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Personal Loan %?

Discussion in 'Lawn Mowing' started by Howie's Lawn Care, Jul 28, 2005.

  1. Howie's Lawn Care

    Howie's Lawn Care LawnSite Senior Member
    Posts: 512

    I've been planning on getting new stuff next year, but money is tight. One of the things I wanted was a Hustler 36" Hydro Walk-Behind. I figure I could afford the other stuff (Toro 21" Commercial, Shindaiwa Trimmer/Blower/Hedge Trimmers, and Trailer), and then finance the 36" WB. However, I want to get a cell phone next year (39.99/Monthly) for business. I will also have to advertise, and It would be nice to get insurance, licensing, etc. The only way I can see being able to do everything is by getting a bigger loan that will include the 36" WB plus some of the other stuff. Would this be a personal loan? Being 16 years old, how much would a bank loan me with a co-signer and what would the interest rates be like? If I got the biz license later this year before getting a loan, would I be able to get a business loan and get better financing rates? I should probably wait until early next year to even get the loan actually. The loan would be for about $8500.00. Is it possible for me to get a loan this big? I just want to consolidate it into one big payment, so I can have extra for repairs, cell, and advertising. I work for a local newspaper on Saturdays (not a paper route, but equally sucky) and get paid every two weeks. The check is usually for 16-18 hours at about $8.00, so I have atleast $200.00 after tax per month from this job. I will also probably be getting a fast food job or retail store job in the winter. It's either that or Madden 2006 :blob3:. That's $50 more dollars...LOL. So, what do you guys think about this situation? I know the WB is expensive, but I love that steering system and would like to get everything from my one and ONLY local dealer who sells Shindaiwa/Hustler/Everride. Thanks for the help guys.

    Hustler 36" Walk-Behind - $5280.00
    Shindaiwa HT231-30 Hedge Trimmer - $422.00
    Shindaiwa T261 Trimmer - $360.00
    Shindaiwa EB630RT Backpack Blower - $470.00
    5' X 10' Trailer - $800.00
    Toro 21" Commercial - $1100.00
    Hustler 36" Walk-Behind Mulching Kit - $99.00
    Shindaiwa E-Z Flail Trimmer Head - $20.00
    Start-Up Accesories (Blades, Oil, Gas, etc) - $50.00
    Total - Around $8600.00
  2. vipermanz

    vipermanz LawnSite Bronze Member
    Posts: 1,773

    talk with your home bank, i'm going throught the processes of doing the same right now and i am using a 3-5% apr on the estimator @ 3.9 i see you @ 193mo and up to 5.9 is around 201mo through amsouth
  3. green-go

    green-go LawnSite Member
    Posts: 79

    People on a budget shouldn't be spending over 5k on a 36" WB. And you list the following 21's:

    22" Toro 20041 Recycler, 6.75 HP Tecumseh
    21" Snapper, 6.5 HP B&S
    21" Craftsman, 5.5 HP Honda
    21" Farm & Fleet, 6 HP B&S

    Why in the hell are you looking to spend another $1100 on a Commercial Toro? Considering the fact that you're buying a 36 and you'll likely be using it 95% of the time, don't you think it would be alot wiser on your part if you saved yourself $1100 and used one of your current 21's??? ;)
  4. sheshovel

    sheshovel LawnSite Fanatic
    Posts: 5,112

    I don't think starting out with top of the line just cuz you like it is wize.Mabey you should think about some less expensive equipment to start out first and get the customer base and then move up to the more expensive stuff.That is my advice for you,don't get too far in debt before you even get started.
  5. Shuter

    Shuter LawnSite Bronze Member
    Posts: 1,171

    Talk with your dealer, there are so many reasonable finance plans out there right now.
  6. daveintoledo

    daveintoledo LawnSite Silver Member
    Posts: 2,587

    going to have a hard time getting that loan, with no financial history, even with a co signer.... listen to sheshovel, she iis VERY experienced.... i have told you once, you are trying to grow too fast, and it will be your failure if that happens, use what you have for a while, get some dang customers first, and replace equipment with cash as you can afford it

    all these people keep giving you advice but you arent listening, you asked basically the same questioon in a different mannor...in a couple of other threads,

    no one is bashing you, they are giving you good solod advise take it ....

    good luck Howie, im rootin for you to succeed.....
  7. Howie's Lawn Care

    Howie's Lawn Care LawnSite Senior Member
    Posts: 512

    Isn't 3-5% a little low for a personal loan? They start higher than that, don't they?
  8. vipermanz

    vipermanz LawnSite Bronze Member
    Posts: 1,773

    that's the rate i got quoted, banks are different in all areas..
  9. Howie's Lawn Care

    Howie's Lawn Care LawnSite Senior Member
    Posts: 512

    I use the F&F 21" on my own lawn (not self-propelled and heavy) occasionally, and the Craftsman stays at my aunts since I don't drive, but its self-propel went out and I don't plan on using it next year. The Snapper is at my dad's house and only looks good on certain lawns around here. The Toro looks good and is my favorite, but I don;t see it lasting another year. I already have mowed 12-14 lawns per week since April 5th. I plan on having around 35-40 residential accounts next year. I'll use the 36" whenever possible, but will still have to use the 21" ALOT. I just want stuff that is more reliable and will be more durable in the long run. I mainly want to know what you guys think I would have to pay percentage wise and if I could get a loan this big. If I go to the bank, how do I approach getting a loan? Do I tell them I want a personal loan? Should my parents go with me or can I get good information without them?
  10. Howie's Lawn Care

    Howie's Lawn Care LawnSite Senior Member
    Posts: 512

    Do you already have decent financial history or are you starting from scrath?

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