Hawkeye Credit Brokers
All,
Has anyone had any experience with these guys? They contacted me stating they can provide easy access to business capital.
Bottom line is they charge you $30 to do a credit report. Based on your credit they reach out to major credit card companies and get you access to lines of credit. I told them I needed $100K as a startup loan. They said they could get me that amount by getting me access to small chunks of credit lines (cards) essentially (both personal and business credit cards). So I would receive roughly 5-6 credit cards totaling $100K in credit. I would then set myself up with a merchant account and charge these credit cards the full balance (as needed) giving me cash in the bank to invest in my ventures.
The catch is they want 12% of your requested amount. So I would have $100K in credit cards with 0% APR for the first 6-12 months and in turn pay this company $12K from those credit cards.
Some questions I had were:
1. How can I find the creditors myself and avoid paying these guys the commission?
2. Will I have to pay tax on the amount I charge the credit cards at? The funds will be in my business account once I charge the card so they will look like income.
3. If so, how do I avoid paying tax on that income?
The company is actually called Lend Cred but that is their new name. Their previous name is Hawkeye Managment. Here is the link I found online for them. Let me know what you guys think.
http://www.hawkeyemgmt.com/wp/unsecured-business-c...