Loan or owner's funds?

[Immilash1]

That's were the problem comes when it comes to starting up a new business, but for me I don't think it's a good idea to take loans in other to start up a business, that's not a good idea for me.

 

[Chibson]

i believe nobody wanted or intended to start a business with a loan but there are some situations where the fund needed for the business will be much more than what you can afford as the owner of the business .

lack of financial capacity is something that always makes people to look for loans in order to venture into a business. If you have a business idea and you don't have the money to go into it of course you will look for finances.

 

[Good-Person]

lack of financial capacity is something that always makes people to look for loans in order to venture into a business. If you have a business idea and you don't have the money to go into it of course you will look for finances.

I have never liked taking loans and I have always favoured personal finance. This is the main reason why I shall save money and I shall run my own business in the end.

 

[Chibson]

I have never liked taking loans and I have always favoured personal finance. This is the main reason why I shall save money and I shall run my own business in the end.

Probably, using your personal fund to venture into a business is always very important and necessary. If you want to take a loan it should be for expansion of the business.

 

[Setho]

I believe that the golden rule to the whole thing is that you should not just take money that you cannot justify or if inexperienced you should just start with your own personal savings.

 

[Shigobad20201]

Many business entrepreneur like me don't like the idea of using a loan to start a business but theres some certain condition that warrant it and loan is not that bad If you get the loan that won't affect you .

 

[Lynaia]

Without any problem I think the best thing to start with is with the owner funds to have peace of mind. But some people usually prefer lending from bank to make themselves to be serious with the business and get profit quickly because they know in a specific time, they have to repay bank loan they borrow

 

[Shigobad20201]

Without any problem I think the best thing to start with is with the owner funds to have peace of mind. But some people usually prefer lending from bank to make themselves to be serious with the business and get profit quickly because they know in a specific time, they have to repay bank loan they borrow

The best way to start your business is with your own fund , or by using crowd funding which is also safer , though starting a business with a loan sometimes might be good if you have a proper way of paying back .

 

[tyrim88]

I would prefer using my own funds, even if it means me selling my shares to raise the money, but for taking a loan from the bank, I don't really like that because I don't like the fact that have to drop a collateral and there is that thought going through my mind that I am owing the bank so it's best I just sell my own shares and use your own money.

One thing that any new business owner should aviod at least for the period under his study of the market,is to avoid collecting loan from banks,because it can give him sleepless night.using money avialable is advised here.

 

[Ronald]

For starting and growing a business , we need funding to attain the particular capital for the business.
That capital can be attained either by taking loan from the bank ( also called debentures ) Or by using the owner's funds ( also called selling shares of the company)

In easier way , You can earn funding either by selling your own company shares or taking loan from the bank.

What will you prefer while attaining the capital (LOAN OR OWNER'S FUNDS)?

Personally, I would rather begin my enterprise from my personal bank account with my resources than borrow from family or friends. The option of a loan from a bank or another financial institution is detrimental due to the immense interest rates.

 

[nana kwasi1]

Instead of taking out a loan, I would rather sell my personal assets and use the proceeds to grow my business. I'll get the money when I have a better option. Owner funding, in my opinion, is superior to borrowing.

 

[Joseph555]

like the idea of an automated machine programme to attend to my needs,i usually experience this issue with some telecome network providers in my country.

 

[Shigobad20201]

Though loan and owner fund at both good to start a business , but most of the time you have problems when you start your business with a loan because returning the loan back might give you issues .

 

[frederick_9]

The Owner's Fund is a permanent source of investment for a business that remains with the company till it winds up its operations. The Borrowed Fund is a temporary source of investment for a business that is paid back to the creditors after the completion of a specific period of time.

 

[Eli342]

It is not a good idea to start a business with a loan because of the strain that comes with it; occasionally, business will not go as planned and may take longer than anticipated. Therefore, it is advised to launch a firm with your own funds rather than borrowing money or taking out a loan.

 

[Bigi_]

The most realistic and lasting way is to regularly create very high quality and engaging videos. That way people will share your content and follow you. If not, you can pay a small fee to receive payments on your site and have people follow you on your platform.

 

[Eli342]

It is not a good idea to start a business with a loan because of the strain that comes with it; occasionally, business will not go as planned and may take longer than anticipated. Therefore, it is advised to launch a firm with your own funds rather than borrowing money or taking out a loan. which is mostly the good way

 

[Sincerem]

Sometimes situations demands , but in 90% of all the time personal funding is always the best for new startup business to reduce the risk of getting into problem if the business is not succeeding.

 

[Shigobad20201]

It is not a good idea to start a business with a loan because of the strain that comes with it; occasionally, business will not go as planned and may take longer than anticipated. Therefore, it is advised to launch a firm with your own funds rather than borrowing money or taking out a loan. which is mostly the good way

Starting a business with a loan might negatively affect your business If you are not strong enough to pay back or plan your business on how to pay back the money .

 

[Setho]

If the owner of the business has gathered funds up to a long-term and it is enough to study business then that is perfectly okay. You can then consider taking low-interest loans when the business is beginning to come into light.