Sole trader owe 25k & can't cope with business anymore...

Hi, Sorry to hear about your bad luck but at least you had the courage to give it a go. I was there once too and i know that sick feeling you describe only too well.

The premises you have? is it prime location? do you have a long lease? You could sell the leasehold for 25k and clear down the debt. There are always franchises looking for prime locations to open up stores, they may even offer you a job! Can you tell me which county your in? If i can, i'd be glad to help you.....
 
There is plenty of investment money out there waiting for a good business idea.

A small add in the paper could get you an investor if you have the right product and are in the right area and have an expertise in your field.

Are you in Dublin or down the country and what general area.

In any case calm down 25k is not worth wrecking your head over.
 
Thanks guys.

I'm in the North-west with a short lease. The reason I think now that investment would work, is because I've moved premises in the last six months to a very central area. Nobody else in town is doing anything like my stock. Its mid range. Not rubbish, but not branded either. I really think there is a market for it. It would be similar to Dunnes homewares, but people prefer this type of shop. Its feels more exclusive, people think if they buy from me, its almost a one off. They get great service, I'll assemble it, I'll gift wrap it, I take deposits, I'll deliver it, I'm genuinely grateful for the sale and it makes them feel good. You don't get that in Dunnes.

I think it was all your positive and supportive posts, either for or against going bust, thats helping me see this in a clearer light. Reading my first post again, I certainly don't feel that 'terrified' anymore.

I'm working on the business plan and I'll apply for a loan. If it works, it works... But I'll try to keep the head held high!!

Thanks to all.
 
Hi have you tried setting up an oniline dropshipping website?you dont need any stock you advertise the suppliers stock and after the customer places an order with you for your price you then order from the supplier with the money the customer has paid you.
So ill give u an example
supplier price for camera-130 euro
u advertise the camera on ur website for 170 euro
customer pays u 170 euro
when you get the 170 euro u order the camera and pay the supplier there 130 euro.
you make 40 euro profit without ever having or handling the stock.
Considering ur circumtances i think it might something you should look at.
hope this helps
Best of luck
 
Thanks for the suggestions. I have approval on principle for 20k, so fingers crossed. I think the website could be a good idea along with the shop. I was thinking of ebaying for awhile to see how it goes, and see from there.

If all hinges on the loan at the moment. Should know next Friday.
 
If I buy 8k worth of stock, I sell it for 16k. So I make 8k
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I would suggest spending a bit of time doing a cashflow analysis. Examine your overheads, remember that the cost of stock isn't your only expense. It doesn't take too long to do.

If you do this, at least you'll know how far your €20k will go, and if it'll be enough to push the business back into the black.
 
Umop3p.... (can't remember rest!). I will do, I'm afraid I havn't done one before (more heads in hands!) but I have one printed off and a good book to guide me. In my head I think its ok but I do need to get it down clearly.

My plan is to pay of approx 10k in debts to suppliers I want to use now. The remaining 15k can be paid off at small (I mean miniscule) amounts, as I won't be using them. Bank the 10k as back up initially.

I also want to swan around all the banks with my 20k and get a better deal. At the moment I don't even have an overdraught. The majors seem to be all advertising for small business accounts right now, so maybe I could get something better, and more supportive.

Thanks for reading and posting. Hope you all have a good weekend.
 
some one previous mentioned
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3% 25k loan... beat any bank , dont know how to qualify for it but have look.
 
Thanks Dockingtrade, I've been working on an application for that and if this other loan doesn't work out I'll go for First-Step. Seems a great set-up.

The loan I'm waiting on is actually from my ex. He pays me e100 per week maintenance, and he has a good credit history, so he's basically paying me maintenance in a very large lump sum. If the business doesn't work out he has his repayments anyway.
 
Hi stressed11
I think I should be stressed12 as I have exactly the same situation as you.
It is weird as I thought I was reading about myself when i read your post.
I am having huge financial difficulties at the moment and have a homewares and gift shop, like you it is not working out and we have come to the decision of closing up, we knew since christmas that it wasnt working out but we kept fooling ourselves into believeing that it would work, we kept saying next week will be better but it never was.
I dont know your full story but I think you should give up now rather than borrow more. If it didnt work for the last 2 years it wont now.
We are also in business for nearly 2 years.
Like you we made €78 euro yesterday so I know where you are coming from. We were averaging about 300-400 euro per day but it wasnt enough, we should have been doing at least 600 euro per day.
Now we are lucky to make 200 euro as we hardly have any stock at all and suppliers wont supplie us which is good in a way as it will only lead to more debt.
We have huge rates to pay and a even huger (is that a word) rent. we have a 25 year lease which we are trying to get out of at the moment. My parents went gaurantor on the lease which made it worse, I am so worried about them losing their house. I didnt even want them to be guarntor but they wanted to help and believed in me.
Now we cant even sell the lease as it is too expensive so we have to negotiate with the landlord. We are making some progress there which is good, I didnt think they would listen but we explained the situation and he is willing to listen.
I havent slept properly since last year and havent had a day off since christmas (7 days a week not 6) till recently as I decided to close one day a week so I could take a breather and sit back to look at the business properly.
If you want pm me and I can help some more. I bet we even sell the same type of stock.
 
man1, I wouldnt even try to sell that lease just see if you cant reassign it without key money, if you can get someone to take the rent on it thats all you need to cover your behind.
 
Just had the Guards in, a supplier contacted them because they haven't been paid. Join the bloody queue.

I can't take much more of this, feel overwhelmed.
 
I'm very sorry to hear this:(
Myself and OH went through similar recently, and I know how awful it is.. It may help if you know someone familiar with this sort of thing and talk it through with them. Try and deal with the debts as soon as you can.
Good luck.
 
Thanks DMTW. I can't afford to buy groceries today, never mind deal with the debts. I'm sorry you went through similar, I hope you've come out the other side. I've a van load of itinerants outside at the moment, they have given me a real hard time previously. God help them if they come in now!

Then again I might just let them take the lot and go home...!
 
Hi Stressed11

My heart does genuinely go out to you. From a business point of view i don't know what advice to offer but Maya Angelou said this:
"I've learned that no matter what happens, or how bad it seems today, life does go on, and it will be better tomorrow."

Keep your chin up if possible. You'll come out the other end.
 
stessed11 said:
Thanks DMTW. I can't afford to buy groceries today, never mind deal with the debts. I'm sorry you went through similar, I hope you've come out the other side.
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We have.. you can read about it in 'pear-shaped' thread. Business collapsed 2 years ago owing 90K. OH buried his head in the sand and ended up on anti-anxiety drugs.. He only really started dealing with it in November when he employed a solicitor to help him sort it out.
The money advice bureau may be able to help you sort it out. Whatever happens, you need to keep contact with your creditors and arrange a payment plan thats realistic and affordable.
 
Hi All, Great news, got a loan of 20k. Can't believe it! Absolutley delighted! Going to work my b*tt off to make this work.

Thank you all for your help and comments, it really helped.

One last favour please! Wish me luck!
 
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