Will banks give you a loan if you don’t have any revenue?

if you want to get a small business loan
for your company you have to show that
you’re beyond the startup stage and
already have significant traction with
your company otherwise you’re going to
be wasting your time they’re going to
reject you and you might as well put
that time to actually grow in your
business hi I’m Evan Carmichael I
believe that hungry entrepreneurs
deserve help and today i’m answering a
question from one of my readers Moe
Moe’s awesome most been asking tons of
questions conversing in other videos I
love you moe thanks for all the work
somo rode in to say our small business
loans to get a small business loan our
banks less apt to approve the loan if
your company hasn’t made any revenues so
no absolutely you gotta understand where
banks are coming from banks are not in
the business of taking risk on
entrepreneurs banks want to lend safe
money to people they want something that
they can pull away in case you can’t pay
your loan back so they want your house
or they want an asset that they can take
if you don’t have assets then there’s
nothing for them to take if you’re
trying to get a loan for your business
it’s usually not possible until you’ve
already had three years of traction and
revenue if you want to get a start-up
loan and you’re just getting started
then you usually have to do a personal
guarantee which means that if you if you
don’t pay your money back they’re going
to take your house they’re going to take
your car they’re going to take anything
that you have in your possession and the
asset that you have and it’s me based on
your credit score it’s always dangerous
to take out a loan that has a personal
guarantee because they can come after
everything that you have if you can’t
make that payment and you could end up
broke right nothing I hate spending
money till I’m making money and I hate
going into debt I always try to fund my
business from the profits I put my
hustle I put my blood my blood my sweat
my tears everything into it my time my
energy to get some dollars out and once
that starts to happen I expand and maybe
you need money for expansion but I hate
going into debt especially when you’re
first starting up I strongly advise
against it because it can sink not only
your business but your entire personal
financial future you make one wrong
business decision and you’re stuck
paying this
off for the next 20 years I know it’s
hard starting the business and I know
one of the biggest challenges is getting
money to do it as much as possible try
to start a service try not to spend
money until you find a way to make money
you test your concept out on a really
small scale show that it works before
you invest your own dollars and
especially somebody else’s dollars into
the cup into the business if you’re
going to talk to a bank again the banks
are probably the least friendliest to
startups of any kind of investor they
want to see the three years of traction
history revenue growth with your company
and if they don’t have it they’re going
to take a personal guarantee and
whenever money you want to take out
that’s life dealing with the banks I
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