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Urgent Help Needed
Rank: Member Joined: 5/2/2007 Posts: 48
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HellO Good People, I am looking for some wise words from members of this forum. How do i get my firm out of debt. We are a transport firm that has been in operations for the last three years. like any start up the firm raised cash through friends and family at ridiculous returns (10%) per month. Now this debt is killing the business and we seriously need a way out. My question to the group is 1.Can i get some help on restructuring?. 2. What financial institutions are out there that we can work with to grow?. 3.Is selling equity an option and how do i make it an attractive venture with my heavy debt portfolio?. hapa saa hii leo
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Rank: Elder Joined: 6/2/2011 Posts: 4,824 Location: -1.2107, 36.8831
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kazikwisha wrote:HellO Good People,
I am looking for some wise words from members of this forum. How do i get my firm out of debt. We are a transport firm that has been in operations for the last three years. like any start up the firm raised cash through friends and family at ridiculous returns (10%) per month. Now this debt is killing the business and we seriously need a way out.
My question to the group is
1.Can i get some help on restructuring?.
2. What financial institutions are out there that we can work with to grow?.
3.Is selling equity an option and how do i make it an attractive venture with my heavy debt portfolio?. 10% a month for the last 3 years? Can i lend you some cash? On a serious note, from where am seated, i would say you convert that debt into equity. That interest rate is ridiculous. Just tell them to pump in a "few coins" then add the remaining debt amount and agree that to translate to 5%, 10%, 15%, 20%, 25% etc etc etc ownership. Receive with simplicity everything that happens to you.” ― Rashi
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Rank: Member Joined: 9/11/2015 Posts: 245 Location: Thika
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Are you serious? 10% per month? You surely need financial education. Even a form four leaver knows that you got a very bad deal...the worst I have ever seen. Declare bankruptcy, liquidate assets, pay all creditors and start afresh without those serious and stupid mistakes. Since men have learned to shoot without missing, I have learned to fly without perching
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Rank: Elder Joined: 11/5/2010 Posts: 2,459
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Jon Jones wrote:Are you serious? 10% per month? You surely need financial education. Even a form four leaver knows that you got a very bad deal...the worst I have ever seen. Declare bankruptcy, liquidate assets, pay all creditors and start afresh without those serious and stupid mistakes. This was uncalled for. Kazikwisha came here looking for help but you have already decided he is too daft to do business. @kazikwisha, you need to tell us something about the business model. Are you making cash ? If yes, then your problems can be resolved easily.
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Rank: User Joined: 8/15/2013 Posts: 13,237 Location: Vacuum
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FRM2011 wrote:Jon Jones wrote:Are you serious? 10% per month? You surely need financial education. Even a form four leaver knows that you got a very bad deal...the worst I have ever seen. Declare bankruptcy, liquidate assets, pay all creditors and start afresh without those serious and stupid mistakes. This was uncalled for. Kazikwisha came here looking for help but you have already decided he is too daft to do business. @kazikwisha, you need to tell us something about the business model. Are you making cash ? If yes, then your problems can be resolved easily. He can be making cash and make loss at the same time If Obiero did it, Who Am I?
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Rank: Veteran Joined: 2/12/2008 Posts: 1,178
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kazikwisha wrote:HellO Good People,
I am looking for some wise words from members of this forum. How do i get my firm out of debt. We are a transport firm that has been in operations for the last three years. like any start up the firm raised cash through friends and family at ridiculous returns (10%) per month. Now this debt is killing the business and we seriously need a way out.
My question to the group is
1.Can i get some help on restructuring?.
2. What financial institutions are out there that we can work with to grow?.
3.Is selling equity an option and how do i make it an attractive venture with my heavy debt portfolio?. For starters, Assuming you have been banking, i would advise you sit down with your banker have your cashflow analysed and take a bank loan at around 1.5% per month saving you about 8.5% interest per month. Then pay off the rela vultures
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Rank: User Joined: 8/15/2013 Posts: 13,237 Location: Vacuum
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willin2learn wrote:kazikwisha wrote:HellO Good People,
I am looking for some wise words from members of this forum. How do i get my firm out of debt. We are a transport firm that has been in operations for the last three years. like any start up the firm raised cash through friends and family at ridiculous returns (10%) per month. Now this debt is killing the business and we seriously need a way out.
My question to the group is
1.Can i get some help on restructuring?.
2. What financial institutions are out there that we can work with to grow?.
3.Is selling equity an option and how do i make it an attractive venture with my heavy debt portfolio?. For starters, Assuming you have been banking, i would advise you sit down with your banker have your cashflow analysed and take a bank loan at around 1.5% per month saving you about 8.5% interest per month. Then pay off the rela vultures Why 8.5% p.m when he can take a loan at 17% p.a? If Obiero did it, Who Am I?
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Rank: Elder Joined: 11/5/2010 Posts: 2,459
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Swenani wrote:FRM2011 wrote:Jon Jones wrote:Are you serious? 10% per month? You surely need financial education. Even a form four leaver knows that you got a very bad deal...the worst I have ever seen. Declare bankruptcy, liquidate assets, pay all creditors and start afresh without those serious and stupid mistakes. This was uncalled for. Kazikwisha came here looking for help but you have already decided he is too daft to do business. @kazikwisha, you need to tell us something about the business model. Are you making cash ? If yes, then your problems can be resolved easily. He can be making cash and make loss at the same time @swenani, this is a far better scenario than to be making profits with no cash. I learnt that the hard way. @kazikwisha, if you are serious, put your e-mail contacts here.
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Rank: User Joined: 1/20/2014 Posts: 3,528
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Swenani wrote:willin2learn wrote:kazikwisha wrote:HellO Good People,
I am looking for some wise words from members of this forum. How do i get my firm out of debt. We are a transport firm that has been in operations for the last three years. like any start up the firm raised cash through friends and family at ridiculous returns (10%) per month. Now this debt is killing the business and we seriously need a way out.
My question to the group is
1.Can i get some help on restructuring?.
2. What financial institutions are out there that we can work with to grow?.
3.Is selling equity an option and how do i make it an attractive venture with my heavy debt portfolio?. For starters, Assuming you have been banking, i would advise you sit down with your banker have your cashflow analysed and take a bank loan at around 1.5% per month saving you about 8.5% interest per month. Then pay off the rela vultures Why 8.5% p.m when he can take a loan at 17% p.a? Formal education will make you a living. Self-education will make you a fortune - Jim Rohn.
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Rank: Elder Joined: 9/23/2009 Posts: 8,083 Location: Enk are Nyirobi
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FRM2011 wrote:Jon Jones wrote:Are you serious? 10% per month? You surely need financial education. Even a form four leaver knows that you got a very bad deal...the worst I have ever seen. Declare bankruptcy, liquidate assets, pay all creditors and start afresh without those serious and stupid mistakes. This was uncalled for. Kazikwisha came here looking for help but you have already decided he is too daft to do business. @kazikwisha, you need to tell us something about the business model. Are you making cash ? If yes, then your problems can be resolved easily. Bankruptcy protection is actually very sound advice. Working to service a 10%pm debt is slavery. Life is short. Live passionately.
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