Using your home equity loan as your business fund

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2 Responses to “Using your home equity loan as your business fund”

  1. Kevin Salwen, SBAC Expert says:

    You know that feeling you get when you’ve eaten too many onion rings and the sourness starts to bubble up? I’m getting that feeling now.

    I am an entrepreneurial zealot; I love small business and I love small-business owners. But, I get very squeamish when I see people mingling their personal and professional funds. The one slab of advice I stress more than any other when I counsel entrepreneurs: Never put your family at risk, not through personal actions, not through your business. Tempting as it is to go "all-in," I only advise that for folks in the World Series of Poker.

    So, my short answer would be "bad idea." Find other ways to raise the money: work longer at a job; find investors; bring in suppliers as teammates; ask customers to pre-pay for a lower fee later on. You get the picture. Repeat after me: Never put your family at risk.

  2. kathleen k says:

    I have gone broke financing my business and now borrow from my local bank to fund, as I pay that better than I do pay myself.

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