Is it possible to recieve full financing on a small business loan?

I'm looking to start a clothing retail business in about one year, and by then I'll have about one year's worth of credit (about to turn 18) history. Right now, I figure I'd need about 200k to get it up and running. My question is would it be possible at all to recieve full financing or should I take out student loans, invest them in the market, and use that for a down payment? Thanks in advance.
Oh, and no bull**** solicitors either, I am not looking for a loan through Joe Schmo, the internet crook, I would just like to know how it can be done legitamentley. Thanks again.

First of all, your credit history will not be lengthy enough. Three years of solid credit will be better.
Second. banks and lending institutions want you to have about 30% or more equity in the transaction - meaning they will lend you about 70% or less.
You'll need a very sound business plan.
If you take out student loans to try to fund your share of the transaction, they'll show up on your credit history, they'll reflect on your borrowing power and banks will not want to lend you more.
If you have a really good idea, your best bet would be to find a well financed partner who'll provide the starting capital and negotiate a partnership and go from there.

Since this is your first business venture, try this link :
http://www.ychange.com/small-business-c ... icles.html
and read some of the articles especially the ones about a business plan and starting a business.

Good Luck

What are the requirements for a business loan? Should I go for a business loan from a bank or financing firm?

My partners and I are putting up a consultancy and we'd need P500,000.00 each. I'm thinking of pulling out a loan for my part. Should I approach a bank or a financing firm? And what are the requirements I'd need to prepare? Thanks!

Wow, that's a lot of money

Some banks extend what they call "small business lines of credit" often through credit cards. Those are easier to get and can be based on your credit history alone. They typically are up to $100,000.

For example, Wachovia's has various business lines of credits http://www.wachovia.com/small_biz/page/ ... 99,00.html Their business line of credit can even be approved overnight,

However, if you're applying for a loan and if it is a big amount, banks and even the SBA may consider other factors aside from your business credit:

- A business plan explaining what the business is

- Your background and experience in the business -- in my experience, this is KEY in the eyes of the bank because they want to make sure that you know what you are doing and that you can make the business work. If you don't have any experience with the business, have someone on board that knows the business to give banks assurance that someone will guide you

- Your credit factors because it shows your dependability and how well you handle credit. They will do a credit check on you and poor credit history may be frowned upon, or even reason for the disapproval of your loan application

- Your collateral. Banks, even SBA guaranteed loans, want the borrower to show collateral. They want to be guaranteed that somewhere somehow they can get payment from you

- Condition or terms of loans. Banks would want to know three important things: "How much money are you requesting? What will it be used for? and For how long will it be needed?" Banks oftentimes prefer to approve loans for items that can be identified, has lasting value, and can be repossessed and sold if things fail.

- Equity investment

Is it possible to receive a loan or financing for a small business if I do not currently have a job or credit? Is it possible to receive a loan or financing for a small business if I do not currently have a job or credit?

Any financing company will want you to invest a certain percentage in your own business. You need to have a strong, well laid out business plan and do alot of research. If you don't have a job, that might be okay. If you have no credit, then they have no idea if you pay your bills on time and will most likely not take that risk.

But having alot of experience and contacts in your field could give them incentive.

I would call the local Small Business Administration and meet with someone from thier office. They can help you draw up a business plan and know of traditional and alternate financing that may be available to you.

Will a business loan on my record help when i buy a car and its financing?

My mom tried to buy a car for me last year but then the dealer said no bank will grant us a loan because my mom had never financed anything before, like she never got a loan to finance a car or house etc. but recently she secured a 100,000 small business loan from washington mutual and i was just wondering if this will help when we buy a car, like will this count as she HAD financed before? thanks everyone! i dont want to ride the bus any more ='(

Most likely, the business loan will not help... When a business loan is issued, the lending institution will normally make an inquiry on the owner's credit to check credit worthiness, but the open account will not appear there. Therefore, there is no record of payment history... The credit activity is likely recorded with Dunn & Bradstreet a business credit reporter.

This may vary depending on the terms of the loan and how your mom's business is structured. Your mom should pull her own credit to confirm if the business loan is reporting.

Can Business Tax ID be used to finance business car loan, wireless phone and office rental? Can Business Tax ID be used to finance business car loan, wireless phone and office rental?

Yes, but unless the business has a strong D&B rating the account will probably have to be personally guaranteed by the business owner using their personal credit rating.