Business Banking and Loan
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    Default Business Banking and Loan

    Hi all,

    Taking the plunge into software/web development contracting. Handing in my notice very shortly and have just registered my company on Companies House. I have a little bit of work already to get me going but need to quit so I can spend more time working for clients.

    When I leave my job I'm going to need to get a new laptop and some other equipment as my hardware is owned by my current company.

    I have a few grand put aside for personal bills and expenses to keep me afloat until the $$$ hopefully starts rolling in. I have about 3 months runway.

    I would rather not use that money for business related stuff so is there a way of getting a small loan from the bank?

    Another alternative would be to get the equipment on a personal loan but how does that work with that being owned by the company and what not?

    I'm looking to spend about 5-6k on a new Macbook Pro / some cheap test phone devices and office equipment.

    Learning here! A lot to learn!

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    YourCo won't get a loan, it has no history or credit rating. You may be able to get one personally of course. You don't need all that much to get a half decent PC/Laptop and necessary software anyway, especially if you're using open source or SaaS; you can get the expensive shiny stuff when you have earned some income.

    Starting with a loan is not the best idea; are you sure you don't have enough in the kitty for at least the initial stuff? Anything you do have to buy can be re-charged to YourCo within the first trading year when it has some reserves, and if you're VAT registered you can get that back as well.

    Keep it very clear in your mind: company money and your money are two very distinct things. Never get them confused.
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    I live on CUK

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    The first thing to learn is to use your current equipment for as long as possible.

    Then once you have six months of living expenses saved up look to see if you need equipment.

    Then buy the cheapest you can get away with because if you are taking it out of the house you risk it being stolen, being mugged for it and losing it. In addition the more expensive your kit is the more expensive it is to insure.
    Last edited by SueEllen; 10th August 2017 at 08:50.
    "Youíre just a bad memory who doesnít know when to go away" JR

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    Contractor Among Contractors

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    Quote Originally Posted by bb1990 View Post

    When I leave my job I'm going to need to get a new laptop and some other equipment as my hardware is owned by my current company.
    Need or want?
    Until you've found a contract you don't know what you need. A lot of clients won't let you use your equipment on their network.


    Quote Originally Posted by bb1990 View Post
    I would rather not use that money for business related stuff so is there a way of getting a small loan from the bank?
    not a chance in hell


    Quote Originally Posted by bb1990 View Post
    I'm looking to spend about 5-6k on a new Macbook Pro / some cheap test phone devices and office equipment.
    Wow. Why not a cheap PC? A Mac mini? A 2nd hand Macbook?
    And those 'cheap' test phones don't sound very cheap. I reckon you can get an Android, an iPhone and a Windows phone from ebay for under £200.

    Only buy what you need. Sounds like you are more interested in shiny toys than running a business.
    When do you plan on the company Tesla?

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    Thanks for the advice all.

    I think I would probably see if I can get a decent mac somewhere 2nd hand for the first few contracts. sounds like the best option at the moment.

    And shiny new toys? Please. Don't wanna be rocking into a clients office being paid 300 quid a day using a microwave. What impression would that give.

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    Quote Originally Posted by bb1990 View Post
    Thanks for the advice all.

    I think I would probably see if I can get a decent mac somewhere 2nd hand for the first few contracts. sounds like the best option at the moment.

    And shiny new toys? Please. Don't wanna be rocking into a clients office being paid 300 quid a day using a microwave. What impression would that give.
    Same impression as some fanboi rocking up with a 5-6K macbook pro. You'll be wanting an Aston next , just to shout "look at me, I'm a contractor" at the permies. You won't last long.

    How about a decent laptop for 1-2K and start from there?

    qh
    He had a negative bluety on a quackhandle and was quadraspazzed on a lifeglug.

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    Quote Originally Posted by quackhandle View Post
    Same impression as some fanboi rocking up with a 5-6K macbook pro. You'll be wanting an Aston next , just to shout "look at me, I'm a contractor" at the permies. You won't last long.

    How about a decent laptop for 1-2K and start from there?

    qh
    Agreed. My working laptops are an Asus Zenbook and a Dell XPS laptop at around £600 each a year or so ago. Both are more powerful than the equivalent Mac and half the price, with better graphics (IMHO, just to appease the fanbois...).

    Of course if your client base is Mac-based - always likely in some sectors - then you need a Mac. But only as much Mac as you need to do the job: I know a very good SAN engineer who runs off a mac mini, a cheap screen and a wireless mouse/keyboard.

    A good rule of thumb is to keep the expensive stuff - be it tin and wires, cars, watches or clothes - at home and use something roughly the same as the client on site.
    Blog? What blog...?

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    Quote Originally Posted by bb1990 View Post
    Don't wanna be rocking into a clients office being paid 300 quid a day using a microwave. What impression would that give.
    It would give the impression that you're a newly started cheap contractor who is pragmatic.
    Rather than a newly started cheap contractor who is a berk, spending $$$$$ on a fashion accessory he doesn't need.

    Contractors are disliked enough already, don't give them the ammunition.

    I used to work with a guy who had a 20 year old Honda Civic. It was total tulipbox. It's purpose was to work as long as his contract, any longer being a bonus. He got more respect from the perms than almost all the other contractors.

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    What's with all the hate? I came here asking for help and advice and got flamed to tulip and saying I won't last long? Nice way to introduce a complete starter into the scene.

    A Mac isn't just a fashion accessory. It's what I'm used to and most of the software I run require Mac. Not to mention Windows is a bitch to code on in general. I want to do the best job I can for the client, not be held back by hardware I could have spent a bit more on to get the job done properly and efficiently.

    I'm not looking to be seen as the "oh look at me I'm a contractor." I'm looking to be seen as money well spent.

    If anything, all of your nastiness and high and mighty attitude to a newbie contractor is what's killing the name of contractors. Not me. Take a look in the mirror.

    NOTE: That wasn't to all of you.

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    Quote Originally Posted by bb1990 View Post
    What's with all the hate? I came here asking for help and advice and got flamed to tulip and saying I won't last long? Nice way to introduce a complete starter into the scene.

    A Mac isn't just a fashion accessory. It's what I'm used to and most of the software I run require Mac. Not to mention Windows is a bitch to code on in general. I want to do the best job I can for the client, not be held back by hardware I could have spent a bit more on to get the job done properly and efficiently.

    I'm not looking to be seen as the "oh look at me I'm a contractor." I'm looking to be seen as money well spent.

    If anything, all of your nastiness and high and mighty attitude to a newbie contractor is what's killing the name of contractors. Not me. Take a look in the mirror.

    NOTE: That wasn't to all of you.
    Welcome to CUK

    You may be able to buy it on personal credit and sell it lump sum to your business once it has the money to pay for it

    You'd need to check with an accountant though

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