8 Ways / Places to find Capitol for Inventory
1.Borrow against a C.D. or a Savings Account. Now, remember what we talked about, not taking money from your account when possible. Borrow against it, set up a loan payment so that you are accountable back to yourself each month. It has also been my experience that Consultants who have loans, tend to be more focused and more consistent with their efforts. You know the old adage, debt motivates.
2.Credit Unions. They tend to be more user friendly and their interest rates tend to be lower. Check out the Credit Union where you work where your significant other works.
3.Banks. We suggest you always start with the bank that you or your family have and/or currently do business over the years. Don’t be surprised or offended if they ask for some collateral. If you were loaning money to other people, you would want to know that that you were going to be paid back as well. Now, when it comes to banks, my theory is, get dressed up, go to town, ask for more than you want and take what you can get. No matter whether you think they’ll loan it to you or not, always ask for the maximum amount. So, dress professionally, muster up all your confidence and be organized about your goals.
4.Low Interest Rate Credit Cards. What do you mean by low rate? There are a lot of cards with rates below 9%. You will find in your new packet, an application for a Connection Plus Visa card. This card has been created with Mary Kay consultants in mind. There is a toll-free number at the top of the application. It generally takes about seven to ten days when you call it in to get an answer. It is always a great idea to include your significant other as a co-applicant. This will increase your chances of getting the card plus it will increase your credit line. Even if you decide to use a bank loan, for the bulk of your inventory, it is still a great business idea to have a separate usable Visa card. Because we have the ability to order our products from the company each month, using this card, you will receive your inventory so much quicker.
5. Higher Interest Rate Credit Cards. This should be your last option, but not unworthy of
your consideration. For years, before lower interest rate cards were available. Many of Mary Kay’s most
successful women started this way because back then, that is all that was available. Rates of 18 to 20% and
more were very common then. A more aggressive payoff schedule would be suggested.
6. Loan from a relative or friend. Many successful consultants began their careers with the help of a relative or friend who believed in them. Either as a direct lender or as a co-signer on a loan from another institution, they can be very helpful getting you started with you career. They can be especially helpful if you have had a marginal credit experience and need to rebuild it. It is so very important that you treat this with the same respect you would for a traditional loan. You should set a fixed loan repayment amount with your relative or friend and make those payments as timely as you would with a bank.
7.Borrow from a Life Insurance Policy. If you have built up equity in a Life Insurance Policy, you can borrow, at a very reasonable interest rate, that amount of equity. Contact your insurance agent for details.
8.Sell items you don’t need: Yard sale, EBAY or CRAIGS LIST Sell that stuff that you have meaning to get rid of or have not used for years. Turn those in valuables into the beginning of a new career. Who knows just how much you can generate.
9. Finance Companies. Though their rates are lower than they have been in years, they are still higher
than some of the other options you might have available. We suggest you work more aggressively here as well
to get these small loans paid off as quickly as possibly.