Crowdfunding?

[Banks]

I've been trying to find a quicker way of refinancing my pool vending business with having to wait the two years before a bank will fund a loan. Not really knowledgeable about crowdfunding sites, so I'm looking for some input from anyone that may know a bit about them. Do i post up my business description and offer a certain return or repayment date? Are the payments made directly? Which sites are better?

Thanks in advance.

 

[macguy]

I've been trying to find a quicker way of refinancing my pool vending business with having to wait the two years before a bank will fund a loan. Not really knowledgeable about crowdfunding sites, so I'm looking for some input from anyone that may know a bit about them. Do i post up my business description and offer a certain return or repayment date? Are the payments made directly? Which sites are better?

Thanks in advance.

How much money are you really talking about?

 

[krupa]

It seems like there are two types of crowd-funding projects: charity and seed funding.

The charity type is pretty obvious. People ask for money for various reasons (medical bills, honeymoons, pool streams, etc.) and in return donors get to feel good about themselves.

What I have seen with seed funding efforts, is that a company (could be one guy) needs initial investment to get an initial run of a product made. They offer tiers of support (money given) with different benefits.

I recently funded a kickstarter program for a new board game. In exchange for the money, I get a copy of the game and few bonus bits that won't be available to "regular" customers. If I gave them more money, I would have gotten more bits. One funding level even got you dinner with the creator and a night of playing games with him. (if you like board games, that's a really cool deal.)

So basically, if you want people to fund your business, the question is what do they get in return?

 

[Banks]

How much money are you really talking about?

Up to $100k at the moment. Could probably use a little more after the next month or two, but that would cover what I'm at with soon to be 35 tables in 13 locations and counting.

 

[Banks]

It seems like there are two types of crowd-funding projects: charity and seed funding.

The charity type is pretty obvious. People ask for money for various reasons (medical bills, honeymoons, pool streams, etc.) and in return donors get to feel good about themselves.

What I have seen with seed funding efforts, is that a company (could be one guy) needs initial investment to get an initial run of a product made. They offer tiers of support (money given) with different benefits.

I recently funded a kickstarter program for a new board game. In exchange for the money, I get a copy of the game and few bonus bits that won't be available to "regular" customers. If I gave them more money, I would have gotten more bits. One funding level even got you dinner with the creator and a night of playing games with him. (if you like board games, that's a really cool deal.)

So basically, if you want people to fund your business, the question is what do they get in return?

As much as free money is appealing, my goal is to create something sustainable for pool. Asking for handouts, just to turn around and give it back to different people for a game.. just seems backwards.

Basically looking for input on where I may be able to go to crowdsource a loan, instead of paying out an extra car payment each month in high interest rates. Not sure if there's anything I could realistically offer outside of table time, etc, since it's just a pool table vending company at the moment. I had thought about it, but the logistics of coordinating that kind of deal could be a nightmare for the locations.

 

[krupa]

Here's a thing http://www.crowdcrux.com/debt-crowdfunding-sites/

Even though it says "debt" all over the place, I think they're generally loans/crowdfunding sites.

 

[Cracktherack]

I hope you succeed, but I'd rather bet on Scott Frost.

 

[Banks]

Here's a thing http://www.crowdcrux.com/debt-crowdfunding-sites/

Even though it says "debt" all over the place, I think they're generally loans/crowdfunding sites.

I've contacted a few of the loan sites and they have the same requirements as the banks do.

I hope you succeed, but I'd rather bet on Scott Frost.

Thanks and understandable. Figured it couldn't hurt to toss out a line if it could help save me thousands in interest this year and quicken the return for tournaments. I've got a couple of other options still.

 

[michael4]

Basically looking for input on where I may be able to go to crowdsource a loan, instead of paying out an extra car payment each month in high interest rates. Not sure if there's anything I could realistically offer outside of table time,

If I was investing into someone's business, I would want a cash pay out at a later date......If you are short of funds now and want to avoid monthly payments in the near term, maybe a deal where they get back 120% of their investment, but in 2 years time.......etc

You have to offer something that works for you, but also works for the investor....and compensates them for the large risk they are taking.....realistically most businesses fail sooner or later, for various reasons...

 

[maha]

if you dont have something to put up that is tangible that is worth more than the loan it isnt going to happen. at least for that amount of money.

if your idea makes money quickly then you can start it small and grow it to where it can justify a loan for more expansion.

you might see if your supplier might finance your purchase of the tables as he is the one who benefits immediately from your actions.

as far as the banks they will want two years tax returns and current income showing you can repay and some security other than the business income

what portland needs is a good pool room instead of the few that cater to bangers with little else there.

 

[Banks]

if you dont have something to put up that is tangible that is worth more than the loan it isnt going to happen. at least for that amount of money.

if your idea makes money quickly then you can start it small and grow it to where it can justify a loan for more expansion.

you might see if your supplier might finance your purchase of the tables as he is the one who benefits immediately from your actions.

as far as the banks they will want two years tax returns and current income showing you can repay and some security other than the business income

what portland needs is a good pool room instead of the few that cater to bangers with little else there.

The problem is the interest rate. One year down, one to go.

I've been planning a room for Portland, but first things first and the down plus backup is a bit to cover, to say the least. With a decent bar scene, I'm working my way up and developing something that can carry itself, a long term plan. Rough to start out, but showing promise.