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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: 4,818 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: 244 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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Rank: Elder Joined: 2/26/2012 Posts: 15,980
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So now where are you? @kazikwisha "There are only two emotions in the market, hope & fear. The problem is you hope when you should fear & fear when you should hope: - Jesse Livermore
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Rank: New-farer Joined: 5/22/2014 Posts: 56
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What kind of Transportation? Transit long Haul?
How much in figures do you owe?
What is the current asset base on tangible and intangibles?
How many owners?
Did you have contracts? How long?
How much would you need to recuperate?
Where are you located?
How many employees do you have?
Why are you looking for a financial institution instead of an investor?
Articles of association?
Say more...the more you say, the more you get solid answers.
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Rank: Veteran Joined: 5/5/2011 Posts: 1,059
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Talk to your bank they will pay off all your debts and then negotiate better terms with them and if your cash flow is healthy enough you might get up to 15% and 60 months repayment To Each His Own
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Rank: Veteran Joined: 5/5/2011 Posts: 1,059
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Talk to your bank they will pay off all your debts and then negotiate better terms with them and if your cash flow is healthy enough you might get up to 15% and 60 months repayment To Each His Own
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Rank: Member Joined: 3/26/2012 Posts: 830
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sparkly 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. Bankruptcy protection is actually very sound advice. Working to service a 10%pm debt is slavery. You have to quit being a slave. I believe you should declare bankruptcy or at least terminate the business arrangement with your friends and family. They will be very unhappy with that decision, but you cant continue making losses to please them. The terms of that loan/s were bad and unsustainable. A successful man is not he who gets the best, it is he who makes the best from what he gets.
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Rank: Member Joined: 8/25/2015 Posts: 839 Location: Kite
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S.Mutaga III wrote:sparkly 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. Bankruptcy protection is actually very sound advice. Working to service a 10%pm debt is slavery. You have to quit being a slave. I believe you should declare bankruptcy or at least terminate the business arrangement with your friends and family. They will be very unhappy with that decision, but you cant continue making losses to please them. The terms of that loan/s were bad and unsustainable. kae weitire man! mathena ne marume!
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Rank: Veteran Joined: 11/15/2013 Posts: 1,977 Location: Here
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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? @Swenani did you understand the statement? 1.5% monthly = 18% p.a. The 8.5% is what he'll save. Everybody STEALS, a THIEF is one who's CAUGHT stealing something of LITTLE VALUE. !!!
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