Interest on small loan - Posted by Bert G
Posted by Bert G on February 03, 2000 at 18:11:16:
I’ve just been approached by a good friend who just became a CPA and needs a little seed money to get her business started. Figures she needs about $6,000, mostly for software. Already has clients & office space lined up. (Its a good risk. Besides the CPA, she has a law degree so she knows what she’s getting into)
I’m just wondering what would be a fair amount of interest to ask. It would be only for 12 months, with one balloon payment at the end. She mentioned 10%, but that seems awufully low to me, especially since the shares I’d be selling to loan the money are earning me 19 - 25%.
Oh, and besides the interest I’d get 2 years free tax service. Thats worth at least $600 right there.
Comments appreciated. thanx