Can you get a business loan if you don’t have revenue?

Wow
can you get a business loan if you don’t
have revenue it’s a question that came
in from mo who’s one of my youtube
viewers most amazing has a great smile
ask the ton of questions is always
active so thank you mo and i love to
answer this question for you here’s the
thing banks are typically not the best
place to go to for funding your business
because banks do not take risk they want
to make sure that they’re going to get
their money back so if you’re just
starting up the bank is not the place to
go if you want to get a small business
loan then absolutely they want to see
revenue growth not just revenue they
want to see profits if you have revenue
but you’re losing money it’s going to be
really hard to get a bank loan they want
to see three years of traction and
growth so you’re gonna have to show the
last three years of your top line
revenue and your bottom line profits and
it better be growing and it better look
good or they’re not going to say yes
just my business loan because it’s risky
because most businesses fail and they
don’t want to be attached to that they
want to get their money back they want
to be able to grab on to something in
case it doesn’t work out so typically
the only way to get a small business
loan as a start-up is to have a personal
guarantee so that means if you can’t pay
the loan back from your business you are
on the hook personally they can take
your car they could take your house they
could take any investments that you have
you are personally on the hook for
repaying that loan if you really need to
get money then as a start-up the best
places to get it first of all is
bootstrap don’t spend money I hate
spending money till I’m making money try
to find a way to get it from your
customers put that money back into your
business it’s slower growth but you’re
going to be able to make and build a
more successful business because you
know what you’re doing you’re building
and you’re learning the process as you
go through if that’s not working out
fast enough for you then your next best
bet is to look at friends and family
look at people who you know who might be
able to invest in your business and
often the people who do it aren’t the
people who are closest to you they’re
not your uncle or your aunt or your
parents or your brothers and sisters
it’s the people who are in a much wider
network maybe
somebody went to high school with so you
got to spread the word beyond your
immediate network if you need to go get
that loan be prepared to give that
personal guarantee or they’re not going
to say yes to you but again I hate
spending money until I’m making money so
go find a way to hustle bootstrap get
something of value that you can sell to
your customers get money in the door
start building that business up and then
when you’re ready to expand then it’s
easy to go after a banker or an angel
investor or even a venture capitalist if
you have bigger dreams because you’ve
shown that it can work on a small scale
I know you’re really ready to ramp up
thanks for the question mo believe for
those of you watching you like the video
please give it a thumbs up below makes
me want to do more for you and I’d love
to hear your questions and your comments
below i’ll make a video reply for people
who write in thank you guys i’ll see you
soon