Is it possible to finance a vehicle (purchase) and use it as a rental
in a business? (Charge per day fees for customers to use it). I
understand that special insurance would be needed to do this.

If so, what bank or institution (name and phone number) allows this kind of use?

Thank you,

KR

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Request for Question Clarification by pafalafa-ga on 29 Apr 2005 07:28 PDT

Do I understand you correctly?  You're looking for a bank to give you
a business loan, and the business would essentially be a one-vehicle
van-rental business?

Many banks will make loans to start a small business.  But in general,
they will want either (a) some collateral for the loan, such as a
house you own, or (b) a solid business plan that convinces the bank
you can really make money with your venture.  They may want both (a)
and (b) in some cases.

So...if you're looking to finance a small business, it may be possible
to give you some useful pointers.  I doubt there is any bank that
specializes in loans for one-van rental businesses, however.  On the
other hand, they probably don't specifically exclude that as a
possibility, either.

So, if that's what you're looking for, let me know where you're located.

And if I got it wrong, please clarify what you're after.

Thanks,

pafalafa-ga


P.S.  You also mentioned "special insurance".  If you also need
information on this topic, you may want to post that as a separate
question, as your main focus here seems to be on financing.

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Clarification of Question by keready-ga on 29 Apr 2005 08:01 PDT

Here is a clarification:

1) We want to get multiple vehicles (not just one van).
2) We want to finance each vehicle as an auto loan. (Not line of
credit). We already came to the conclusion that we cannot lease our
fleet (we could not find any company willing to lease vehicles that
would be rented), so we want to pay for them over 5 or 7 years just
like an individual financing his new car.
3) We are in Austin, Texas.
4) We already have a lead on the insurance part of the business.