Raguragavan Sreetharan | New Business Deal Breakers
Raguragavan Sreetharan – No matter how brilliant a business idea might be, certain deal breakers will stop it in its tracks. Deal breakers are the secrets you would rather not share with your business analyst or banker, though you probably should. Raguragavan Sreetharan If you’re applying for a loan to start or grow a business, here are some common deal breakers you should know about: Inadequate Equity. You have undoubtedly heard gripping stories about folks who wangle 100% financing without investing a dime of their own. Those tales make great fodder for talk shows and infomercials, but lack of equity is usually a deal breaker in the real business world. Unless you’re borrowing from love ones, start-ups should plan to bring at least 20% equity to the deal. Cards & Toys. This means ballooned credit card balances and a backyard bursting with toys, such as boats, bikes, and skidoos. There is nothing wrong with owning toys if you can afford them; it’s the high interest loans with outs...