Bad Credit Agency

How can you apply for a small business loan if your credit is BAD?

Public Comments

1. Some one who can't manage their finances and debts should really think twice about starting a business. They should think three times about starting a business using borrowed money. Running a business is tough - even for someone with good credit and a healthy cash cushion.
2. A small business loan 99% of the time is really a personal loan. This is easy to figure out because they make you sign and be responsible for it personally. I can tell you it is one of the hardest loans to get because it is not secured by collateral. Unlike a car, boat or home, they can't pick it up and drive off in the hopes of getting some of their principal investment capital back. Even more difficult are SBA Loans. The rule of thumb is they will lend it to you (banking institutions) if you don't need it and you better have good credit and a super plan and idea. One possible solution is a co-signor. In the long term of course you should try to re-establish credit. Another possible solution is to "formally" borrow from private investors - even family. A couple of sites that can help you do this include what was formally "Circle Lending" - http://www.virginmoneyus.com/Home/tabid/36/Default.aspx and another is http://www.prosper.com . Good luck on your search. Know that persistence is the biggest barrier to succeeding. Where there is a will there is a way. Successful entrepreneurs make it because they push that much harder than those that don't. Godspeed!