Looking for Funding ideas

[L8 APEX]

I have to start my new shop plans ASAP. The local drama at the shop has continued to escalate in Jimmy's absence. I need to get my own place rolling to better serve my customers. I have exhausted all of the conventional lending avenues. The common answer I got was that nobody will loan a mortgage on a steel building no matter how it was laid out. Only brick or stick conventional homes. If anyone knows a better way or if a few wealthy members want to help out bring it on! I owe 44K on the land and I think 70K would complete the buidling inside and out.

[Beaudee]

RAFFLE!!!!!!!!!!!!!Something like a K.B. or small block.I am in.Fock the legal aspects.:cool:

[Beaudee]

I will donate some round trip airline tickets towards a raffle.We do raffles all the time @ work and we are a big Co..Maybe some help from outside vendors or those with(built} small blocks sittin around.:d

[tiffo60]

can you not get a SBA loan?

[L8 APEX]

I don't want a commercial loan the interest is high and the terms are short. I need a conventional 30yr mortgage and a little help from my friends. The business doesn't have the history required for a loan of its own.

[TXLIGHTNING]

I have to start my new shop plans ASAP. The local drama at the shop has continued to escalate in Jimmy's absence. I need to get my own place rolling to better serve my customers. I have exhausted all of the conventional lending avenues. The common answer I got was that nobody will loan a mortgage on a steel building no matter how it was laid out. Only brick or stick conventional homes. If anyone knows a better way or if a few wealthy members want to help out bring it on! I owe 44K on the land and I think 70K would complete the building inside and out. Did you check to see If you could get a morgage on a steel building covered with brick? This is how we had my business in Longview done.

[PoorSvtman]

i know my friends shop thats been around for a few years is looking to expand.. hes asked me to go in with him on a bigger shop... i could ask if he still wants to if your interested.. right now his shop is in the area of cooper and 287

[Beaudee]

Try to lease a shop close by your property till you have the cash to get it started.I believe some of the metal building co's will finance.Since you are a bit out from the city you might want to see how it goes buy leasing something first.

[L8 APEX]

I need a place to live as well as a shop this is the only way to do both.
I found a local yocal bank in Ennis that is familiar with the idea and will finance a shop house thing. Unfortunately to do this they have to keep the mortgage and cannot sell it off as usual. Now for the catch: They require verified income (full documentation) to do an internal mortgage. Being a small business owner I can't prove much income which puts me in the stated income (short documentation) bracket of lending. So it is one of those so close yet so far away kind of things..

[Silver_2000]

I know that you are shooting higher than this but what about taking one of the suggestions and going in with someone or working for someone at an established shop for a year, get a real paycheck. That helps solve your financing documentation issue, and while you are doing that find the right building etc. The other thing the bank will ask for, if this is going to be your business, is likely a business plan. The year will give you time to get that together.

IMO - You are trying to bite off too big a chunk all at once.

[SILVER2000SVT]

What about renting one of those industrial strip buildings. They are fairly inexpensive at $800 a month for 2000 sqft or $400 for 1000 sqft and you get a small business license for another $60 and off you go. That's what one of my friends does in the complex right across the street from mansfield muffler. The place is owned by etmc properties, but there are many more like it in the area.

I wouldn't recommend this for someone starting out, but you have an established customer base that will follow you to where ever you set up.

[WA 2 FST]

Jason,

I also think this is a good idea, and Terry and I have talked about it some. The issue is that he needs to live in the place as well. That way he's paying for a place to live/work, instead of potentially doubling that payment.

A 2000sf shop is pretty small. It might be enough for one lift, but it's going to be small when you consider you need some sort of "storefront/office", storage, tools, etc. 1000sf is out of the question in my mind.

Terry... I honestly think Doug is right on the money, as far as future viability of getting a bank loan at a reasonable rate to fund what you _really_ want to do (build on your own land).

I still think you need to consider moving farther north. I know its more $$. I think you're missing out on a larger clientel base now, and if you go farther south that will even be more the case. It doesn't matter to me b/c I'm someone who knows you and is willing to drive down there to bring you my truck. But there are others who have the resources to fund large $$ jobs who will not.

[mustgofaster]

Jason,

But there are others who have the resources to fund large $$ jobs who will not.

Wes has a good point here... The people he's talking about don't mind paying a little extra which means more $$$ in your pocket.

[wesman]

Wes has a good point here... The people he's talking about don't mind paying a little extra which means more $$$ in your pocket.

It's a give/take. If he goes way over to Plano area etc he alienates those that pay big $$$ on this side of town.

Who on that side of town is interested in building a L that is going to spend big $$$ but won't do it because of his current location???

The Irving area is a good "middle" ground, the downside of course is that it's Irving :tex

[WA 2 FST]

I'm not going to debate which areas of the metroplex would be more capable of sustaining a hot-rod shop. We all have our own opinions. I've done enough research w/ regards to real estate to feel very confident in my assessment. There are exceptions to everything.

However, moving the shop closer to Ennis (I can't remember where the land is) is going the wrong direction in my humble opinion.

I just want to see Terry succeed with his new shop... like we all do.

[wesman]

I'm not going to debate which areas of the metroplex would be more capable of sustaining a hot-rod shop. We all have our own opinions. I've done enough research w/ regards to real estate to feel very confident in my assessment. There are exceptions to everything.

However, moving the shop closer to Ennis (I can't remember where the land is) is going the wrong direction in my humble opinion.

I just want to see Terry succeed with his new shop... like we all do.

If he expands his horizons and starts tuning more than L's I certainly agree with you. However the talks I've had with him it seems he doesn't intend to. I've tried to get him to wrench on my Viper and he passed.

I too want to see him succeed, no matter the location. I just don't agree with the assesment that he will have more L's to build/tune/wrench on simply because he moved 30 miles N.

--wes

[L8 APEX]

I cannot afford the land and residence up north and I cannot afford home and work locations seperately. Right now I am paying about 1200 a month for home and shop combined and that is about my limit. It has to be something I can run out of my home based shop or I simply cannot afford to do it. Word of mouth and overall reputation has gotten me this far. I expect it to conitnue as things progress. I have learned to keep the faith when it comes to making ends meet. Also running a business from the homestead will allow me more time to be creative and productive with work only a few steps away. It also allows me to live one less income by eliminating several thousand in overhead that a remote store front would incur. I could not afford to have a 1200 dollar motrgage at home and a 1500 dollar shop space with utilities and insurance etc.. Not to mention incidentals like a 100 dollar a week fuel bill that I have now. It is my dream and the only way I will do it.
As for the Viper it was more a scheduling and lack of clean work environment than not wanting to do it. Plus you found a pretty cheap install for that job though he did end up taking a month or better. When I have the time I am glad to take on customer's other vehicles. Former Lightning customers have brought me, Marauders, 06' Harley's, Caddillac CTS-V, Viper GTS, Corvette C5 Z06 and C6, Ford GT's, Hummer H2, F250 diesels, Ferarri 360, Porche 996, 32 Boyd rod, 72 LS6 C3 which we hauled to Barrett Jackson in 06', Aston Martin DB9 Vanquish, and misc other models for various work. For the higher end cars I just want to have a nicer environment than Meadlin's. Which I am hoping my new shop will be that.
This is what I have in mind.
http://www.svtgalleries.net/gallery/data/500/medium/DSCN2383.JPG
http://www.svtgalleries.net/gallery/data/500/medium/DSCN2384.JPG

[L8 APEX]

My inspirations for this before I began were the other great tuners like Hennessey, Lingefelter, Doug Rippie etc. Those guys are not easliy accessible. Rippie and LPE are up in BFE and Hennessey runs his business out of some hangars at the local airport. All of these guys started like I did long ago.

[wesman]

Ever thought about business partners and expanding the horizons a bit? The downfall would be that someone else would have to do the day to day wrenching stuff and you do the upscale stuff....kinda like a upscale Meadlins :tu:

[Silver_2000]

Terry I think that if you were to hook up with some one that had a shop and had some business, you could make enough to both start the shop and have a place to live.

If the stand alone business cant generate enough $ to pay for $1500 in rent etc a month AND pay you then it may not be worth it. Which also partially explains the difficulty in getting financing.

Doug

[Flats Man]

Seriously Terry, I would find a really good looking woman with huge American Brests and lots of money that is really into cars and mirrors!

Too bad you aren't out here in Florida! Me and another guy have 2000 sq feet that has A/C, a 10,000 lb lift, Tranny jack, engine hoist,20 ton press, etc. He got an offer that he could not turn down at the beginning of the year. His share of the shop is $375/mth. I am looking for another guy to take over his space right now. I am trying to get Lightning Guys or srtreet rod guys to store their stuff to make up the lose of the partner. I will tell you this, the Guys out here are not anywhere near as supportive as the guys a Talon and it would be a struggle to build up a clientel. Good luck!:D

[tiffo60]

any reputable tuner, lightning tech as in JLP, JDM, ect has loyal customers that will drive hours to have them do work on there trucks, terry has earned my respect and loyalty and there is no limit to the distance i would drive to have him do the work on my L, as im sure alot of others here will do the same, i mean whats a few extra miles of driving to know that it will be done right, i dont know of any other tuners that will drive out to a customers house to help them get there truck running right or even pick up a truck at someones house with a blown motor and bring it back to his place so he can fix what evers broken to get it back on the road, thats customer service at its best, just my 2 cents take it for what its worth