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Old 09-27-2006, 03:40 PM
Frinkenstein Frinkenstein is offline
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Join Date: Mar 2006
Location: Springfield University
Posts: 552
Default Business Financing

Hey guys,
So, I have an idea for a new business. My question involves financing and how that works for a person like myself.

The relevant info that I can think of:
-I bought a condo that I purchased for $144K and I put $12K down and have been making mortgage payments for about 6 months.
-The condo has appreciated by $100K since I bought it.
-Other than that, I have savings of about $11K.
-I am leasing a car for $383 per month

My question is how a business loan from a bank would work in this case:
-Would they give me much of a loan? What would my collateral be if my condo is already being used as collateral on the mortgage?

I wasn't sure about that... Hence, my initial thought was that to start a business I would need to sell the condo and take the profits and my savings and start my business. That way, I could either avoid a loan altogether or perhaps just have a small loan.

Thoughts?

Thanks for any help.
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