It takes a lot of courage to start your own economic existence. You leave the safe haven of a permanent employment contract or try to finally leave unemployment behind through your own company. However, starting up a business usually involves a lot of costs. Banks don’t particularly like to grant such loans. A loan for start-ups involves many risks, but it can be obtained under the right conditions.
The loan for start-ups: The skepticism of the banks
A well-known wisdom from the financial markets says that at least half of what is happening is influenced by psychology. Do you believe in positive economic development? Are you convinced of business models? This applies all the more to the credit market.
Business start-ups have no significant credit rating, no special collateral and no customer base with which they could assure that the financial institutions would get their money back. In this case, the only means left to the entrepreneur to convince a financial institution of a loan for entrepreneurs is the psychology that one will surely succeed in his business model. There is one exception, however.
The loan for start-ups: The state lender
If you are unemployed and have developed a business model that you are convinced will be successful in the future, the state may be available as a lender. He strives to get the unemployed out of unemployment benefits and therefore grants special start-up loans. The name that made the rounds a few years ago was “Ich-AG”. The state is of course not interested in questions such as whether the unemployed person has assets or what his Credit Bureau entry is. He is only interested in whether the business model is conclusive and promising.
The loan for start-ups: the way to the bank
However, the fact that you actually get such a loan for start-ups from the state is the exception. Most potential self-employed people have to stick to the banks and find good arguments to convince them. Perhaps the best argument is if one has previously managed to convince someone else who therefore gives his okay to be used as a guarantor. This can be done either by signing the loan agreement or by submitting a guarantee.
Another way to get a loan that can help you become self-employed is to choose not a full-time self-employed person, but a part-time self-employed person. This means that you continue to work for some time and at least have a certain credit rating. However, many self-employed people do not recommend doing this, because especially in the time when you have just started your company, you have to put a lot of work into it in order to be successful.