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  • Hey all, just changed over the backend after 15 years I figured time to give it a bit of an update, its probably gonna be a bit weird for most of you and i am sure there is a few bugs to work out but it should kinda work the same as before... hopefully :)

Loans--where are you getting them, etc?

Matthew Rogers

Matthew Rogers

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Like many of you, I am having to get a business loan to pay for much of my RED. I am planning on checking with my bank (SunTrust) first to see what they can do for a $60,000 loan, but was wondering what/where most of you are getting your loans? Are there some good places that deal more with film/video industry loans and are better at understanding the business? What about lease to own?

Matthew
 
Try Credit Unions. They usually have better APR than banks. If you have to look into banks, Chase currently has some good APR's I think (Although I hate them). Another option to consider is a second mortgage on the equity of your house. All that matters basically is that the APR is the lowest possible and that there are no pre-payment penalties. I don't think it really matters if the lender understands the business or not. All they care about is your credit worthiness (credit rating) and reported income (as in: Can you afford the monthly payments?).
 
BASSAM MSSALATIE said:
:waaa: my loan is from... HSBC ... i had it since 4 monthes now iam paying fees while( waiting for my Red):sick:
Click to expand...

Sounds like a solid bussiness plan you have going there.
 
I HAVE toke around 62k loan for red and missing accessories planing to open samll production house in Dubai.. i thought something around 6 monthes for red no more.. but wind comes in the opposite way from what sailors need it..
 
BASSAM MSSALATIE said:
I HAVE toke around 62k loan for red and missing accessories planing to open samll production house here in Dubai.. i thought something around 6 monthes for red no more.. but wind comes in the opposite way from what sailors need it..
Click to expand...

I think I would take up having to toke a fair amount if I was paying interest on that much money just waiting for a red. #2151 it could still be a very long while before you get your camera, you may want to consider taking up the bong over the toke with that kind of wait and interest building up.
 
I did not imagin it will take so much time (besides my loan for 7 years)
i will pay it back something around 100 k .hope i could earn something could help in covering this..:waaa:
 
Bassam,
You never want to fund your loan prior to receiving your equipment, this is really a bad idea. You should talk with you banker and explain the mistake, payoff the loan with the loan proceeds and have your banker pre-approve you for the loan once the camera arrives.
Furthermore, generally speaking you shouldn't extend terms for technology used for production longer than 5 years, ideally 3 years is best.

I would meet with your bank immediately and explain the situation, if he is a good banker he should work with you to fix the problem.
 
Talk to your banker now! Stop the bleeding. This is why RED gives you 30 days or so to pay for your camera and arrange delivery, they know that people will have to get finances in order.
 
I would never do that, without any signed contracts for jobs! Only spend what you have mate. In short: I'm using a HV20 and SGpro now.

Red makes filmmaking cheaper, but unfortunately this kicks in at a point where you're already considered well-off by others. Period.
 
Is it possible to get a loan in a different currency? The USD is really falling...
 
Jeremy Teman said:
That doesn't sound good, man.
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digitalfx said:
Bassam,
You never want to fund your loan prior to receiving your equipment, this is really a bad idea. You should talk with you banker and explain the mistake, payoff the loan with the loan proceeds and have your banker pre-approve you for the loan once the camera arrives.
Furthermore, generally speaking you shouldn't extend terms for technology used for production longer than 5 years, ideally 3 years is best.

I would meet with your bank immediately and explain the situation, if he is a good banker he should work with you to fix the problem.
Click to expand...

Jeff Kilgroe said:
Talk to your banker now! Stop the bleeding. This is why RED gives you 30 days or so to pay for your camera and arrange delivery, they know that people will have to get finances in order.
Click to expand...

muroshi said:
I would never do that, without any signed contracts for jobs! Only spend what you have mate. In short: I'm using a HV20 and SGpro now.

Red makes filmmaking cheaper, but unfortunately this kicks in at a point where you're already considered well-off by others. Period.
Click to expand...

OcularLimpidity said:
Is it possible to get a loan in a different currency? The USD is really falling...
Click to expand...

Thanks for all of you Guy's for your feelings trying protect me from involving in,
But Guy's believe me you will not understand , if i did not take the Loan Now for Red maby i will never could take again..Because of too much coplicated things.
I am working as (small employe)..but all my friends ,me too
Considering me very Talented i could work everything
from (A++++++ in editing,DOP, Directing ,VFX compositing, Graphics ,Oil Painting.....etc..) i have shared in many short film festivals and put my
Point of view in them..But Unfortunatly i am small employ no one take care of what iam capable to DO or Creat..(noplace for talent)..
But all of this started as a hoby then moved to proffesion..
Iwant to mak my Dreams come ture in small production house.
i have started from vhs cams then dv cam afte that SONYHDV.LATEST ARR35MM,,(15years) but all of that paying from my pocket ..no incoming,,only my salary
i can not work as freelancer here Unless i have to take a (License) of Production hous to make it work.for that i have take this loan cause i want to feel Independent i want to do something..
Its my chance to do it while i am (still small employe).cause that Bank will never approve for Loan Untill he is getting monthly payment. that my work provide it .. it is very complicated long way here :waaa: :wacko: :sick:
 
It depends on the type of loan, terms, what you're borrowing against, etc.. Interest rates can be under 6% right now or as much as 20% (probably more if your credit really sucks). A decent small business loan these days is around 7~8%.

I'm not really here to preach financial advice, but if you have to borrow money for a RED with terms spanning more than 3 years and at greater than 8% interest, then you're probably making a mistake and would do better to rent or buy something you can afford. Even if you can keep it under 3 years and under 8%, I'd advise against the purchase if you won't be able to pay the camera off by using it within the first 8 to 10 months of owning it.

In BASSAM's situation, I can only try to imagine what that might be, he thinks it makes sense. Everyone has to choose their own path to RED ownerships I guess.
 
OcularLimpidity said:
Is it possible to get a loan in a different currency? The USD is really falling...
Click to expand...

If you borrow US dollars, buy your equipment, and the dollar continues to fall, you're actually paying back less -- it's to your advantage.

If you borrow a rising currancy, you'll be paying back more.
 
BASSAM MSSALATIE said:
Thanks for all of you Guy's for your feelings trying protect me from involving in,
But Guy's believe me you will not understand , if i did not take the Loan Now for Red maby i will never could take again..Because of too much coplicated things.
I am working in some Tv station(small employe)..but all my friends ,me too
Considering me very Talented i could work everything
from (A++++++ in editing,DOP, Directing ,VFX compositing, Graphics ,Oil Painting.....etc..) i have shared in many short film festivals and put my
Point of view in them..But Unfortunatly i am small employ no one take care of what iam capable to DO or Creat..(noplace here for talent)..
But all of this started as a hoby then moved to proffesion..
Iwant to mak my Dreams come ture in small production house.
i have started from vhs cams then dv cam afte that SONYHDV.LATEST ARR35MM,,(15years) but all of that paying from my pocket ..no incoming,,only my salary
i can not work as freelancer here Unless i have to take a (License) of Production hous to make it work.for that i have take this loan cause i want to feel Independent i want to do something..
Its my chance to do it while i am (still small employe).cause that Bank will never approve for Loan Untill he is getting monthly payment. that my work provide it .. it is very complicated long way here :waaa: :wacko: :sick:
Click to expand...

I agree -- get the loan when you can -- things change and you may not be able to get it later.

Since you can't buy your Red now, presumably your loan proceeds are invested earning interest, so your true cost of the loan is the amount of interest you're paying minus the amount of interest you're earning -- a small price to pay, for a relatively short time, for getting your financing locked in.
 
you might look at company's that do the financing as lease to own .....
 
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