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Business Loan with bad credit
#1
I'm trying to get a loan for my business but I have horrible credit. I was injured on the job in 2010 and due to a mess with work comp most of the doctor bills didn't get paid unbeknownst to me. I've been trying to pay them as I can, but the injury has limited what I can do physically and mentally (back issues and traumatic brain injury caused complex migraines). Hence the reason I started my business. I got told to declare bankruptcy, but I really don't want to do that since I legitimately owe the medical bills.

My business has grown to where I need additional space but with the bad credit I'm having issues. Anyone have any ideas or suggestions?
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#2
(01-08-2018, 03:27 AM)crazymomma Wrote: I'm trying to get a loan for my business but I have horrible credit. I was injured on the job in 2010 and due to a mess with work comp most of the doctor bills didn't get paid unbeknownst to me. I've been trying to pay them as I can, but the injury has limited what I can do physically and mentally (back issues and traumatic brain injury caused complex migraines). Hence the reason I started my business. I got told to declare bankruptcy, but I really don't want to do that since I legitimately owe the medical bills.

My business has grown to where I need additional space but with the bad credit I'm having issues. Anyone have any ideas or suggestions?

First of all, accept my sympathy for going through this sort of pains and trauma over these years for it is not easy to survive and still be able to start a business that is growing at a certain rate. This is a difficult issue that I got confused on what I would like you to do and that's the reason the first thing that came to my mind is for you to meet a financial analyst and see how things will go from there. 
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#3
Sorry to hear what happened to you in the past. It's nice that you didn't give up and chose to do business. Yes, it's true that if you had bad credit history they might detect your records especially now that the credit companies are being cautious but I have a friend that he also a bad credit he's able to take loans from different banks. So I suggest that try to inquire different banks there are some banks that are not strict as long as the person has the ability to pay, tell them that you have your own business they will do a background check so if they see that you're capable enough to take loans they won't hesitate to grant your request. Making portfolios of your business would be a great help to convince them that you're making a profit especially you said it's growing. If it doesn't work either you can find an investor or other financial institutions that might be interested in your business. So don't give up there are lots of ways. Smile
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#4
At this point I would be showing off your business to potential lenders as well as focusing on paying off those bills and making do with what you have at the moment. Without a clear credit history, lenders will most likely not lend you anything, even if you're making all your payments on time and such. You'd generally have trouble getting any loan much less an installment loan.
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#5
It is hard to make another loan if you have that kind of unpaid credits. The bank will that not easily allow you to make another loan even though your credit was 10 year ago. They can detect any bad record in their system. They are really strict in that policy. Try to pay first you unpaid credits and loan in other lending method temporarily. Just only for you to recover your business
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#6
With bad credit getting loan can be a little hard but you should try it with some banks that are willing to work with you once they hear the idea of the business. If that does not turn turn out that well try loaning less money because the banks will be assured that you will be able to repay the loan in good time, try out with different baks which have different policies. Friends and family are other people that you may consider while looking out for a loan to start the business, they understand what happened to you and what caused you credit situation I think they may be more than wlling to help out and make your business work. I hope you do hope find someone to help you to put up your business and make it a success.
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#7
The federal government has a program that focuses on small business lending. It is not clear what country you are from but if you are from the US I would not overlook the government as a source of loans. They may be able to help.
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#8
You can try and lend money directly from a person and then if willing, create an agreement and terms of payment. Another thing is that if you have properties, you can use those as collateral in case of unpaid dues. Or, the best thing for me, considering your situation, is not to loan anymore. Instead, try and save the money you want. And most importantly, never forget to ask God for guidance.
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#9
I really symphatize you man. If the the bank bank don't allow you to make a loan, then there's a lot of option out there. There's always a lending company out there that willing to lend you money, but beware to the organization called "loan shark". You can borrow to someone that will allow you to pay the loan in quite sometime in exchange of some interest. You can use that amount to start a small business. Just be sure that you will have to take good care of your money so that it will not go to waste. Be well and goodluck man.
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#10
(01-08-2018, 03:27 AM)crazymomma Wrote: I'm trying to get a loan for my business but I have horrible credit. I was injured on the job in 2010 and due to a mess with work comp most of the doctor bills didn't get paid unbeknownst to me. I've been trying to pay them as I can, but the injury has limited what I can do physically and mentally (back issues and traumatic brain injury caused complex migraines). Hence the reason I started my business. I got told to declare bankruptcy, but I really don't want to do that since I legitimately owe the medical bills.

My business has grown to where I need additional space but with the bad credit I'm having issues. Anyone have any ideas or suggestions?

I'm truly sorry for the predicament you found yourself in with work injury. Such thing can happen to anyone who is unfortunate and you were in this situation. Having bad credit is not something easy for anyone because it's definitely going to limit one's financial benefits and activities as long as you don't have physical cash. But the good thing is that you were able to pick up yourself after getting knocked down on your back. Getting loans from banks would be very hard for you unless you have a good contact with the bank or a good collateral. Without both of these, it's going to be hard. 

If there are cooperative financial firms in your country, you can meet up with them and present your business documents and plans, if it meets their criteria for giving you the loan needed, I believe that they would. Good luck.
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