Can the bank give a loan to anyone?
This is just a general question out of curiosity, let's say there is this business for sale in my area where everything is all set up and ready, so all I would need to do is get the money from the bank and start running the business.
The current owner of this business wants to retire from it and is asking for $800k for it... I am only 19 years old and don't have much money or much credit scores or any of that yet.
So, my question is, if I call my bank and tell them I want to buy this $800k business, will they loan me the money then I pay down payments once I get the business running? Is it that simple?
This is a serious question, please give a serious answer.
- Elaine MLv 72 months ago
Banks look at what your assets are in case you fail with a business. This means you would have to have good credit, at least 1/4 of what you're asking for already in the bank as savings, a great business plan drawn up for them to look through, the ability to get all the permits needed, experience in the field and experience with managing employees.
- StephenWeinsteinLv 72 months ago
Not for buying a business, no. The usual way of getting a loan to buy a business is borrowing against the equity in your home -- and you only do that if you own your home.