The amount of unsecured debt a bank will lend you is not based on assets, at least where I work. It is based on gross monthly income vs current debt (debt-to-income ratio) and credit score. P.S. I work at a very large credit union. Nothing fly by night. You can argue all day, but I know for a fact it's possible. Also, how many credit card companies demand assets to approve you for a credit card? LOL Apparently not too many, according to the news. Worst case you could just do cash advances. But the same concept applies with a signature loan. Both are unsecured, one is just an installment and the other is revolving credit. ATTENTION: I am not necessarily advocating doing something like this- but you are calling me out, and I am telling you that you are wrong.
I have a fantastic deal @ this one brokerage. I was going to join as the guy said he'd be able to offer me portfolio margin, but then said you have to have 5,000,000. I currently am getting 6 to 1. Going back to 4 to 1 will definitely hurt me
Not everyone has their mommy and daddy there to bestow upon them $50-100K to play in the markets with. Also not everyone has a job that pays out $100-200K a year either. Sometimes starting out with $10K and trying to go full time takes quite a while, assuming you want to do it properly and not take on insane amounts of risk. Why is it a bad business decision? Every business that takes out a loan has faith in their products and performance as well. 95% of them fail too supposedly. What is the difference if you know what you're doing? Don't knock someone's trading skills or likelihood of success just because they would consider taking out a loan to increase their business capital. It's no more foolhardy than any other business taking a start up loan.
I suggest you reread my post. Your argument irrelevant. I never said anything about a venture capital loan. I said look into a personal expense/signature loan.In fact I actually said it myself that if you apply for a business loan then you are going to have to jump through a lot of hoops, that it's better to stick with a personal loan. You are being foolish. Reread my post if you want to argue. READ don't SKIM.
You said businesses get start up loans. That is VENTURE capital unless the person borrowing the money has a whole lot more in it than the bank. This guy was talking about getting a loan to start day trading.
I have been in business for 35 years, probably more than your age. I know all about unsecured loans. I know they exist. You will just not ever get an unsecured business loan. Try it sometime, and get back to me.,