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    The Streetwise Guide to Borrowing Money without Going Broke
    The Streetwise Guide to Borrowing Money without Going Broke
    The Streetwise Guide to Borrowing Money without Going Broke
    Ebook120 pages3 hours

    The Streetwise Guide to Borrowing Money without Going Broke

    By Alex Coxon

    ()

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    About this ebook

    Everyone borrows money: to buy a house, to buy a car, to buy an office block, to buy a business.

    When you borrow money you are usually dramatically improving your lifestyle, and your chances of making your first or 50th million. You are also probably taking the second-biggest risk of your life - behind getting married and having kids. Like all risks, this one carries the promise of great rewards. There is no doubt that the quickest way to millionairedom is through borrowing money, and we would always encourage everyone to make a million dollars if they can!

    But whether you make that million or only $100,000 can depend heavily on the deal that you can negotiate with your friendly banker.

    But what do you know about banks and bankers?
    Do you know how they arrive at the amount they will lend you? Do you know how to qualify for the cheapest interest rates? Do you know why it is that one bank will say no, yet the one across the road will say yes?

    In short, do you know the rules that they are playing by? Probably not.

    Yet you will know everything there is to know about the car, house or the business you are buying. You will research other prices. You will try everything possible to find out the vendor's bottom line. You will suss out how negotiable they are on payment terms. You will take great interest in their personal financial position to help you negotiate the best deal.
    Then, when it comes to financing, you are likely to hit three or four banks and grab whichever deal comes along first.

    It's not surprising, though. Banks try hard to woo you with their marketing machine. They spend millions to convince you of their respectability, trust and honesty, all in the interests of getting you to accept their terms and their offer without so much as a whimper. And yet logic dictates that you should be suspicious of any organisation that has to sell its integrity through advertising!

    The people who come between you and the bank do nothing to undermine this image of integrity and respectability. They dare not, for the banks wield remarkable power and the lawyers, accountants and brokers spend most of their professional lives dealing with them and getting new clients from them.

    So most people forget that banks are capitalist, profit-making machines just like McDonald's. Their main purpose in life, like most other large companies, is to make profits, grow bigger and wield more power.

    So in your ignorance you end up paying more interest than you need, offering more security than is needed and sign your life away with hardly a whimper.

    Borrowing money, whether it be to buy a Mini, a mansion or a meat factory, is one of the most important decisions of your life. You are making an agreement with an organisation that may become your number one enemy in a few years' time if you get into financial trouble. Making that decision without knowing the other party is like leaping into marriage to the first person who will have you - purely on their terms.
    So this book is for anyone who borrows money. Whether you are borrowing $10,000 to buy your first car or $100 million to buy your first conglomerate, the same principles apply because the same philosophies underlie the bank's thinking.

    This book will help you negotiate the most advantageous deal and save you money and sleepless nights when you sign on the dotted line.

    More important still, this book will show you how to have fun with a species that can be the most difficult and the most depressing to deal with - bankers.

    LanguageEnglish
    PublisherAlex Coxon
    Release dateAug 21, 2011
    ISBN9781465850362
    The Streetwise Guide to Borrowing Money without Going Broke

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      Book preview

      The Streetwise Guide to Borrowing Money without Going Broke - Alex Coxon

      Copyright 2011 The Streetwise Guide

      Smashwords Edition

      mailto:thestreetwiseguide@gmail.com

      This ebook is licensed for your personal enjoyment only. This ebook may not be re-sold or given away to other people. If you would like to share this book with another person, please purchase an additional copy for each recipient. If you’re reading this book and did not purchase it, or it was not purchased for your use only, then please return to Smashwords.com and purchase your own copy. Thank you for respecting the hard work of this author.

      *********************************************

      About Streetwise Guides

      Streetwise, adj. Having the shrewd resourcefulness needed to survive in an urban environment

      You can have all the business qualifications in the world, but without knowing your way around the rough and tumble of business you will have little chance of success. There are myriad stories of MBA graduates, global marketing managers, ex heads of multi nationals, highly qualified academics, experienced accountants and lawyers who have tried to run their own business and failed miserably. Conversely, there are far more stories of individuals who have left school in their teens and built up very successful businesses. Some of these have become household names - Richard Branson, Charles E. Culpepper, George Eastman, Henry Ford, Soichiro Honda, Ray Kroc, John D. Rockefeller, Vidal Sassoon.

      A survey of 500 UK business owners and managers (of businesses with more than 50 employees) by The Institute of Leadership and Management found that only 32% had a university degree, 12% left school under the age of 16 and 7% did not even leave school with a basic school certificate.

      What these individuals lacked in formal education they made up for with their streetwise skills. However many of those would have learnt those skills the hard way, struggling for the first few years as they learnt the street fighting rules that you often need in business to survive and prosper.

      The Streetwise Guides will give you those skills. They will teach you how to work the system to your advantage. They will reveal the secrets and expose much of the hypocrisy in the business world, especially when dealing with bankers, accountants, lawyers and other business professionals. They will also teach you how to do business with the big end of town. They will show you the strengths and weaknesses of the Corporate World and teach you how they think so that you understand how best to deal with them, whether as a customer, supplier, creditor or debtor.

      Finally, The Streetwise Guides and its publishers offer all care but no responsibility if you follow advice from this book and it does not work out. Very little in business is black and white. Just many shades of grey. You have to decide on the decisions you make. In particular as to how much professional advice you receive. People do regularly run businesses without receiving any professional advice from either lawyers or accountants. We would encourage you to use them as little as possible but, at the end of the day, it is your family’s finances that are at stake. You have to decide whether you want full belts and braces or just a bit of string to stop your pants falling down.

      The Streetwise Guide authors always welcome feedback and can be contacted on

      mailto:thestreetwiseguide@gmail.com

      *********************************************

      Chapter 1 - Introduction ...

      ... street fighting with your number one enemy

      This ebook will give you the tricks and tips, cons and cheats to maximise your chances of raising that loan, whether that is to buy an office block, a new business venture, a new house or just a better car. It will show you how to motivate your bankers and how to manipulate your figures so you realise your dream.

      A word of caution.

      This ebook will show you how to turn a sow’s ear that no one in the world will lend money against into a silk purse that will have bankers falling over themselves to lend you money. They may even buy you lunch. To do so you may end up deluding your banker. It is fundamentally important that you do not delude yourself. By all means encourage your banker to live in cloud cuckoo land but keep your own feet firmly on the ground.

      Borrowing money can be an intensely boring pastime so we have written this book with a degree of levity, but borrowing money is a very serious undertaking. As such, it must be undertaken with caution and care. While this book will encourage you to 'do it yourself' as much as possible, neither The Streetwise Guide, its our authors nor our publishers accept any responsibility if you stuff it up, so if you are in any doubt you should consult your accountant or lawyer.

      Everyone borrows money: to buy a house, to buy a car, to buy an office block, to buy a business.

      When you borrow money you are usually dramatically improving your lifestyle, and your chances of making your first or 50th million. You are also probably taking the second-biggest risk of your life - behind getting married and having kids. Like all risks, this one carries the promise of great rewards. There is no doubt that the quickest way to millionairedom is through borrowing money, and we would always encourage everyone to make a million dollars if they can!

      But whether you make that million or only $100,000 can depend heavily on the deal that you can negotiate with your friendly banker.

      How Much Do You Know?

      But what do you know about banks and bankers?

      Do you know how they arrive at the amount they will lend you?

      Do you know how to qualify for the cheapest interest rates?

      Do you know why it is that one bank will say no, yet the one across the road will say yes?

      In short, do you know the rules that they are playing by?

      Probably not.

      Yet you will know everything there is to know about the car, house or the business you are buying. You will research other prices. You will try everything possible to find out the vendor's bottom line. You will suss out how negotiable they are on payment terms. You will take great interest in their personal financial position to help you negotiate the best deal.

      Then, when it comes to financing, you are likely to hit three or four banks and grab whichever deal comes along first.

      Behind that 'Respectable Image'

      It's not surprising, though.

      Banks try hard to woo you with their marketing machine. They spend millions to convince you of their respectability, trust and honesty, all in the interests of getting you to accept their terms and their offer without so much as a whimper. And yet logic dictates that you should be suspicious of any organisation that has to sell its integrity through advertising!

      The people who come between you and the bank do nothing to undermine this image of integrity and respectability. They dare not, for the banks wield remarkable power and the lawyers, accountants and brokers spend most of their professional lives dealing with them and getting new clients from them.

      So most people forget that banks are capitalist, profit-making machines just like McDonald's. Their main purpose in life, like most other large companies, is to make profits, grow bigger and wield more power.

      So in your ignorance you end up paying more interest than you need, offering more security than is needed and sign your life away with hardly a whimper.

      Look Before You Leap

      Borrowing money, whether it be to buy a Mini, a mansion or a meat factory, is one of the most important decisions of your life. You are making an agreement with an organisation that may become your number one enemy in a few years' time if you get into financial trouble. Making that decision without knowing the other party is like leaping into marriage to the first person who will have you - purely on their terms.

      So this book is for anyone who borrows money. Whether you are borrowing $10,000 to buy your first car or $100 million to buy your first conglomerate, the same principles apply because the same philosophies underlie the bank's thinking.

      This book will:

      Help you negotiate the most advantageous deal;

      Save you money and sleepless nights when you sign on the dotted line;

      More important still, this book will show you how to have fun with a species that can be the most difficult and the most depressing to deal with - bankers.

      *********************************************

      Chapter 2 - Banks

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