Is it smart to take a load for a Racing Business?
I've been looking into taking an SPA loan to buy a trailer, racecar, equipment, spare tires, tools, etc. I want to begin renting out seat time for profit and possibly get the opportunity to drive myself in some instances. However a business loan is currently 12% interest and I'm worried if the business fails, then I would have to take over the loan payments personally. To counter this I've thought about putting it under an LLC. However, I heard talks that having the business loan under the LLC wouldn't protect me personally from the consequences of the business failing.
I'd like to some personal experiences or advise on if taking a loan to start a business. Motorsports isn't always a profitable business because of the costs week in and out to operate. That's what also makes me worried about trying make the business work.