Does anyone know of companies or individuals that provide financing of over 1million to startups? I have the presentation and quotation ready just need afew places I can present it.
Nunua kiatu ingine ya spare(preferably Safari mbootz) maana utazungusha proposal yake Nairobi hii mpaka dakika ya mwisho uikatakatie mbwa ikule ama ufunge nayo njugu karanga:D:D:D:DAnyway bro am not trying to discourage you am only preparing you for the bumpy ride ahead.
[ATTACH=full]191756[/ATTACH]
Is it a tech start up?
Is it bankable? Do you have collateral for this finance? Intellectual Property? Is it scalable? Does it currently make money?
Umeweza bro
No, its a manufacturing startup.
I don’t have any collateral or intellectual property which has been a huge barrier. It is making very small profits since I’m doing it manually. I need a machine worth 800k.
Finance the machine as collateral. Be smart about it. Either;
- Buy locally via a bank. Try NIC Asset Finance. Masaba Road Upperhill.
- Negotiate for a Letter of Credit and import yourself.
It would help to operate an account at the bank you are going to negotiate a facility from. Be realistic with your profits as those should be able to cover the monthly payments.
If you can’t be financed the traditional way, then there’s Plan B
Most banks offer asset financing facilities if you can convince them your cash flow projections are achievable … alternatively you can look for a partner and offer equity in exchange for financing
Thank you for the advice. I’ll drop at NIC on Monday and see how it goes. What do you mean by negotiate for a letter or credit?
Getting a partner aint easy at all. The moment you mention the 1million people tend to see it as a long term liability
Typo. Meant Letter of credit
Now i get it. Shukraan bro I’ll try this out.
Would you mind sharing what machine you are trying to purchase. And from where? You dont have to say what you manufacture, although it doesnt really matter.
Hahahaha,gaseyaaa.
Its obvious once you know the equipment then nature of his business becomes clear.
,
How long have you been keeping books on your operations
Jeengaah.
So if you own a posho mill, you think I will be able to outdo you?
Meffi,then why do you want to know the kind of equipment the guy wants to purchase.
May point him to a cheaper option than what he has in mind.
But understand that there is nothing like a secret business. As long as you are supplying something , your secret is out.