As the owner of the shop. I used to work in the shop. I will have the advantage of close relationships directly with the customers and I can avoid debits from the customers. To be my own boss. I am the person responsible for the success or failure of the business. I can take easy decisions because there is none to consult. I can put them into action immediately and effectively. I am working for myself so I will try to put all kinds of hard work to make my business successful. I visited many websites in order to find the right sources of finances for my business. (refer to appendices 10). Halifax mortgage the premises or properties at an interest rate of 4. 94 for 30 years and they provide 97% of the value of the property and they also mortgage the premises or shop at an interest rate of 4. 04. Halifax for 30 years but they provide only 80% of the value of the property otherwise we can mortgage the premise at an interest rate of 4. 34 for 30 years for 95% of the value of the property.
Nat west(refer to appendix 11 of page 56 and 57) mortgage the premises or shop at an interest rate of 4. 94 for 25 years and they provide 100% of the value of the property but their interest is higher than Halifax and the time p is less than Halifax. The northern rock provides the cheapest interest rates of 6. 5 for loans in the United Kingdom and I can apply between 2000 and 25000 with a time p of 1-10years. Natwest (refer to appendix 11 of page 55) provide loans at an interest rate of 6. 9. I can apply between 5000 and 25000. I need to repay them in 7 years. I think to apply credit cards such as mint and Barclay platinum card for my commercial use. I can use my credit card if I am short of any finances. In mint platinum credit card. I can apply from15000 - 50000, which interest rate is 10. 9 and in my Barclay card, I apply for a maximum of 15000, which interest rate, is 17. 4. In credit cards, I need to pay the minimum amount they usually used to send us to pay but I can pay as much as I like but I cannot pay less than the amount they send us to pay.
I can clear the credit card anytime or just pay the minimum amount of 2% of the outstanding balance and it has an advantage that I can borrow the money at any time. I need to pay the minimum amount after using the card. I think to mortgage my shop at Halifax (refer to appendix 11 of page 59) because Halifax provides the cheapest interest rate with a maximum (97%) amount when compared to Nat west other banks. I thought to apply for a loan at the northern rock(refer to appendix 11 of page 58) because it provides the cheapest interest rate (6. 5) and a maximum of 25,000. I am short of finances. I will use my credit card. I will the minimum payment and I can clear the full payment if my business became successful. I can pay the full amounts if I make more profit. I think to apply for a regional select allowance from the government. I expect to receive a 10-15% grant because at present. I am unemployed and receiving jobseeker allowances. I came to through my friend that local council supporting small business with a 15% grant of regional select allowances and he said that he would help me in terms of finance if I need it. I think to ask my local council to do not to charge business rates for the first 6 months in order to establish myself in the local market. My family promised to help me by lending 10,000 when I start up my business.
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