Question: Is it worth the risk to borrow against the equity on my home?
Answer: Let me put it to you this way: home equity allows you to benefit from the wise investment you made toward a home that has increased in value, without having to sell it. It is also a means of coming up with quick cash through an equity line of credit when an exciting opportunity presents itself. You will have the power to be your own banker. Also, a flexible seller might accept an offer for a $25,000 note secured by the equity on your home. This article will help you go through this method of financing.
Question: What if, despite all the leverage options, I still have the difficulty working out a no-cash transaction? Who can I turn to?
Answer: As mentioned previously, if you’re working with a business broker he or she might loan you the commission they will eventually make on the transaction. Brokers may rightly protest that financing is not their business, but you might respond to that by giving them the incentive to loan you their commission on interest. If you convince your broker to loan you their money, the deal will go through and they will eventually be paid back in full (with interest).
Question: Is there any other no-cash down approach that you have not mentioned?
Answer: Actually, there are many others. Keep in mind that, if you are truly serious about buying or starting a business, there is a strong likelihood that more than one leverage technique can be used to close a deal. There are so many leverage techniques that exist that you have the choice in selecting which ones are the most appropriate for you and learning how to master them. More leveraging techniques are offered in report #5. Keeping everything in perspective, if you see money as an obstacle to achieving the American dream, you should erase that idea from your mind right now.
• Using your credit cards as leverage is a popular method employed by entrepreneurs for purchasing a business.
• This article will provide more detail on no-cash deals and the science of leveraging.
• Suppliers can be very helpful sources of financing because they need and want your business.
• Using a business’ own receivables, either by borrowing against them from a bank or selling them, can bring in the cash you need for your down payment to the seller.
• Using home equity is another form of self-financing that does not require you to use your own money.
• Assuming a company’s debt is another way to take over a company without using your own money.
• A business broker may serve as a viable form of financing because he wants to close the deal.