RELIST**Buying Franchise w/ PROVEN Biz Model - DTI Explained
| Listing Information | |||
|---|---|---|---|
| Amount: | $19,999.00 | Status: | Loan created |
| Grade: | AA | DTI: | 41% |
| Lender Rate: | 12% | Borrower: | JoshuaPays |
| Finished | State: | IN | |
| Funded: | 100% | Group: | No Bull Investors - We Invest In Good Borrowers |
| Loan Information | |||||
|---|---|---|---|---|---|
| Loan Status: | Current | Origination Date: | 2007-06-29 | EricsCC ROI: | 9% |
| Status History | |
|---|---|
| Jun 28, 2007 | Current |
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Loan purpose: The money from the loan will be used for the purchase & startup of a marketing franchise with a business model that has proven to be successful & profitable throughout the US. With this franchise, I will be involved in publishing a monthly direct mail piece in magazine form which will be mailed to high income earners in my territory. Printing & mailing of the magazine will be completed by the franchiser to allow me (the franchisee) to focus on sales & profits. Revenue will come from local businesses who desire to target high income earners by purchasing ad space. Not only do I have a strong background in starting & running a small business, I have extensive experience in sales & in the publishing industry. For the past 9 years, I have had the responsibility with my current employer of publishing a 70 page magazine from start to finish biannually. I am involved in every stage of this project which involves selling ads, typesetting, & working with the printing company. My familiarity with publishing & in creating & analyzing marketing campaigns will be invaluable to my success. Loan Distribution: The loan, along with my contribution of approx. $4,500 will be used as follows. Franchise Fee: $10,000 1st Month Production & Postage: $3,340 Computer & Office: $1,000 Vehicle/Fuel: $1,000 Living Expenses & Reserves: $9,160* *The reason for such high initial reserves is that accounts receivable may take up to 3 months to recover because of the nature of the business. Advertisers will be sold ad campaigns which will last longer than one month, rather than just single-run ads. Financial Situation: I currently have very good credit & am a responsible homeowner. My house is worth approximately $104,000. I do not borrow against credit cards & am committed to not living beyond my means. Although I have an excellent credit rating, my credit profile does show 2 current delinquencies, however, it is an error, and as you can see, they show a $0 balance. I am working on getting these removed from my credit report, as I was never been late in any of the payments, it is paid in full, and both are for the same debt. My DTI, as listed on Prosper is higher than my actual DTI, which is only 28%. In 2003, I had surgery which was supposed to be paid for by my health insurance policy. After the surgery, the health insurance company denied the claim, leaving me responsible for the full debt. In order to pay the debt, I was forced to take out a personal loan. It turned out that the reason my surgery wasn't covered was that my employer had made a mistake & didn't pay the premium for my health insurance two months in a row. My employer admitted fault in the situation & is paying the full amount of my payments for the personal loan. The loan remains in my name & shows on my credit report, however my employer makes the monthly payments in full. Another thing that I would like you to consider when reviewing my listing is that when calculating DTI, Prosper's system only considers CURRENT income. According to projected earnings, my DTI will be much lower, as this loan is for a new business and I will be the sole proprietor. Monthly Income: NOW $3377 / PROJECTED $5300 (Monthly for 1st Year) Monthly Expenses: Housing: $768 Insurance: $54 Car: $210 Utilities: $115 Phone, cable, etc.: $74 Food, Entertainment.: $200 Clothing, household expenses $100 Loans, etc.: $31 Other: $400 Thank you in advance for your help! |
| Borrower's Other Listings | |||||
|---|---|---|---|---|---|
| 142099 | Startup Capital Needed for unique advertising business | A | $10,000 @ 11% | May 23, 2007 | Withdrawn |
| 147576 | Buying Franchise w/ PROVEN Biz Model - DTI Explained | A | $19,999 @ 15% | Jun 06, 2007 | Expired |
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