I am trying to startup a small towing operation but need help finding financing. Although my credit is poor (due mostly to repercussions of a divorce a few years ago), I do have collateral in the form of a rental property that I own outright and is valued at around 60k. All I need is 20k, but cant find someone to help make this happen. Anyone have any ideas?
Consider building corporate credit. Are you already incorporated?
Where are you located?? Have you developed a business plan that I can read??
You can always approach your bank or credit union with your collateral to see what they will do - it is really up to their individual loan policies. They may also offer SBA progams to get you started. There are also micro-credit loans or peer-to-peer lenders that could help if you credit is not completely destroyed. There are also non-bank commerical property lenders that could provide equity loans on your property who may also take more risk due to your credit.
You could also bootstrap - by asking friends and family to invest in you - as they know you best.
But, your best bet is to fix your personal credit - take the time now to improve your personal credit history - this way as you start and grow your business - you will not have to face this hurdle again. Remember, not only do lenders look at credit (personal credit) but so do most suppliers and some customers not to mention insurers and landlords.