My husband and I want to buy a family friends business. Long story short she will take $45K for a well established ice cream shop. We can't go thru the business loan cause we need 30% down and we don't have it. However, someone mentioned doing a personal loan cause:' 1. I would be able to pay it back in 2 years max, so the interest rate isn't a factor. 2. Less headache (paperwork wise) Basically I'm looking for a personal loan that pulls EXP or EQU. However, do I tell them I am gonna buy a business or that I will use the money to pay off debt??? ANy thoughts, suggestions?
A $45K unsecured personal loan is going to be difficult unless you've got some strong financials. What CRA is pulled will likely be the least important part of the process. The lender will want to see an income statement from you and your husband and will likely verify the last 2 years worth of your income. Never lie about something like this. If the plan backfires you'll be in all sorts of legal trouble.
