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Hello All

Posted: Tue Nov 14, 2006 10:15 am
by Matthew Lucas
Hello, my name is Matt Lucas, and yes I do work for a finance company in St. Cloud MN, so I am here selling something however, I joined the board to find out more about the sweeping and striping industry. I work for a direct lender, Northland Capital they specialize in niche markets that are largely unsupported by some of the larger players. We get our funds from a Farm Coop. I know a great deal of funding sources just hound after the manufacturers. What I want to know is what are the challenges for the business owners out there as it relates to the finance aspect, is financing even a concern or are most of your purchases made with cash? What financing products that you have been involved with that helped support your business initiatives. I know here at Northland we have Jan - May skip payment plans but how useful is that finance tool? Probably based on your location. Is the secondary market (used) a better niche to focus on because some of the large manufacturers have captive capabilities? What organizations do you all belong to, would it be worth joining them to learn more about the indusrty, develop contacts/relatioships? What has been the overall experience out there in regards to equipment leasing? Any input is greatly appreciated.

Matt

Re: Hello All

Posted: Tue Nov 14, 2006 2:10 pm
by Dwan
Matthew Lucas wrote:Hello, my name is Matt Lucas, and yes I do work for a finance company in St. Cloud MN, so I am here selling something however, I joined the board to find out more about the sweeping and striping industry. I work for a direct lender, Northland Capital they specialize in niche markets that are largely unsupported by some of the larger players. We get our funds from a Farm Coop. I know a great deal of funding sources just hound after the manufacturers. What I want to know is what are the challenges for the business owners out there as it relates to the finance aspect, is financing even a concern or are most of your purchases made with cash? What financing products that you have been involved with that helped support your business initiatives. I know here at Northland we have Jan - May skip payment plans but how useful is that finance tool? Probably based on your location. Is the secondary market (used) a better niche to focus on because some of the large manufacturers have captive capabilities? What organizations do you all belong to, would it be worth joining them to learn more about the indusrty, develop contacts/relatioships? What has been the overall experience out there in regards to equipment leasing? Any input is greatly appreciated.

Matt
The bigest problem is for the newly self employed to get financing. Finding money falling out of a tree is easer.
Everyone wants a track record and the last 3 years of your taxes. This is not avalable for a new business. I understand the risk but the finance co's dont look at the person, instead they look to see how the average joe has done in the past.

It seems the smaller finance co you can find the better luck you have of getting approved.

Just my views over the last 30 years of doing business.

New Business

Posted: Fri Nov 17, 2006 1:00 pm
by Matthew Lucas
I agree that finding money for new businesses is tough. It is not something we specialize in however if there was someone within our 5 state area that would be looked at a great deal closer than someone who is not. I do know of lenders with programs for start ups but they are ususally on a micro ticket level, 5000 - 20,000. Industry experience plays a great deal into start ups, so lets say if you worked for a sweeping company and then decided to get into it yourself. That would be something that would looked at a great deal closer.