Starting a business

Discussion in 'SMB' started by houst69, Apr 16, 2019.

  1. houst69

    houst69 Striker

    is it acceptable to state your buying second hand equipment when applying for a business loan? Is it looked on favourably or does all equipment have to be brand new with warranty?
     
  2. The Muffin Man

    The Muffin Man Midfield

    The quality of the business proposal is all that matters, if you can source quality second hand equipment then why would you buy new? In terms of the business plan just ensure that you state the logic of doing this and why you made this choice. It is not enough to state "its cheaper" to do it this way as if the equipment is likely to have to be replaced then its not cheaper.........You could state that "I have compared the cost of purchasing equipment new as opposed to purchasing it 2nd hand or leasing it. I have also spoken to suppliers of the equipment to establish the reliability and lifespan of 2nd hand equipment and have negotiated guarantees on the 2nd hand equipment I intend to purchase". In short make it clear that you understand the advantages/disadvantages of all the available options and that your decision is based on research not just a gut feeling based on nowt.
     
    gasman, supersesh, td586 and 3 others like this.
  3. houst69

    houst69 Striker

    Thanks, a helpful and non piss taking post, remarkable on the SMB, thanks again!
     
    niknak_123 and Schmarrnbeppi like this.
  4. The Muffin Man

    The Muffin Man Midfield

    No probs, started a number of businesses, its hard work but the most fun and most rewarding thing you will ever do........Hmmmm, I might just do it again as need a job ha ha
     
    td586 and the boot like this.
  5. ErichZann

    ErichZann Striker

    No offence to the OP particularly....but these types of threads invaribly do not say what the business is.
     
  6. Kevj

    Kevj Striker

    If you were purchasing an existing business with assets, the assets are effectively second hand on completion of the transaction. No reason why a business plan can’t have second hand purchases included. What I would question is that if they were to break down, are you still able to trade?
     
  7. houst69

    houst69 Striker

    How do you find out prices? just by looking on gumtree and facebook marketplace and getting the average price they are going for I suppose?
     
  8. The Muffin Man

    The Muffin Man Midfield

    With a lot of commercial stuff there will be people who deal specifically in reconditioned and 2nd hand stuff. Use their prices as an indicator.
     
    tooliohelmet likes this.
  9. Paddy O'Dors

    Paddy O'Dors Striker

    Some of the cheap new gear from places like Screwfix is pretty shite mind, particularly power tools.

    Might be better to use the word warranty instead of guarantee.
     
    The Muffin Man likes this.
  10. Kevj

    Kevj Striker

    Ignore I was putting together a business plan, I’d look at how much I have in the budget, look at how long before the business has a turnover which is sustainable, put a good chunk of cash into working capital, then see what you can afford with the rest. Obviously, the above does not take into account other factors such as premises, stock or rent etc.

    As another said, it’s difficult to second guess on so few details.
     
  11. Paddy O'Dors

    Paddy O'Dors Striker

    If you're doing a business plan outgoings/overheads can and should be pretty accurate. The income projections can be less so but in both cases the figures should have some tangible evidence to justify them (sources etc).

    A business plan is just a guide to instil confidence in any backers and/or let you know if your idea is feasible. I did hundreds in a previous employment for people with a high degree of success tbf.
     
  12. matt_catchpennie

    matt_catchpennie Midfield

    What is the business if you don’t mind me asking?
    I started mine 7 months ago, purchased both a brand new machine and a couple of second hand ones, didn’t effect my application.
    If your on a similar industry to myself then I may have a few good contacts for second hand machinery...
     
  13. houst69

    houst69 Striker

    Video gaming
     
  14. MackemBob

    MackemBob Winger

    Creating games?
    Selling arcade machines?
    Opening an arcade?
     
  15. Kevj

    Kevj Striker


    YooToober
     
  16. houst69

    houst69 Striker

    Gaming parties - mobile
     
  17. Fucking hell another one by the op :lol:
     
  18. Bob Fleming

    Bob Fleming Striker

    :lol:

    What the fuck is a mobile gaming party? You turn up to someones house with a ps4, Fifa and a few cans? And they pay you for it?
     
    Last edited: Apr 16, 2019
  19. houst69

    houst69 Striker

    :rolleyes:
     
  20. Some Random Guy

    Some Random Guy Striker

    Given your recent posts on the gaming forum I assume a bunch of used XBones, PS4s, and tellies.
     

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