The Entrepreneur Thread

[Purply]

Rule #1. Never finance machinery with your bank

Lol true Koosi, other institutions generally give you a much better deal, we went the bank route as it was one of those urgent purchases.

Also keep in mind that you might be able to claim back about 20 - 35% of the purchase price from the DTI, although you first need to purchase it before you can forward the claim. I speak under correction, but think you get about 9 months after the initial date of purchase to still submit a successful claim.

 

[Purply]

My current company will in all likelihood continue to give the work to me as they are feeling the pressure from clients to get results faster.

I am also busy designing a website and working on marketing the company to other clients which won't be too hard as most companies are tired and complaining about there being only one company and the turnaround time taking so long.

I have also emailed a past uni lecturer who specializes in ISO9001:2008 to help me implement this management system.

What line of work does this company fall under?

 

[DJ...]

Rule #1. Never finance machinery with your bank

Nah, this is where the banks really do help. You need to have a good relationship with them though...

My current company will in all likelihood continue to give the work to me as they are feeling the pressure from clients to get results faster.

I am also busy designing a website and working on marketing the company to other clients which won't be too hard as most companies are tired and complaining about there being only one company and the turnaround time taking so long.

I have also emailed a past uni lecturer who specializes in ISO9001:2008 to help me implement this management system.

never, ever bank on a single relationship, and never bank on that relationship continuing...

 

[DigitalSoldier]

@ Purply,

Its in the engineering sector.

My only concern though is that I read today that AMCU is threatening a strike in the gold mine sector as well.

I have mailed some of the engineers I know in the gold mine industry and they are all willing to give me a shot, but if AMCU starts their **** at the gold mines the same as with the mines in the platinum belt it will be a big risk.

 

[Chevron]

Lol true Koosi, other institutions generally give you a much better deal, we went the bank route as it was one of those urgent purchases.

Also keep in mind that you might be able to claim back about 20 - 35% of the purchase price from the DTI, although you first need to purchase it before you can forward the claim. I speak under correction, but think you get about 9 months after the initial date of purchase to still submit a successful claim.

Can I ask what other institutions you speak of?

 

[Sonic2k]

Can I ask what other institutions you speak of?

Some machinery outfits have in-house finance.

 

[phiber]

never, ever bank on a single relationship, and never bank on that relationship continuing...

Those are probably the wisest words to give anyone starting a business.

 

[Purply]

Like Koosi mentioned, some machinery places have their own institutions they turn to when it comes to financing as these places specialise in that kind of equipment. We used Nedbank, which like any other bank have their own branch that deals for machinery. Luckily for us they have dealt with the company we purchased from on many occasions, so they knew what the resale value would be in case something goes south, so the risk to them was low.

What make/model engineering machine (I'm assuming lathe/vertical machine centre) are you looking at getting as I'm kinda in the engineering (more engraving) field myself.

 

[TimWarren12]

Dunno better consult a financial analyst first