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Update: We were able to secure another cosigner. I just got done faxing her information over to LeaseStation. So here's hoping that they say her credit and income are good enough in combination with ours to get this lease approved and get this business up and moving forward. =)
Good luck on getting your new business started. Nothing quite like using good equipment to get you motivated on building the business.Quote:
Originally Posted by blasphemy000
I totally agree on the good equipment thing. That's why I went straight for the top of the line 250EX model with water cooler and WP20 torch. I figured go big or go home. Plus the price was awesome! I also figured with all of the features that the machine has I will be able to learn some new tricks and hopefully be able to make use of said features. Thanks for the kind words!
Update: Well. We got denied again. I guess the cosigner we had wasn't good enough for LeaseStation and we're having an impossible time trying to find somebody else to help. We might get shut down before we get started. We even have gone as far as offering any potential cosigner $100/month for 10 months(so $1000 dollars) if they cosign for us and we still can't find anyone to help. Just wanted to thank everyone for the kind words and best wishes but I think it's back to the drawing board for us over here. Keeping my head up and hoping for the best. I really don't want to have to back away from my business idea...
Chin up. Where there is a will, there is a way.Quote:
Originally Posted by blasphemy000
Yeah. I'm sure I'll eventually figure it out. I'm trying not to get discouraged but it's becoming very hard. I'm actually(and literally) sick to my stomach at the thought of having to give up before we actually got started but I'm pretty much out of options. I have an old friend that's supposed to call me after he gets off work to listen to my business proposal but I honestly don't see it going anywhere cause we've been out of touch for a really long time.
Maybe you could get started with a lower priced machine and work your way up.
It's not the price that's messing me up, it's the credit requirement. No matter what machine I go with I would have to either get a loan or lease it through Everlast so the cheaper price really doesn't help me at all. Besides, the lease payment for the $2400ish it would cost for the 250EX and supporting equipment was less than $130/month which I can easily afford.
ever try for a credit card that's how i started my business staring out , the intrist sucks but not bad if you make like double payments
Yeah. I tried that route as well. My mom has a decent credit score, it's just that she's only had one loan in the last 10 years and that is her mortgage, so even though her credit is decent, she doesn't have enough of it. And as far as the business goes, legally it's only a week or so old so the business has no credit at all, our score is effectively zero. I know where I could probably get a $2600 loan, but the payment is $290ish/month and I'd be paying back over 5 times what I borrowed if I took the entire time to pay it off. I'm not that desperate to put myself into a hole that I might not be able to climb out of. I'm just hoping I stumble upon a willing cosigner that way I can get the lease through Everlast and just be done with it.
I had a friend that had sorta the same problem he got a second mortgage loan for 5000 to install a new rear patio he used the money to buy the tools to do the rear patio and his shop
Just keep in mind, no machine no income, so you need to get something to start making money, the EX can come later (I miss the old LX I used for 4+ years and did not have all the EX features; no joke I loved the LX).
The 185 will handle steel and aluminum (requires a little more practice if you're new to TIG since you loose some extra controls).
I see where you are coming from, but I know I could make as much TIG money with the Micro-185 or the 250EX, with a WP-18 or WP-20. I think we all started somewhere, and most have been there too with some other tools/equipment.
Heck if you live in my area I would loan you a 250EX (personal unit) for a month (if I knew where you lived :D ).
Are you sure most of your work will be TIG? We do probably 95% MIG to TIG.
Not trying to beat you up, but can you get a Micro-185 or ITIG-200 without the loan and get started?
No matter which model I went with I would have to borrow the money, that's why I figured since I was going to have to borrow it anyways I might as well just start with the equipment I really want. Most of my work will be aluminum TIG, some steel TIG, and probably quite a bit of stick welding as well. Even if I went with the 200DX that still only drops the price down to just under $2000 with the accessories I want with it and it doesn't change the credit rating I need to get the loan or the lease either. Unfortunately I spent the last 6 years ruining my life, burning bridges, and screwing over almost everyone I ever knew, so trying to find somebody to believe that I've turned things around over the last 2-1/2 months is very hard to do, and out of the people that stuck around and know that I've went straight, their credit isn't good enough for them to be able to help. I don't know, I might just have to put this whole self-employment thing on the back burner for a while.
Mike. I appreciate the offer to borrow your unit, but I'm clear in Western PA so that wouldn't work out so well. Haha.
Credit Card is a great idea Rod, and 0% for a year on some. As long as he is "SURE" he is gonna make money (I can not part with any more of my tax money LOL).Quote:
Originally Posted by Rodsmachineshop
Also, pay it off before interest kicks in, you build credit too. They like you to make a few interest payments though. My son bought a car, I co-signed, next thing you know Credit Card offers and loan offers (yes, in this economy). He will be moving the payments to a loan (in his name) and save almost $70 a month to boot. Worth calling around on the credit card offers from your bank.
Wish you were down here. The loan of an EX and the talents to get you started would be something for you, but your too far from me. Id be busting your but and me getting a cut of the work too. haha..
Have you called around your area up there for someone (welder/shop) that wants a helper and you can use their equipment. Right guy and you are rolling, then take that money and get a unit.
Aluminum is the killer for you, otherwise the 160STH would be good for stick and HF TIG. Cool little DC welder.
Yea, PA, the shipping, etc. I'm out.
But see if there is someone local that will work with you. I have kids (not that you're a kid) over all the time. We teach them, some actually are off welding.
As you think about your options another thing to consider about a lease is the cost of actually owning the equipment at the end of the deal. I don't know anything about the leasing company, so details will vary, but the "$1 buyout" is not automatic. I've heard about lease companies that charge a 20% buyout fee to own the equipment at the end, so it's an important detail to keep in mind, it could turn out to be a fistful of dollars.
I was also in favor of the credit card idea- there's a calculator here
http://www.federalreserve.gov/credit...r/Default.aspx
...that suggests you could pay the credit card off in 23 months (22% APR, $2400 purchase, $130 monthly payments).
If you set your sights on a somewhat less expensive machine to start, you could get into the game, pay off the machine quicker while you establish what your bread and butter jobs really need from you. Remember, some of the guys in this forum are making a good chunk of their business on the road.Quote:
Originally Posted by DaveO
You could also just start by taking on jobs you can do with the equipment you have. Then expand once you have put away some cash. You also mention not taking on jobs where there are risks from possible weld failures. However, that could be any job, even the mower deck repair you did. In this litigious society, liability insurance is almost a requirement of even small businesses. Sad, but true.
100% spot on (take the jobs and work up) and also very sad but true on the last comment (liability).Quote:
Originally Posted by Rambozo
Some people carry 1 mil+ to sell sandwiches in a commercial building. Wish I could say I was kidding.
No welder, no insurance. Forget certs.
This idea has merit to consider: it's not the "jump in with both feet" method you had planned on, but you could sure get started, maybe have a day job and a nights and weekend welding side that gets bigger and better. The self-employed people I've known are some of the hardest working guys I've ever met: they spent a lot of time drumming up new business and a lot of time keeping existing customers happy.Quote:
Originally Posted by Rambozo
Looking at your signature: is the Hobart Handler a gas MIG? I'm guessing FCAW is not going to make customers happy. And is the DC TIG operational? Just wondering if you have assets in your hand right now that you had overlooked, thinking a 250ex was soon to arrive.