Quote from: Coyster on Today at 12:57:03 PM

Quote from: rhodelmabanal on Today at 08:21:09 AM

Taking a loan is not a smart way to start a business because you will pay interest and i am sure that the profit from your business will go to interest and not on your pocket, i suggest to borrow to your family if they have extra money without interest and make a business you can only fo it if you have a supportive family, loan is a business and if you take a loan then you are one of a millions, that gives profit to the owner of that loan business.

If everyone could take a loan from their family members or from friends who wouldn't request an interest, then who would bother going to the bank or other lenders for a loan, but it is very difficult to get a loan from people without interest, often because they do not have the sum you need or they also have to put their money to work.

That being said, taking a loan to start a business is not a bad idea if you have a well thought-out plan of the business you want to do and if the interest rate is low as well as a flexible repayment time. If your business idea is "golden", you might be able to repay the loan from the proceeds of your business and then stand on your own later on.

Think borrowing from family's a free ride? Think again. Aunt Martha ain't got a bottomless piggy bank. Also, you're holding her cash, which is not okay. Family is great for getting a pizza loan, but not for starting a company. Banks? They are sharks, but they have money. It will cost you money to get the money you need. That's the deal. Low loan rates and flexible terms are great, but they won't help you if your business plan is bad

Don't forget that having a plan is only half the battle. Execution is king. It takes guts, planning, and the ability to change course when things go wrong to execute. No business plan makes it through the first meeting with reality. Yes, dream big. Don't be stupid, though. Plan better, borrow smarter, and act like your life depends on it. Because do you know what? It sort of does