Eric's Credit Community

Hello,

I own and operate a successful and profitable RV accessory business with sales approaching the million dollar mark.  Our company has grown nearly 400% for each of the 2 1/2 years we have been in business thus far.

We are looking to expand our product line and with the busy holiday season quickly approaching, we need to reserve as much capital as possible to fund our current inventory needs. Due to our good credit and ability to repay debt, we were able to obtain a completely unsecured, open line of credit with our business bank however, since we are still a "new business" in the bank's eyes, the rate we were able to obtain was higher than we had hoped for. 

In an effort to be as fically responsible as possible, I did not feel it was prudent to get my company in debt at the rate our bank offerred us so I thought we would give Prosper a try and see what happens. 

We have credit cards to cover our expansion but I personally will not use credit cards to purchase anything - I was down that road several years ago and have learned from my mistakes.  Now I have a fairly high amount of credit card credit available to me but only keep maybe $500 as a total balance on all my cards combined.  The small balance I keep on my cards is so I can further build my credit score as I make payments on time each month.  Other than that, we have very little debt (see debt to income ratio).  I paid more than half in cash for our family minivan and financed the rest through a small loan at favorable terms.

Personally, I have income well into the six figures.  I own 2 homes, one I live in and one I rent out at $1550 per month.  I am a hard working, almost relentlessly competitive family man with 2 children, ages 3 years old and 3 weeks old.  My wife of 5 years is a stay at home mom.  I pay my bills on time.

This loan would nearly be 100% backed by inventory.  In addition to the 25k requested here, I am coming out of pocket an additional $20,000 - $30,000 cash to cover the expansion, while still leaving us enough cash to cover current inventory needs.

I have aggressive expansion plans for the business and this loan can be considered a first step toward my goal of an 800 credit score.  I figure once this loan is paid off on time, the boost to our credit score will significantly help us secure much larger financing under more favorable terms going forward as we expand our operations and as our company grows. 

We've learned from past experiences that maintaining a high credit score is like a chess game and if you anticipate the need for a large loan in 2 or 3 years from now, we need to make our moves now accordingly to get those favorable rates down the road. I hope you can help out.  I think this is a fairly safe bet. 

My company has plenty of cash flow to cover the payments on this loan and I am sure we will be back to repay the favor as a lender in the very near future.