Let's Talk Business Credit

Let's Talk Business Credit

Information by: Breanna Boley
  • Open a business banking account.
Some options include www.chase.com, www.usbank.com or www.navyfederal.com. It's important because some creditors will ask for bank statements as you build up your business credit.
  • Most important step is acquiring a Dun & Bradstreet number.
Without this, you CANNOT get business credit! Dun & Bradstreet is the credit reporting agency for businesses along with Equifax & Experian Commercial. You can go to https://www.dnb.com/duns-number/get-a-duns.html
Side notes:
Acquiring a Dun & Bradstreet number is totally free. It will take up to 4 weeks. They do charge a small fee to have it expedited.
For an extra fee, you can pay to have all the steps above done by a few online companies like www.legalzoom.com or www.rocketlawyer.com
Sign up with www.nav.com for only $39.99 a month to monitor your personal and business credit. They report your premium account to the business bureaus like D&B.
  • Get a website for the business.
Most creditors want you to have a website for business. You can use www.domain.google.com, www.godaddy.com or www.wix.com for free.
If you need help with website development, you can book my business services here: Website Design – She Rich Digital
  • Get a toll free & fax number.
Again, most creditors want the business to have a number that's not a personal cell number. Some options include www.onesuite.com It's a pay as you go service. So, no monthly fees! Or you can use www.grasshopper.com. They charge a monthly fee but you can customized your number.
  • Make sure to list your business
with www.listyourself.net, www.google.com, www.yelp.com, www.facebook.com, www.instagram.com, www.manta.com. They’re all free but will try to upsell you. There are other sites as well but most of them cost to do so like www.yext.com. If you have the extra funds to list with them, I would highly suggest you do so.
Once you've established aforementioned, you can start applying with different creditors/vendors.
Side note:
Start off with smaller companies like www.uline.com www.grainger.com & www.quill.com
Call them and say you want to open a Net 30 account. Here's a small article defining what Net 30 accounts are. https://en.wikipedia.org/wiki/Net_D
In some cases, they may want you to purchase something first . If so, go ahead and do so by buying something small and cheap. After that, you should be able to get a Net 30.
****Try to open at least 5 accounts to generate a Paydex score!!!!***
After you established your Net 30 accounts, go ahead and buy something under the new accounts. You'll have 30 days to pay if off after a successful purchase order P.O. I suggest paying it off once your item has been delivered. Once this is done, then you'll established what's called a Paydex score. Paydex score is similar to your Fico score but for businesses. This is done by Dun & Bradstreet. Here's more information on Paydex. https://en.wikipedia.org/wiki/Paydex
Once you've done all of this, make you have at least 5 trade lines reporting before moving on to the next tier of trade lines. Otherwise, you’ll be denied with most creditors for not having enough credit history.
If you do have a Paydex score and or 5 trade lines reporting, head over to the group announcements for the different tier levels.
FREE GAME SIS!
Check out our business group for more free information here.
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