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easy2012

Mark Cuban: Only Idiots Would Start A Business On A Loan

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Can't open the link....However, I would add that lending to a new start is equally risky. Basically if the businessman hasn't got collateral in His or Herself plc through the course of their lives or isn't willing to risk that, then why the hell should a third person. Your personal balance sheet is liable to mirror the eventual balance sheet of your business.

If you are a millionaire dragon sure it pays to spunk a few hundred thousand into businesses in return for free publicity, but I very much doubt they see much back.

Edited by crashmonitor

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I haven't watched videos yet but I agree. Most people are unlikely to want to risk losing their house starting a business because there are no such things as unsecured business loans really. I have loads of business ideas, some of which are pretty low risk, but I would never take out a loan to start them up. I would only do it with an disposable income or a disposable proportion of savings I had built up. I suspect most people would be the same and it seems strange that the economy and society celebrates only risk-takers. There is no reason that normal balanced human beings can't set up and run a business without a loan, but that would require less proportion of income spent on property and taxes. Many people will only start businesses when they feel comfortable, I'm not going to start one when working every hour in the day to save very little.

Edited by DavidSWP

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Can't open the link....However, I would add that lending to a new start is equally risky. Basically if the businessman hasn't got collateral in His or Herself plc through the course of their lives or isn't willing to risk that, then why the hell should a third person. Your personal balance sheet is liable to mirror the eventual balance sheet of your business.

If you are a millionaire dragon sure it pays to spunk a few hundred thousand into businesses in return for free publicity, but I very much doubt they see much back.

In case you haven't noticed, the dragons only invest in businesses that are already successful. They don't take any risks at all.

And usually the share they get for their capital is disproportionately favoured towards them.

Put simply, anyone who is stupid enough to take the dragons deal probably shouldn't be running a business.

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Can't open the link....However, I would add that lending to a new start is equally risky. Basically if the businessman hasn't got collateral in His or Herself plc through the course of their lives or isn't willing to risk that, then why the hell should a third person. Your personal balance sheet is liable to mirror the eventual balance sheet of your business.

If you are a millionaire dragon sure it pays to spunk a few hundred thousand into businesses in return for free publicity, but I very much doubt they see much back.

Also on Youtube

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In case you haven't noticed, the dragons only invest in businesses that are already successful. They don't take any risks at all.

And usually the share they get for their capital is disproportionately favoured towards them.

Yap - the risk they took was as small as possible.

Put simply, anyone who is stupid enough to take the dragons deal probably shouldn't be running a business.

No necessarily - they have access to things / retail networks that most people don't - their access may worth something to some people.

However, many DargonDen businesses are not really doing as well as it is portrayed if you pull their accounts out after a few years.

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  • 242 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?


      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



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