View Full Version : Bank Loans question
10-18-2007, 08:35 PM
I think that I might have found a place to get a loan for my business in the haunt industry. I think the most I can get is $50 grand.
I have checked it it with the BBB and it checks out, so thats good.
I did some reading on some info and it says that payment would start 45 days after the loan is sent to me.
Now I know this is a strange question but I wanted to know for those who have gotten a loan for their new business how did they pay for the payments if haunts do not open until October?
Did you do anything creative to pay the monthly bill or did you pay out of pocket?
Thanks for your help, I know that it's an interesting question.
Ghost River Duck
10-18-2007, 09:25 PM
I've never borrowed money to start a haunt. I'll be headed that way first of the year though. But have you checked to see what an "interest only" loan from the bank would be like? I know many developers who use them to build spec. houses to sale.
10-19-2007, 08:11 AM
Low rate, high limit credit card. Pay the minimum every month and then when October rolls around, get it paid off.
It also help to plan ahead as far as you can. IE, don't buy the $1000 case of light bulbs until you really need to get them. Of course all of the small stuff adds up, but try to plan for the big expenditures a few weeks before open.
Then again, I know some of you guys only build for a month. I don't know how you do it! We start building in late March / early April. Then again, we're all volunteer so some days people show up, others no one.
10-19-2007, 10:31 AM
Thanks guys for the reply. The four things I can see that I would need right away is a hearse, insurance for the hearse, a web site, and a few costumes for parades.
So maybe a lower loan would work, maybe a few grand or so.
If I wanted to take a chance I could do a haunt during a county fair to get the name out and use the profit from that to build and open in October. But I think it is to much of a chance. It's a good idea though.
10-19-2007, 10:39 AM
We have a loan with one annual payment due in November each year. This works great because we pay our loan payment at the end of the season. You might want to go to local banks who understand the local economy. Bring a business plan and all the market demographic info you can. The steps it takes to obtain a business loan will better prepare you for success. ; ) Despite what many say, developing a business plan can be fun! It's one of the first steps in manifesting your dream! Be sure to utilize all the resources on www.sba.gov They offer a number of outstanding FREE online courses! Hope that helps...
Best of luck to you with your haunt business venture!
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