Good day Nairalanders.

While we are three months into 2019 and it might seem like the year is far spent already, it still holds promises of good things to come, and this is the major reason that brings me here.

I have a business i am into already and want to expand. It is in the food sector, specifically confectioneries, being Candy floss and Popcorn. I intend setting it up in two locations to increase revenue. While the idea seems basic enough, it will definitely come with a twist to make it different.

I have understudied as well as done both of them briefly and i have ample knowledge of how to produce and market both products.
I need a soft loan of 300,000 Naira to help me set it up, and a payment plan spread across 9 months to ease the burden on me as this is a startup. I am willing to pay a 20% interest, being 60,000 Naira, on the initial 300,000 Naira.
Payment of 10,000 Naira is to be made weekly, totalling 40,000 Naira monthly, which sums up to 360,000 Naira after 9 months. I am very confident of keeping my end of the deal as it requires a saving of 2000 Naira each day for 5 working days weekly to meet. This way, payment can be easily done consistently without too much strain on the young business.

I reside in Lagos Mainland, Igando precisely, and the business is to be carried out within my environ. I would prefer a creditor living in Lagos so that close monitoring and due dilligence can be carried out smoothly by him or her.

I look forward to hearing from, as well as meeting any potential creditor in person. My contact details are:
Phone/Whatsapp number: 08038701675, email address: amahchimenem@gmail.com.
Thank you very much.

Looking forward to hearing from you.

I don't need much. I need just enough to get me started and on track.

InvestorChi:
Looking forward to hearing from you.

How much of your own money are you willing to invest in the business?

NairalandAngel:


How much of your own money are you willing to invest in the business?

I already have a machine and i am putting my time 100%. It is a soft loan, that's money to be paid back in full with interest after 9 months. It is different from an investment where the investor owns the business as well as the profits indefinitely

InvestorChi:

I already have a machine and i am putting my time 100%. It is a soft loan, that's money to be paid back in full with interest after 9 months. It is different from an investment where the investor owns the business as well as the profits indefinitely

The fact that it's a loan makes it more risky for the investor.

You are not offering any collateral...if you default (Most Nigerian loan seekers usually default) the investor has nothing to fall back on.

NairalandAngel:


The fact that it's a loan makes it more risky for the investor.

You are not offering any collateral...if you default (Most Nigerian loan seekers usually default) the investor has nothing to fall back on.

The loan i am to get will mostly be used to make purchases for the two machines needed. Now, i don't mind if the purchases are made in the name of the creditor, and bought by him/her.
The risk of losing the equipments in the event of a default does not scare me because i have done a bit of the business so i know i can meet up payment of the N10,000 weekly. It takes saving just N2,000 everyday 5 working days a week to come up with that. Failure to do that, the creditor can reclaim the purchased equipments, and that is why i need someone resident in Lagos to alley fears and follow up the business first hand. Thanks

okay

Most people default on loans (at least the ones who had good intentions) because the revenues they were projecting in their business plans were unrealistic and as such could not meet up with the payment terms once they started and met roadblocks. These are conservative numbers that won't be too hard to meet up with hardwork and dedication.

No matter how noble ur thoughts are, from experience as an avid investor, taking a loan to start a business is a no no for a number of reasons...
Its enough u lose your money in a business but if u lose ur peace and credibility, u lose the confidence to even start again... And the last thing u want as an entrepreneur is to doubt yourself in anyway.
Start ur business with ur own money... Or ask for handouts from family n friends.. Never borrow ur startup capital it puts u and ur biz under unnecessary pressure.

fykes:
No matter how noble ur thoughts are, from experience as an avid investor, taking a loan to start a business is a no no for a number of reasons...
Its enough u lose your money in a business but if u lose ur peace and credibility, u lose the confidence to even start again... And the last thing u want as an entrepreneur is to doubt yourself in anyway.
Start ur business with ur own money... Or ask for handouts from family n friends.. Never borrow ur startup capital it puts u and ur biz under unnecessary pressure.

This submission of yours holds true, but mainly for new, unconventional startups and business ideas that are yet to be tried at all. I have done it for three months so i am quite confident of being able to make payment.

The return projections are modest, at 10k weekly, and i intend running on two locations to boost revenue.
I also use 5-day weeks in planning my earnings, so that Saturday makes up for any shortfall. It is not totally an untested water, as i have done it myself for three solid months and also gotten counsel from at least 6 other people involved in the business.

I don't need too much, just enough to get me going on the right path. Help a brother out.

fykes:
No matter how noble ur thoughts are, from experience as an avid investor, taking a loan to start a business is a no no for a number of reasons...
Its enough u lose your money in a business but if u lose ur peace and credibility, u lose the confidence to even start again... And the last thing u want as an entrepreneur is to doubt yourself in anyway.
Start ur business with ur own money... Or ask for handouts from family n friends.. Never borrow ur startup capital it puts u and ur biz under unnecessary pressure.

Very correct

fykes:
No matter how noble ur thoughts are, from experience as an avid investor, taking a loan to start a business is a no no for a number of reasons...
Its enough u lose your money in a business but if u lose ur peace and credibility, u lose the confidence to even start again... And the last thing u want as an entrepreneur is to doubt yourself in anyway.
Start ur business with ur own money... Or ask for handouts from family n friends.. Never borrow ur startup capital it puts u and ur biz under unnecessary pressure.

Right

Oyimeoyimemua:
Very correct

People actually borrow to grow faster. If you want to grow organically and save your entire profit of say 1500 Naira daily, after expenses on materials and staff, it will take you 9 months, working 22 business days a month to hit 297,000 Naira, without even a kobo of spare money to live on or for an emergency, and pray it doesn't fall to N1200 or a thousand naira some days else you won't even get to that amount.

However, a loan can afford you the opportunity of running at three seperate locations, and even if you make 1,000 after expenses at each location, you can have something to live on each day after keeping money aside for servicing the loan.

The business depends on volume for profit, that is how much products you can sell daily, and multiple locations give you leverage.
If organic growth was all there was to business, businesses that are already profitable won't nèed loans since they can just earn and save. Loans are needed to grow faster.

InvestorChi:

People actually borrow to grow faster. If you want to grow organically and save your entire profit of say 1500 Naira daily, after expenses on materials and staff, it will take you 9 months, working 22 business days a month to hit 297,000 Naira, without even a kobo of spare money to live on or for an emergency, and pray it doesn't fall to N1200 or a thousand naira some days else you won't even get to that amount.

However, a loan can afford you the opportunity of running at three seperate locations, and even if you make 1,000 after expenses at each location, you can have something to live on each day after keeping money aside for servicing the loan.

The business depends on volume for profit, that is how much products you can sell daily, and multiple locations give you leverage.
If organic growth was all there was to business, businesses that are already profitable won't nèed loans since they can just earn and save. Loans are needed to grow faster.

True loans are needed to grow faster in business But taking a loan for a business start up is a no no.

Oyimeoyimemua:

True loans are needed to grow faster in business But taking a loan for a business start up is a no no.

Its not like i am being arrogant but the payback terms are modest and i am sure of comfortably meeting them. Thanks for your input though.

InvestorChi:

Its not like i am being arrogant but the payback terms are modest and i am sure of comfortably meeting them. Thanks for your input though.

If u can pay back without much stress then it's fine

Come give our business the push it needs this year. You won't regret it for certain.