All or nothing.

[Trigger_this]

I've been doing home based computer repair for a long time now. I love the work, I love my own hours but I hate the unstable income. I recently got a job to finally have a steady income instead of a income where it's really good one month, okay another month and nothing other months. The job is alright but it's not what I would like to be doing (computer repair). So, I want to go all or nothing, which I mean open up a store front have a set mon-fri and give this one last shot to where bad months wont be that bad with better months than before.

So, the reason I'm posting this is I need some advise or education on how to do this without hurting my personal credit if I fail... I've done research and I can change my DBA to a LLC + EIC and FIN pretty cheap but to get a loan out under a LLC seems to not be possible? I wanted to get all costs of getting a store front including lease in a loan that way if I were to fail I could "go out of business".

Any help would be greatly appreciated. Thanks!

 

[14049752]

So, the reason I'm posting this is I need some advise or education on how to do this without hurting my personal credit if I fail... I've done research and I can change my DBA to a LLC + EIC and FIN pretty cheap but to get a loan out under a LLC seems to not be possible? I wanted to get all costs of getting a store front including lease in a loan that way if I were to fail I could "go out of business".

Well, first, you're not very likely to get a loan to cover opening a store as a newly registered LLC...not without a personal guarantee on the loan. A bank's going to make sure they're covered, either by having established credit from the company, or by making sure that you're personally responsible. Even with a slightly older LLC, it's not uncommon for a lender to ask for a personal guarantee from the owners.

Additionally, an LLC isn't a complete shield against hurting your financial credit. If you're overburdened with debt and you just "go out of business", you can bet that you'll have some legal work to do to keep creditors from getting to you. Any hole they can punch in that "limited liability" shield, to show that you weren't operating 100% as two separate entities (meaning business and individual), they'll use it to to get their money.

I won't even speak to how bad an idea it is to start up on entirely loaned money.

 

[Trigger_this]

Well I wanted to start it up on a completely separate account by opening up with loaned money as you just said they would make sure it was completely separate.

I thank you for the advisory though.

 

[joydivision]

I've been doing this for five years now, and only the since 2011 have I actually been steady. I don't think I have actually had a proper day off since New Years Day but I am going away for a couple of days next week just force myself to have a rest.

A store front will cost too much to run, I have thought about it but I don't want to get confused with the local dodgy computer shops. The geek with an IT degree down the road seems to work better for me.

This year though I will open up my first workshop but it will be a workshop where people can drop of their PCs and not a computer shop. There is a big difference.

I don't think having a shop will solve your problems because shops also have quiet times. You simple just need to make sure you have enough for a rainy day.

A loan isn't always the answer either as you then have to earn enough just to pay the loan repayments.

 

[baccart]

I've been doing this for five years now, and only the since 2011 have I actually been steady. I don't think I have actually had a proper day off since New Years Day but I am going away for a couple of days next week just force myself to have a rest.

A store front will cost too much to run, I have thought about it but I don't want to get confused with the local dodgy computer shops. The geek with an IT degree down the road seems to work better for me.

This year though I will open up my first workshop but it will be a workshop where people can drop of their PCs and not a computer shop. There is a big difference.

I don't think having a shop will solve your problems because shops also have quiet times. You simple just need to make sure you have enough for a rainy day.

A loan isn't always the answer either as you then have to earn enough just to pay the loan repayments.

Can you please explain this "workshop" Idea to me? Also, I agree with your Loan theory. I would suggest to this gentleman to keep doing the job and save money to startup.

 

[joydivision]

A workshop is simply a secure industrial unit where people can drop of their computers. It is not a retail shop where you can just buy goods.

The idea of mine is drop offs would be still be by appointment.

 

[Paul Rodgers]

A workshop is simply a secure industrial unit where people can drop of their computers. It is not a retail shop where you can just buy goods.

The idea of mine is drop offs would be still be by appointment.

I would like to add that maintaining inventory is a bad idea for most people in this industry.

 

[allanc]

I would like to add that maintaining inventory is a bad idea for most people in this industry.

Stocking a small amount of RAM, keyboards, etc has saved me a lot of unpaid travel time.