Is it possible to get a loan a 3 million dollar loan?
I am interested in getting a loan for 3 million dollar loan for an established bussiness I am working at.
It makes a million dollars a year exculeding expensises. Which are about 400,000 expensises. How long would it take to pay it off? and do you think its possible?
- L. E. GantLv 710 years agoFavorite Answer
Yes - but it would be a commercial loan, which has its own set of rules. You'd need to have a fair amount of collateral to get it, and a legitimate (ie business reason) excuse for wanting it, and be able to prove that it will make a difference to your business.
- kyleLv 410 years ago
if you are buying this business. You should try to work out a deal with the current owner and buy the business directly from him. You will take over the business and pay him a certain amount a month as down payment for a couple years. It will be way more than the $4000/month that another responder answered and it would not be amortized over 30years. You could get a loan from a bank but you would need a lot of collateral and would have to have lots of detail on how your business works and how it makes money and how you would be able to afford it for the time being. With the credit market the way it is and being that you most likely do not have the money in order to show the bank you personally are good for $3 million you should definitely work with the current owner.
- SarahLv 44 years ago
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First problem: no bank is going to give you an unsecured loan for that amount. You'd be lucky if a bank gave you 2000 even with your 15k in savings. Second problem: There is no investment that can guarantee a 16% plus return. If there was we'd all be rich. It's never, and I mean never that easy. Third problem: Even if you could get a loan it would be much much much higher than 3% for an individual. Because this would be an extremely risky loan the rate would be extremely high.
- bikerwoodyLv 610 years ago
If you can prove to the bank that the business is worth 3mil and that you could cover the repayments, you can get a loan. The loan term would be long, probably 30yrs at about $4000 per week repayments. You will need to talk to the bank and see what paperwork you need, like an accountant's evaluation, and an audit of the business.
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- Anonymous10 years ago
OF course it is but there are so many things you are required to do and based on what I knew it would be possible if it is for a corporate business for the amount is too big
- 10 years ago
The amount is very big. Eligibility to get that huge amount would be the biggest question, I believe. If you deserve to get, you will.