9. October 2017

It is true for start-ups and established businesses alike, that if your business is unable to acquire business funding it might cripple your efforts to move forward, or even cause you to close the doors on your dreams. Product development depends on having working capital. Along with advertising, marketing, hiring production personnel, and covering the overhead increases that come with growth. The process by which businesses qualify for loans is to first, establish a quality business credit score, secondly, to establish a bank business line of credit, and finally, to use solid performance in the first two areas to secure the necessary bank loan. Securing a bank loan opens the door to obtaining loans from non-bank business lenders.

We offer you our expertise in separating your personal credit from your business credit as soon and quickly as possible

bank business line of creditYou should not link you business credit with your personal credit. That course of action will typically harm your personal credit score and may even put your personal assets at risk. Your business should have its own bank business line of credit that is entirely separate from your personal credit circumstances.

This line of credit is the largest hurdle to obtaining business loans, which will give you the capital to fuel success in any industry. In order to qualify for a bank business line of credit, your business must comply with a list of industry standards that demonstrate your credit worthiness.

In the murky and often treacherous waters of trying to obtain funding for your business, it makes sense to partner with a company that has the experience and expertise to guide you through the process. They will help you position your business to have high business credit scores with the national business credit reporting agencies, and comply with a lengthy list of industry standards that all lending institutions require before a lending.

Our Business Credit Building System has guided thousands of businesses to establishing and obtaining better business credit since 1995

The Business Credit Building System is one avenue that are helping many small business owners. Having the best products and services available will only bring success to your company. The Business Credit Building System will help you receive funding required to bring them to consumers in need of what you have to offer. Begin building your bank business line of credit today and take a crucial step toward reaching your goals!

Business Loan Approvals, Optimize Personal Credit, Pre-Qualify for Business Loans, Small Business Financing

8. October 2017

Entrepreneurs and small-business owners often open their business on their own dime, so to speak. They use their own cash, or the money of obliging relatives, to start. If the business grows, at some point the owner will approach a lender to obtain funding for expansion or the development of new goods and services. You get turned down for the loan because they know nothing about business credit and have not taken the appropriate steps to be deemed credit worthy. Positive cash flow, paying vendors on time, and having money in your checking account are valued, but simply are not enough.

Obtaining corporate credit takes a detailed strategy that should be part of your business plan from the beginning. Even if corporate credit is not needed immediately, laying the groundwork for obtaining it down the road will help your expansion plans.

Having good business credit scores with all three corporate credit agencies should be a part of your business strategy from the very start

about corporate creditEvery business owner must learn about business credit and have a relationship with a company that will help them obtain credit These companies will provide detailed, easy to follow steps to follow that will position your business in the eyes of lenders. For example, the Business Credit Building System has compiled a list of 20 compliance items you must have completed. These form the basic business foundation for credit worthiness. Opening accounts with the credit reporting agencies is essential, so that your vendors and your business credit cards can report your excellent performance to them and help you develop outstanding business credit.

Don't waste your time trying to be an expert in knowing about business credit, let the Business Credit Building System lead you step by step

The value of using the Business Credit Building System is that you do not have to become an expert in knowing about business credit. They are the experts, with a well-established history of helping their clients develop outstanding corporate credit scores that form the basis for obtaining corporate funding from banks and other types of lenders. Even if you have begun the business with your own money, a day will likely come when you will be glad your corporate credit is outstanding. Studies reveal that growing businesses require more outside funding than unsuccessful ones. If you plan to succeed learn about business credit and make becoming credit- and loan-worthy part of the business plan from day one.

Build Business Credit, Business Credit Scores, Pre-Qualify for Business Loans

7. October 2017

Small business owners often have to scramble to keep funds flowing through the course of normal operations. When sales are slow or orders are waiting for payment, bills still need to be paid and inventory or materials brought in. A traditional loan doesn’t make much sense for those situations. In fact, a bank is less likely to give a business a loan for random items. Basic loans, even for businesses, need to have a well-defined purpose, not be used for general expenses.

That’s where the line of credit comes in. A line of credit gives the business owner a useful bank of cash to draw on as needed, making payments back to the bank only on the amount used. When payments are made on the loan, the amount that is principle goes back into the account for future use. Interest rates tend to be lower than with credit cards, and money from a line of credit can be used wherever needed, unlike a vendor account that must be used only at a particular merchant.

Getting a Line of Credit

As useful as this type of bank loan is for a business of any size, small business owners tend to ignore it as a resource. For many, it is a daunting option that seems to difficult to achieve. Getting a business line of credit from a bank to operate your small business is not as scary as it appears to be. It is basically the same as a traditional loan, and banks are actually becoming more open to the prospect of lines of credit vs. loans since loan applications are down due to the economy.

Be Prepared for Success when Applying for a Line of Credit

Make a good impression right from the start, and walk into the lender’s office with all of your paperwork in order. Have a strong business plan to present, and work to create your business’ identity apart from your own. Your company should have its own EIN, also known as Employer Identification Number, from the IRS and a DUNS number from the small business credit company Dun & Bradstreet.

By taking the time to get all of the necessary information together, and having created a business credit score through various credit cards and vendor accounts in your company’s name, you will be in a great position to be accepted by a lender for a line of credit.

Build Business Credit, Business Loan Approvals, Pre-Qualify for Business Loans, Small Business Financing , , , , , ,

6. October 2017

Equipment finance is one of several options available to businesses seeking start up or growth capital. It is a highly attractive finance option because it can provide exactly what a business needs in order to survive. This could include machinery, software, computers, or even office furniture. Businesses will also find that equipment financing tends to not tie up cash, receivables, or credit cards. Overall it can reduce the amount of cash a business will need, and the best part is that it can be written off at tax time. 

One particular form of equipment finance is a general equipment loan. This option can be valuable because the majority of equipment that is acquired is not likely to become obsolete as fast. The technology and medical industries would have to worry about the equipment becoming outdated. In general an equipment loan is a wise choice because there is low obsolescence. Ownership and equity are other reasons why equipment loans are a good choice. You get the same benefits as if you owned the piece of equipment, and it also allows you to use equity to go after more working capital down the road if needed. The main benefit to an equipment loan is that a business can expense up to $25,000 worth of new equipment for the first year it is purchased. This adds up to decrease the final purchase cost. Any amount of equipment loaned over $25,000 would be depreciated over the next several years for an ongoing tax deduction.  

Equipment leasing allows a business to get the most tax benefits possible while saving cash at the same time when compared to other forms of equipment finance which are available. The lease of course must be returned at the end, but often times the lessor will give a business the opportunity to buy the item for "Fair Market Value" at the end of the lease. That final total is often determined after the lease has already expired. The monthly rental payments can be tax deductible, but it is advised to speak with your accountant before taking out an equipment lease. With the lease you are simply paying a straight rental payment with no interest on the item. It can be difficult to locate equipment leasing companies, but researching the top search engine results from the phrase "funding directory" will return a valuable, free option for getting in touch with equipment leasing companies.

A relatively new concept for businesses trying to raise quick capital is through an equipment sale and leaseback. With this option a business can obtain up to 70% of the original purchase price against equipment they own. This money earned through the sale can be used for startup funding and business expansion needs with no restrictions. After being sold the item would remain on the seller's property, and they would lease back the item from the source purchasing the asset. Businesses really like this option because there are no restrictions on how the money is used and of course no collateral is needed. Other lines of credit are also not affected by a business doing an equipment sale and leaseback. The other aspect is that the monthly payments are 100% deductible. 

Equipment finance is just one of many methods available for obtaining business financing. There is commercial finance, small business loans, venture capital, equity investments, and more. It is also good to work on establishing your business credit, ensuring that you separate your personal credit from your business credit. With good business credit scores obtaining large loans and other forms of capital is very simple, and you won't be one of the 97 percent that actually have a loan application denied. One other strategy that is easy to do and beneficial to a businesses quest for business capital is to use a free business capital search engine to locate potential lenders. 

Alternative Business Financing, Build Business Credit, Small Business Financing

6. October 2017

Anyone starting a business will soon have questions about business credit. Many new business owners and entrepreneurs do not realize that there is a distinct difference between personal credit and business credit. They may have outstanding personal credit scores, only to discover that when they seek business funding they are turned down due to a lack of business credit history. One alternative is to use their personal credit to obtain funding for their business, but most business experts advise against putting personal assets at risk for the business.

In order to have a successful business you must separate your
personal credit from your business credit

about business creditThe better option is to learn about business credit and then build it the way successful companies have been for generations, by starting small and growing credit worthiness one crucial step at a time. For small businesses, this will involve establishing lines of credit with vendors. Follow vendor guidelines, pay as scheduled, and soon they will extend a line of credit for your business. Approach 3-4 financial institutions about obtaining a true business credit card tied only to the business.

We recommend that a business has 3 business credit cards that report to the national business credit reporting agencies. Pay on time and do not max out the cards, then you will be establishing a foundation of excellent business credit. As you discover what is valuable about business credit, you will find that lenders use a checklist of nuts and bolts things to help determine if your business is legitimate. These items, such as having a business listing in the business directory and having necessary papers filed, are viewed right alongside your business credit scores. As a result, these items are vital to your efforts to receive business loans.

One of the most heavily weighted items to be approved for business
financing is to have good business credit scores

If you are like the vast majority of business owners, you are in business because you have a passion to deliver something to consumers that they need, want, and will embrace. If you wanted to spend all your time on the details of financing, you would be doing that for a living, not pouring your energies into delivering the best customer service and products in your market. That is why it makes sense to partner our company whose passion is building business credit and helping their clients obtain business loans. We will answer all your questions about business credit, and using the program of Business Credit Building System, will position you to receive the business funding needed to succeed. We will streamline the process, guarantee strong business credit scores, and take the hassles out of pursuing business credit and loans.

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Build Business Credit, Business Credit Scores, Business Loan Approvals, Lender Compliance Items