start investing but haven't made a profit, we will continue to be haunted by loan collections. Over time, we will feel uncomfortable with continuous collections. It's safer when we get investors where the profits are shared by both of us as well as the losses we bear equally, and the advantages of our investors are continuously monitored and given good input for our good in trading.

[stomachgrowls]

I see loaning as set back
I would get an investor to start the business with rather than getting a loan
I know what loaning has done to my parents and I don’t intend getting myself involved with anything pertaining loan .
I’m staying clear off it fr

Borrowing money will make us uneasy with loans and will also make us a burden on our minds, where when we start investing but haven't made a profit, we will continue to be haunted by loan collections. Over time, we will feel uncomfortable with continuous collections. It's safer when we get investors where the profits are shared by both of us as well as the losses we bear equally, and the advantages of our investors are continuously monitored and given good input for our good in trading.

If you wont really be having no option or choice then you would really be needing to take up some loan. Just like the rest been saying that getting any investors on line would really be that so hard on which we know that they cant trust up easily people who do make out some propositions about a project that tends to be created or be mold up. No matter how good it would be but still the confidence and assurance would really be something that will really be in question. This is why on the moment that you dont have any thing that you could really be able to go into then you would really be considering on taking up some loan and would
really be that embracing on the risks involved with it, but thats if you are really that serious on making that project into work or would really be something that will be realized.

On the moment that you are really that still that hesitating on such manner then it would really be wise that you shouldnt be pursuing it but rather you do just simply sit and skip
out on trying to make things happen and pursue on other plans that you do have in mind.

[letteredhub]

;

 If you have a well thought out business idea but don't have the needed capital to keep it functional, is getting a loan the best option or looking for interested investors?

Would trying to start up the business in your own little way the best option or can you consider bringing a third party into the business who will just serve as a partner that contributes just money?

A well thought business with integrity to grow it to actualization is very challenging and a lack of finance can be very destabilizing to an individual. From the point of view of my environment I'll say taking a loan wouldn't be a great option for me, just the hassles alone pass through to access the loan seems discouraging not to talk of the conditions attached, and all of these can put the individual in a tight pressure corner while struggling to fast meet up in repaying the loan for a new business that is expected to grow from strength to strength gradually which in some cases could take a few years.

I'll prefer to work with investors that have the funds to invest in to my idea and are very much interested in making sure the idea thrive and with patient. They can as well bring in their won recommendations where necessary in guiding the business idea moving forward unlike the banks or any loan source that it's priority is foremost is in the loan and percentage interest only. The investor can also act as co-members or partners, that's what I think.

[uswa56]

Borrowing money will make us uneasy with loans and will also make us a burden on our minds, where when we start investing but haven't made a profit, we will continue to be haunted by loan collections. Over time, we will feel uncomfortable with continuous collections. It's safer when we get investors where the profits are shared by both of us as well as the losses we bear equally, and the advantages of our investors are continuously monitored and given good input for our good in trading.

When someone takes out a loan without having a clear goal then what they do is certainly not reasonable, but someone who takes out a loan must first have a clear goal before deciding to take out a loan and there are some people who decide to take out a loan to develop their business. If their business is running well, this is very good and in this way the business we are running can develop into a better one and will also be able to pay off the loan well.

Having investors who can help us with funds for business needs will of course make it very easy for us to develop the business we are running to further develop, but they certainly know well that the business we are running will have the potential to gain profits, because every investor certainly has it would be impossible for them to be willing to spend capital on something they could not get a profit from.

[Bright0515]

It is true that taking loan to start up a business is not that encouraging but depending on the business one ventures into. You have to consider the business state, the capital and the profit and lose you will make in the business not every business needs money to grow it up, as a person applying for a loan to start up a business you have to strategically plan know how much profit you will make and how much loss before the period you are meant to pay back you can't make a profit of 100% and pay a loan of 80% it will shake your business.

When you talk about investing do you mean becoming a shareholder or partnering with somebody?

[oktana]

It depends on the contract. If you can find an investor that isn’t greedy, then that’s a great option because investors are usually better than loans. When you have an investor, if anything goes wrong, it’s his money that goes, you’re not held responsible as he knew the risk. If you take a loan, they don’t care what you did to the money, you have to pay it back. But there are some contracts with investors that can make you consider a loan that you would an investor.

Of course having a contract is a must.You should never do any business with anybody if there is no possible contract, that way everything will put into legality with the presence of a licensed attorney.

Now investors are actually greedy since it’s their money that are being risked in the first place. However, your responsibility here is to act as a business partner, so that you can ensure that everything in your business idea is followed so that the success will be certain, unless if the investor itself will find his own way on achieving the business’ success.

Indeed, that’s all it cost when you have an investor, that’s the major point with which we can say that investors are better than loan because all you have to apply is as much as your intellectual property of the said business, if it fails, you just have to prove that you did your best. But it would be great if you could make it work out because it’ll leave a track record that you’ve done something with an investor and it went well. Just in case you have future ideas and would need investors again. It is something that would boost their confidence.

If you failed ut manage to prove that you already did everything according to your road map then you don't have any liabilities with your investors, unlike with loaning your start up capital, if you failed you need to repay your loan and you are subjected to return the money or else legal actions will take place against you.

It's important to understand the trust you have from your ideas, if you think that there's a big chance that it will prosper along the way, then barrowing money is your option that will allow you to earn everything after the success, unlike with investors they have that percentages with the earnings that your project earns.

Who doesn’t think their idea is a big one? If it isn’t, why then would they pitch the idea? For someone to talk about finding investors or taking loan, they are already confident in the idea, after all, you will have to convince the investor that it can be a very successful project before he/she will invest. So everyone always has that trust. Instead you should talk of risk level. Despite how big you think the idea is, you have to consider the risk involved and compare if it’s worth the possible result in the end, etc.

[MissNonFall9]

Would trying to start up the business in your own little way the best option or can you consider bringing a third party into the business who will just serve as a partner that contributes just money?

Looking at the current situation I seem to prefer to do it by embracing investors rather than borrowing for business ideas.

I have experienced the option of making loans to the business that I did even though it was classified as not too failed but when we do it with loans then of course we will be chased to repay the debts that we do which is not a comfort. Although it is true that debt is not bad for doing business, when we cannot control debt properly then indeed this will make a difficult situation for us to go through so that this will have an impact on the business you are doing.

Instead of something like this happening, it will be more possible if you do business maximizing personal capital first and if possible there are investors this is also a good addition because apart from capital support at least with the presence of investors we will be more able to make some good solutions, especially for internal business problems we become have a big responsibility because it is not only about our capital but about the capital of others who become our investors.

Getting someone as an investor for a business is very difficult. But since it is not impossible dealing with investors should be the first priority. If like-minded people are not available as business partners or investors we must resort to debt. Through this we can speed up our business and repay the debt with the profits derived from it. And gradually in this way later again the business scope can be improved by speeding up the loan and repayment of the loan.

[TheUltraElite]

Loans to start it off, once that money is being paid off meaning the startup is being successful, look for angel investors and then go for public investments. However the plans should be clear from the beginning because failure to pay of debts means a huge loss any company and potentially the idea gets wasted until someone else takes over.

This again depends on the scale, how big you expect the business to be. A smaller one might be enough to be completed on a loan and additional next stage funding might be needed only for expansion if necessary.

[Egii Nna]

Would trying to start up the business in your own little way the best option or can you consider bringing a third party into the business who will just serve as a partner that contributes just money?

The best solution is to get a loan if they can give you the amount you want because if you start up with a third party investing in your business, that means he has a share in the business, and any day that he wishes to take back his share, you are capable of losing everything, even if you know nothing about business. I know you will understand this that I will explain. Take an instance of a rich man. They always collect loans so that they will create a passive income business, especially those that engage in real estate. Most of them are not that rich, as it seems like they only lived on loans and no one’s known until after they died. That is when you will know that everything they own belongs to a bank or any loan organisation that they most have loans with. 

So in economics, the approved collect loan to start a business is risky in the sense that if that business doesn’t work, you will end up selling all your valuable items in order to pay off all the loans that have been collected to start up the business. 

[Fredomago]

Who doesn’t think their idea is a big one? If it isn’t, why then would they pitch the idea? For someone to talk about finding investors or taking loan, they are already confident in the idea, after all, you will have to convince the investor that it can be a very successful project before he/she will invest. So everyone always has that trust. Instead you should talk of risk level. Despite how big you think the idea is, you have to consider the risk involved and compare if it’s worth the possible result in the end, etc.

Good point, as for my reply, more on the focus for the risk if what will happen after if you failed that's why I mentioned about the liabilities, but I get your point that for soeone who believes on his idea he will push for it, either to get investors or to barrow money, as he believes that good chance or big potentials is already on it he just need to proceed and see the outcome, and in terms of getting the interest of investors aside from potentials, there's a big need of providing also the risk and make it understandable that it's possible to take place.