Casey bought a business and immediately needed an $85,000 loan just to make payroll, with a $2,700 monthly payment. The company has $30,000 in vendor debt and can't qualify for traditional bank financing due to poor credit. The loan terms make it nearly impossible to refinance or escape.
They took out a Shark loan to make payroll this week. Casey bought the business and has no idea about his numbers.
Oh, and mind you, when we came into all of their accounts, they have charge accounts everywhere. Charge accounts? What do you mean? Branch and home for Saul. Oh, all the vendors? Yeah.
In terms of payables, like vendors, all these other things you're talking about, how much is that right now?
Probably like $30,000. I mean, our business loan that we got was only enough to actually get caught up.
Okay. How much was that?
$85,000.
$85,000. And that was SBA or bank loan or what was that? SBA.
What's the monthly payment on the $85,000?
$2,700.
A week?
$2,700.
We personally don't qualify for bank loans because we don't have a credit score of that, so I had to go through one that I found.
A payment processor? Yeah. After poring over the document, I realized there's probably not an easy way to get out of this contract.
I hate to say it, I think you should try to get out of the business.
