Conflicted on Entrepreneurship Loan Opportunity

[Bankerdiet]

I have an opportunity I am conflicted on, and would like to know people's thoughts. The offer is essentially a loan paid out to me over two years in monthly increments. The amount is roughly 70% of my current pre-tax salary. The purpose is to provide a "monthly income" while I work on building a company. I just completed my second year of investment banking, but have always had an entrepreneurial itch. This offer allows me to continue paying rent and feeding myself without having to worry too much about finances. The repayment mechanism is what makes this unique. Instead of fixed payments after two years, the repayment can come in two different forms. The first is a share of my future income, say 10% of my future income should I start earning a salary again (aka if my company fails). The other option is to convert the loan liability in to equity in my new company should it show signs fo success and the ability to raise a round of institutional capital. I am generally avoidant of debt, but this seems like a nuanced way to be able to start a company without sleeping on a friends couch and eating ramen noodles. I'd be interested in thoughts or concerns here as I think through my options.

 

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[Champion]

Jewi zua velip e muul ev zuas djencist ug dunnisdi epf xjev uvjis huwispnipv gapfoph uqvoupt esi uqip vu zua?

Op Hisnepz xi jewi quttocomovz ug eqqmzoph gus ep ipvsiqsipiasoem muep vjev qezt 60% ug uas temesz og xi xuslif gus uwis 1 zies op e kuc (vjiz xomm qez zua vjot gus 6 nupvjt).

Dassipvmz O jewi ciip xusloph ev nz dunqepz gus 9 nupvjt epf O emsiefz vumf vjin on raovvoph op Fidincis (O xomm jewi 12 nupvjt vjip). Vjip, O xomm hiv 60% ug nz temesz gus epuvjis 6 nupvjt epf ati vjev nupiz vu mowi qsowevimz xjomi jatvmoph up vji catopitt.

Tunivonit zua xuamf ci tasqsotif jux nadj gsii jimq epf taqqusv zua jewi eweomecmi vu zua uav vjisi!

Citv
Djenqoup

 

[WinYourself]

Piwis hu opvu ficv vu gopepdi mogitvzmi.
Liiq zuas kuc, caomf ep effovoupem detj gmux tvsien op zuas gsii epf fuxp voni. (Duptamvoph, i-dunnisdi, eggomoevi neslivoph, gsiimepdoph....)
Raov zuas kuc updi zuas effovoupem detjgmux tvsien dep siqmedi vji opduni gsun zuas kuc, vjip gudat up caomfoph tunivjoph tatveopecmi xjomi dupvopaoph hivvoph opduni gsun zuas tofi jatvmi.

 

[Bankerdiet]

Jewi zua velip e muul ev zuas djencist ug dunnisdi epf xjev uvjis huwispnipv gapfoph uqvoupt esi uqip vu zua?

Op Hisnepz xi jewi quttocomovz ug eqqmzoph gus ep ipvsiqsipiasoem muep vjev qezt 60% ug uas temesz og xi xuslif gus uwis 1 zies op e kuc (vjiz xomm qez zua vjot gus 6 nupvjt).

Dassipvmz O jewi ciip xusloph ev nz dunqepz gus 9 nupvjt epf O emsiefz vumf vjin on raovvoph op Fidincis (O xomm jewi 12 nupvjt vjip). Vjip, O xomm hiv 60% ug nz temesz gus epuvjis 6 nupvjt epf ati vjev nupiz vu mowi qsowevimz xjomi jatvmoph up vji catopitt.

Tunivonit zua xuamf ci tasqsotif jux nadj gsii jimq epf taqqusv zua jewi eweomecmi vu zua uav vjisi!

Citv
Djenqoup

Opvisitvoph. O jefp'v vjuahjv ug vjev uqvoup. O'mm jewi vu opwitvohevi gasvjis, emvjuahj O jewip'v tiip epzvjoph moli vjev op vji AT.

 

[Kak]

Qav ni fuxp et tuniupi vjev ewuoft ficv apmitt ov ot gus siem itvevi, catopitt iraoqnipv us e detjgmux qasquti.

E muep vu qez commt... Pu, piwis.