Start a photography business in Canada

Borrowing to start a photography business in Canada

If you plant to start a photography business in Canada and are short of cash, you are probably looking for ways to finance your project. There are different ways to go about it, from applying for a business credit card to taking a business or start-up loan to cover costs such as licenses and fees, equipment and inventory, and so on.

Business Plan

A solid business plan is the key to success, especially if you are just starting a business and have a fair credit score. A business plan for a photography business must include your objectives, mission, executive summary, company ownership and company summary, and keys to success. In addition, a good business plan also includes details and pillars such as start-up requirements and summary, total assets, total start-up expenses, etc. Assets, for example, are long-term assets, current assets, start-up assets, and cash required. Then you also have start-up requirements such as office expenses, software, marketing consultant fees, website development, deposits and utilities, filing fees, insurance, rent, and so on. Finally, include long-term assets and equipment such as computers, lights, camera and equipment and start-up assets such as frames, mattes, albums, and other inventory, props, etc.

Starting Business with Bad Credit

Starting a business with bad credit can be a challenge, regardless of the type of business you are up to. The reason is that financial institutions see you as a risky customer and will be unwilling to extend a loan or will offer an unfavorable rate and terms. What you can do is first check with your local bank if you are an existing customer. They will be more likely to look favorably on you if you have a savings, checking, or another account with them. Another option is to apply with a guarantor or cosigner with a good credit score, which will increase your chances for getting approved but your guarantor will be responsible for repayment. Whether you apply with a cosigner or not, there are several options to look into, including business, secured, and unsecured personal loans and credit cards. An unsecured loan has obvious advantages as you take less risk but you are less likely to qualify with poor credit. If you have some valuable asset, then you are a better candidate for a secured loan and will most likely get a lower interest rate. This is because the asset you pledge guarantees repayment. Finally, a business credit card is also an option to cover a portion of the costs, especially if you qualify for a card with a large credit limit. The most important thing is not to go over the limit and make payments on time to avoid penalty charges and interest. Try to find a business credit card with a longer grace period to make it easier to make timely payments. As an alternative option, you may want to check with peer to peer lending services that offer business loans to start-ups. There are also sub-prime lenders that cater to borrowers with fair and tarnished credit but they offer significantly higher rates, which makes it a last resort option. The repayment term is also shorter which means that borrowers make larger payments over a short period.