Small business loan with poor credit?

[marketinsider]

I have a poor credit history including a few default notices, however I've been offered a franchise working for a company that i know will mean me earning more money than I am currently on, however the first 6 months or so will be hard whilst I am getting myself established. As I am currently in employment I've been told I'm not eligible for a grant, and should apply for a small business loan. However will my personal credit record prevent me from getting a business loan ?

[1oui5e]

Yes it will, I am a partner in a small business, and its virtually impossible to get help from anywhere without a good history. The best thing is to approach your bank with a sound business plan and see if they can help you.

[fargo]

try for personal loan and go to broker who can offer loans to people with bad credit history

[ZinaRae]

Not enough information for me to help you. But I can give you a few pointers that may help. You didn't say what franchise, that makes it hard to analyze the situation. Secondly, the amount of the franchise fee. If they offred you a franchise, and they are a large corp. they may extend credit to you for the fee. There are a lot of "ifs" here, and I need more info. You will not get a co-signer on a business loan unless the signer/co-signer are into it together. You'll also need a business plan BEFORE you even apply for a franchise or ask for credit. You have a lot to do before you can do anything. Also, check out the SBA, as they have very good advice that will help you.