Are you thinking about starting a new business as a food van, food truck, coffee van or something else? You’re not alone! Mobile food businesses are a fast growing industry in Australia.
If you’re like most new businesses, you’ll need some capital to get you started. For a small initial investment, we can assist with custom finance solutions to suit your plans and budget, so you can get on the road, and fast.
To give you an idea, here are the 3 most common financing solutions available:
- Rent to own
- Finance yourself
- Getting a loan or investor(s)
Lets look at these in more detail:
Rent to own
An alternative to traditional choices, the Rent to own solution is flexible and offers a number of options of a rental while still contributing towards paying off the asset so you can one day own it. You get more flexibility and options as you grow. Specifically designed for small businesses, it starts as an initial 12-month rental contract where you pay a weekly rental amount, which helps to pay off the asset.
Getting the funds together to start a mobile food or beverage business isn’t easy. Besides having to come up with the money yourself, you either have to have saved up the initial investment or start saving now, which of course will take a while. It’s not good financial management to use up all your savings or super fund for what is an unpredictable venture. However if you are confident you have the budget, it can be a good way to go to avoid debt. Be sure to do your research and weigh up the risks. If you’re a business owner that is determined to do it on your own, financing yourself is a good option.
Getting a loan or investors
If you don’t have the required capital to start your food truck business, you may want to consider the viability of taking out a loan or finding a suitable investor. There are a few challenges you need to be aware of. These include qualifying for funding, a good credit history and any outstanding debts. Loans incur interest and investors want a share of the profits. However, its one of the fastest ways to get the cash you need to get started. Do your research, put together a business plan and find a bank or investor that is a good fit for you.
Our focus in on finding ways to approve you, not decline you! We are not a bank and so we can look outside the box and look at your potential moving forward as opposed to solely how much property you own.
How to choose what’s right for you
There are a lot of things to consider with each financing option, so it pays to speak to someone who understands all of them and can give advice based on your unique situation. We can help you decide based on what’s most important to you and your budget.
No matter what you choose, you need to be really clear what your goals are and the risks involved. When you’re confident about your choice, you’ll have less stress and can put all your energy into building a successful business.
Call us now on 0468 371 449 – we are happy to chat about your situation and what you’re looking for.