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Thread: Business financing

  1. #1
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    Angry Business financing

    I have an excellent business opportunity requiring around R200k investment to realize a first 12 month gross of around R1.3 mil. I have a good business plan, but although all the major banks label it as "Excellent", I cannot get any financing for it. Reason: I lost my construction business (of 20 years hard slog) 2 years ago to this recession when the interest rates started rising, and have no security now for the investment. They want an own input upfront, which will have to be created by this new business! Catch 22 illustrated! I am now looking at private investors but it is very difficult. I tried the 4 major banks, IDC, Business Partners, another big bucketful of guys, but no luck. Nothing will work.
    Is there anyone on this forum who can give me any advice as to what I could try next? This is a low investment high profit business, so somewhere someone must be interested! How do you get to them though?

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    Does it have to be as high as R200k? Is that mainly for capital equipment?

    I may have a contact for lower amounts, but they wouldn't go for that much.

  3. #3
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    Breakdown: 2 x Brick making machines R34k, 4t-6t Delivery truck (Ex Edan traders) RR80k, Working capital per week R35k x 2 weeks (curing time 7 days) cash flow after that. small equipment est R10k. it depends on the cost of truck. I may be able to use local transport for awhile until a truck is necessary. The premises will cost R1000 pm and i will go and live there to get business started. Nowhere else to stay really there! Thereafter move about 30 k's away. Accounts receivable every 7 - 14 days.

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    I have a full business plan and supporting docs for whomever you had in mind. Where can I mail it to? My address is barryvdw@gmail.com Thanks for efforts, appreciated!
    Regards
    Barry.

  5. #5
    Platinum Member desA's Avatar
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    This is probably the kind of business you will have to self-finance & start up in your spare time.
    In search of South African Technology Nuggets(R), for sale & trading in South East Asia.

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    Site Caretaker Dave A's Avatar
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    Get the plant on finance (which should be fairly easy with a clean credit record) and you're only looking for R70k working capital.
    The trouble with opportunity is it normally comes dressed up as work.

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