Applying for business credit with net 30 vendors is a good way to establish business credit for small business. A net 30 vendor is basically a vendor or supplier that you purchase from and then you are invoiced for 30 days. Meaning, you have 30 days from the date of invoice to pay the balance in full. Many net 30 vendors report your payment to the business credit bureaus. This is very important because it shows payment history and credit worthiness.
There are net 30 vendors for every type of industry. Healthcare, Technology, Education, Management, Transportation and import/export just to name a few. When building business credit for your company, it is very important that business owners register and order from vendors that are related to their industry. This business will be able to actually use the products it buys for business use and not just to build business credit.
These net 30 vendors are great for small businesses looking to establish business credit for their companies.
Az Snacks
Trades Smart Products
Strategic Network Solutions
VIP Electronics Center
Share Da Luv
Business Credit America
These are just a few companies that will approve small businesses for a net 30 credit account. Having a variety of net 30 accounts is key to building business credit for your business.
Alplouis,
Tax and Business Credit Consultant
Thursday, July 26, 2012
Tuesday, July 24, 2012
Friday, July 20, 2012
The Paydex Score and your Business Credit
A little truth about Dun and Bradstreet's paydex score and business credit.
This from Wikipedia:
Paydex is a term used in business, for a numerical score granted by Dun and Bradstreet to Business as a credit score for the promptness of their payments to creditors. The Paydex score is used for commercial organizations in a manner similar to the way the FICO score is used for individuals.[1]
While individual credit score take a number of factors into consideration, Paydex is calculated based one single factor - whether a business makes prompt payments to its suppliers and creditors within the agreed upon terms of payment.
The Paydex Score ranges from 0 to 100 (best). A Paydex of 80 or higher is considered healthy for a company - that is a company is paying its suppliers and vendors on time, before they are due, or past due. Today most lenders and suppliers are looking for a score of 75 and higher.
This definition by wikipedia is true that a business with a 80 paydex score pays it's bills on time. However, when building business credit, your paydex means nothing if your business credit file isn't solid. A business credit file complete with updated company information and sometimes maybe even the company's financials would be considered by most lenders to be solid. Most people will assume that because they have a 80 paydex score they can go out and apply for business credit and get approved. That's a false assumption. A company can have a strong 80 paydex or a weak 80 paydex score.
For example, let's compare two companies with 80 paydex scores.
Company A has 4 trade experiences where they made on time payments. Each payment was for $50. So this company has 4 trades experiences at $50. This would obviously get them a 80 paydex. Not bad.
Company B has 15 trade experiences with a high trade payment of $15k. All payments were made on time. The average trade experience was for $500. This would be considered a solid business credit file.
Now, if both companies were applying for business credit based on their Dun and Bradstreet credit file, which company would get more favorable terms? Like high credit limits and NO Personal guarantee. It would obviously be company B because their business credit file shows activity and good payment history. Company A's business credit file would be considered weak in terms of the number of trade payments and the low payment history.
It is very important that small business owners understand the factors that make up a solid business credit file. Lenders, suppliers will look at other factors with in the paydex score because they know all paydex scores aren't created equal.
Visit the link below to get your copy of the business credit e-book. This is the ultimate guide for building business credit. Learn how to build a solid business credit file like Company B, and learn how company A can build solid business credit file in less than 90 days with the business credit e-book.
http://www.tradebit.com/filedetail.php/126427810
Al,
Business Credit Consultant
alplouis@gmail.com
Twitter.com/alplouisea
Paydex is a term used in business, for a numerical score granted by Dun and Bradstreet to Business as a credit score for the promptness of their payments to creditors. The Paydex score is used for commercial organizations in a manner similar to the way the FICO score is used for individuals.[1]
While individual credit score take a number of factors into consideration, Paydex is calculated based one single factor - whether a business makes prompt payments to its suppliers and creditors within the agreed upon terms of payment.
The Paydex Score ranges from 0 to 100 (best). A Paydex of 80 or higher is considered healthy for a company - that is a company is paying its suppliers and vendors on time, before they are due, or past due. Today most lenders and suppliers are looking for a score of 75 and higher.
This definition by wikipedia is true that a business with a 80 paydex score pays it's bills on time. However, when building business credit, your paydex means nothing if your business credit file isn't solid. A business credit file complete with updated company information and sometimes maybe even the company's financials would be considered by most lenders to be solid. Most people will assume that because they have a 80 paydex score they can go out and apply for business credit and get approved. That's a false assumption. A company can have a strong 80 paydex or a weak 80 paydex score.
For example, let's compare two companies with 80 paydex scores.
Company A has 4 trade experiences where they made on time payments. Each payment was for $50. So this company has 4 trades experiences at $50. This would obviously get them a 80 paydex. Not bad.
Company B has 15 trade experiences with a high trade payment of $15k. All payments were made on time. The average trade experience was for $500. This would be considered a solid business credit file.
Now, if both companies were applying for business credit based on their Dun and Bradstreet credit file, which company would get more favorable terms? Like high credit limits and NO Personal guarantee. It would obviously be company B because their business credit file shows activity and good payment history. Company A's business credit file would be considered weak in terms of the number of trade payments and the low payment history.
It is very important that small business owners understand the factors that make up a solid business credit file. Lenders, suppliers will look at other factors with in the paydex score because they know all paydex scores aren't created equal.
Visit the link below to get your copy of the business credit e-book. This is the ultimate guide for building business credit. Learn how to build a solid business credit file like Company B, and learn how company A can build solid business credit file in less than 90 days with the business credit e-book.
Al,
Business Credit Consultant
alplouis@gmail.com
Twitter.com/alplouisea
Business Credit Cards
The small business sector is doing just fine in terms of credit card financing. There was a study done by Key bridge research and they concluded that the number #1 source for small business finance is credit card borrowing. Business credit is a vital for any small business to survive and very important to the U.S. economy for job growth. Below are some key points from the research report. I've highlighted some key points that I thought were most important.
- According to a 2010 National Federation of Independent Businesses survey, for example, only one third of small business credit line applicants receive an offer with what they consider to be satisfactory terms and conditions, and only 39% of bank loan requests from small firms are granted. On the other hand, three quarters of all small businesses are successful in obtaining business credit card credit.
- Also, a 2009 National Small Business Association survey revealed that 59% of small businesses use credit cards to meet their capital needs, and more than one-third of small businesses obtain 25% or more of their overall debt financing from credit cards.
- There is strong statistical evidence that small business credit card lending facilitates growth in employment and revenue at small firms. Each one percent (or $31 per month, in 2003 dollars) increase in business credit card credit used by small firms is associated with a 0.051% increase in firm employment and a 0.144% ($2,020 on average) increase in firm revenue. These findings suggest that the average small firm creates one net new job for each $5,613 increase in credit card use per month
.- Based on these findings, it is estimated that the expansion of credit card lending to small businesses from 2003 to 2008 contributed to the creation of 1.6 million U.S. jobs, including a direct contribution to the creation of 592,000 small business jobs, and an indirect or induced contribution to the creation of an additional 1.0 million jobs throughout the U.S. economy.
- It is also estimated that the increase in credit card lending to small businesses from 2003 to 2008 resulted in a cumulative increase in the value added of the U.S. economy of $142 billion. On an annual basis small business use of business credit cards therefore contributed roughly one quarter percentage point of total U.S. value added or GDP.
- There is also a positive and statistically significant relationship between ―start-up‖ small businesses use of business credit cards and firm revenue growth. Each one percent increase in credit card credit use by start-up businesses is associated with a 0.116% increase in firm revenue. This means that, on average, an extra $1,000 of credit card use would be associated with about a $5,500 increase in firm revenue.
As you can see from this study, small business credit card lending is great for the U.S. economy. Small business owners who are able to build a solid business credit file will be able to obtain financing via business credit cards.
Al,
Business Credit Consultant
https://twitter.com/ALPLOUISEA
alplouis@gmail.com
Click on the link below to get your copy of the business credit e-book.
http://www.tradebit.com/filedetail.php/126427810
Video link
http://www.youtube.com/user/alplouis?feature=results_main
- According to a 2010 National Federation of Independent Businesses survey, for example, only one third of small business credit line applicants receive an offer with what they consider to be satisfactory terms and conditions, and only 39% of bank loan requests from small firms are granted. On the other hand, three quarters of all small businesses are successful in obtaining business credit card credit.
- Also, a 2009 National Small Business Association survey revealed that 59% of small businesses use credit cards to meet their capital needs, and more than one-third of small businesses obtain 25% or more of their overall debt financing from credit cards.
- There is strong statistical evidence that small business credit card lending facilitates growth in employment and revenue at small firms. Each one percent (or $31 per month, in 2003 dollars) increase in business credit card credit used by small firms is associated with a 0.051% increase in firm employment and a 0.144% ($2,020 on average) increase in firm revenue. These findings suggest that the average small firm creates one net new job for each $5,613 increase in credit card use per month
.- Based on these findings, it is estimated that the expansion of credit card lending to small businesses from 2003 to 2008 contributed to the creation of 1.6 million U.S. jobs, including a direct contribution to the creation of 592,000 small business jobs, and an indirect or induced contribution to the creation of an additional 1.0 million jobs throughout the U.S. economy.
- It is also estimated that the increase in credit card lending to small businesses from 2003 to 2008 resulted in a cumulative increase in the value added of the U.S. economy of $142 billion. On an annual basis small business use of business credit cards therefore contributed roughly one quarter percentage point of total U.S. value added or GDP.
- There is also a positive and statistically significant relationship between ―start-up‖ small businesses use of business credit cards and firm revenue growth. Each one percent increase in credit card credit use by start-up businesses is associated with a 0.116% increase in firm revenue. This means that, on average, an extra $1,000 of credit card use would be associated with about a $5,500 increase in firm revenue.
As you can see from this study, small business credit card lending is great for the U.S. economy. Small business owners who are able to build a solid business credit file will be able to obtain financing via business credit cards.
Al,
Business Credit Consultant
https://twitter.com/ALPLOUISEA
alplouis@gmail.com
Click on the link below to get your copy of the business credit e-book.
http://www.tradebit.com/filedetail.php/126427810
Video link
http://www.youtube.com/user/alplouis?feature=results_main
Wednesday, July 18, 2012
Business Credit and Personal Liability
Some of you might have heard that you can obtain business credit with out a personal guarantee. Yes. This is very true to this day. Many small business owners aren't aware that they can obtain credit for their business with out personally being liable if the business is unable to pay back it's debt. Business credit is for business expenditures not for personal expenses.I have seen many small business owners using their personal credit to fund their business operation which leaves them personally liable for paying back the debt should the business fail.
I have read through different business blogs online and many small business owners can't understand why they're being asked to PG for credit. This is simply due to the fact that their small business credit credit file is either incomplete or it doesn't exist. Therefore the lender ask for a personal guarantee or the owner and business become jointly liable for repaying back the debt.
For a small business to obtain business credit with out a personal guarantee the business needs to have establish credit. A business must be active for at least 2 years and have payments experiences vendors or creditors that have reported the payments to the 3 major credit bureaus. Dun and Bradstreet, Experian small business and Equifax small business. This information will be verifiable when a lender does a business credit check on the business. Learning how to build a strong business credit file is the start of the process towards obtaining business credit with no personal guarantee. Obtaining business credit with no PG is done every day by smart business people who understand the importance of building business credit for their small business.
Just imagine that you are able to obtain $100k in business credit for your small business and you're not personally liable to repay any of it back. The business is then able to invest in what ever investments that would bring in money.
The business credit e-book is just the resource you need to get started on building business credit for your small business. Learn proven techniques that you can use to obtain thousands of dollars in business credit for your business. Visit the link below and pick up your discounted copy of the business credit e-book.
http://www.tradebit.com/filedetail.php/126427810
Al,
Business Credit Consultant
alplouis@gmail.com
https://twitter.com/alplouisea
I have read through different business blogs online and many small business owners can't understand why they're being asked to PG for credit. This is simply due to the fact that their small business credit credit file is either incomplete or it doesn't exist. Therefore the lender ask for a personal guarantee or the owner and business become jointly liable for repaying back the debt.
For a small business to obtain business credit with out a personal guarantee the business needs to have establish credit. A business must be active for at least 2 years and have payments experiences vendors or creditors that have reported the payments to the 3 major credit bureaus. Dun and Bradstreet, Experian small business and Equifax small business. This information will be verifiable when a lender does a business credit check on the business. Learning how to build a strong business credit file is the start of the process towards obtaining business credit with no personal guarantee. Obtaining business credit with no PG is done every day by smart business people who understand the importance of building business credit for their small business.
Just imagine that you are able to obtain $100k in business credit for your small business and you're not personally liable to repay any of it back. The business is then able to invest in what ever investments that would bring in money.
The business credit e-book is just the resource you need to get started on building business credit for your small business. Learn proven techniques that you can use to obtain thousands of dollars in business credit for your business. Visit the link below and pick up your discounted copy of the business credit e-book.
http://www.tradebit.com/filedetail.php/126427810
Al,
Business Credit Consultant
alplouis@gmail.com
https://twitter.com/alplouisea
Monday, July 16, 2012
Your Business Credit information
There are a lot of small business owners that don't understand the importance of having accurate information reporting on their business credit files. Having the wrong information reporting can cause your credit application to get denied by the business credit bureaus. The business credit e-book teaches you how to build a solid business credit file. Here are a few things that you will learn from the business credit e-book.
1. The correct business name
Not having the correct spelling of your business credit information listed on your Business credit file can cause you to have a duplicate file. This is simply when the credit bureau have 2 different files for the business. If a lender tried to view your business credit file it would have difficult time trying to distinguish which file is the more accurate one.This sort of confusion would result in a denied application or they may request more information before moving forward with your application.
2.Telephone number
The business telephone number must be accurate and listed. Lenders will use the 411 directory to verify certain business information based off of the number listed on the business credit file. Make sure that the right number is listed and is a working number. Some lenders will call the number listed to verify the business information. A non-working number or incorrect number could hurt your chances of getting approved for business credit.
3.Business location address.
Businesses have multiple business locations or satellite offices. It is very important that the principal address of the business is listed and it must be verifiable. You may have moved from one location to the next and failed to notify or update the business information with the credit bureaus. This could have a negative impact when you apply for business credit. You want to make sure the current address is on the business credit file.
These are just a few details that a small business owner needs to understand when building business credit. Your business credit file must be fool proof. That means, your file must look complete with all the necessary business credit information that any lender would look for in a company. The business credit e-book will show you how to build a fool proof business credit file so that you can obtain the financing you need to invest in your business.
Pick up your copy of the business credit e-book today by visiting
http://www.tradebit.com/filedetail.php/126427810
Al,
Business Credit Consultant
https://twitter.com/alplouisea
alplouis@gmail.com
http://www.tradebit.com/filedetail.php/126427810
1. The correct business name
Not having the correct spelling of your business credit information listed on your Business credit file can cause you to have a duplicate file. This is simply when the credit bureau have 2 different files for the business. If a lender tried to view your business credit file it would have difficult time trying to distinguish which file is the more accurate one.This sort of confusion would result in a denied application or they may request more information before moving forward with your application.
2.Telephone number
The business telephone number must be accurate and listed. Lenders will use the 411 directory to verify certain business information based off of the number listed on the business credit file. Make sure that the right number is listed and is a working number. Some lenders will call the number listed to verify the business information. A non-working number or incorrect number could hurt your chances of getting approved for business credit.
3.Business location address.
Businesses have multiple business locations or satellite offices. It is very important that the principal address of the business is listed and it must be verifiable. You may have moved from one location to the next and failed to notify or update the business information with the credit bureaus. This could have a negative impact when you apply for business credit. You want to make sure the current address is on the business credit file.
These are just a few details that a small business owner needs to understand when building business credit. Your business credit file must be fool proof. That means, your file must look complete with all the necessary business credit information that any lender would look for in a company. The business credit e-book will show you how to build a fool proof business credit file so that you can obtain the financing you need to invest in your business.
Pick up your copy of the business credit e-book today by visiting
http://www.tradebit.com/filedetail.php/126427810
Al,
Business Credit Consultant
https://twitter.com/alplouisea
alplouis@gmail.com
http://www.tradebit.com/filedetail.php/126427810
Buisiness Credit and Shelf corps
Build business credit using a shelf corporation can be a very effective strategy if done properly. There are steps that should be taken before you can begin to apply for business credit using a shelf corp. I have read many article online and watched videos on how to obtain and use a shelf corporation for business credit purposes. 95% of the information is either out dated or useless in today's lending environment.
Shelf corps are corporations that have multiple years of being active. Investors seeking loans, credit or services usually chose to go the shelf corp route because they can show that they have a company that has been active for multiple years. Lenders prefer to see companies that have been in business for a minimum of 2 years. Newer businesses (less than 2 years) are considered riskier as they need time to build and become profitable. Of course all your corporate documentation must be in order for this process to work out.
Using a shelf corp to build business credit is a tool that has been around for decades. I would caution any one who seeks to obtain a shelf corp that they do a thorough back ground check on the corporation. I have heard many horror stories about investors getting scammed by some shelf corp vendor promising a shelf corp with credit and then the investor finds out that the shelf corp has no credit. Now there are number of reputable online companies that sell self corps at reasonable prices but you have to know what to look for.
My suggestion to anyone looking at a shelf corp for the purpose of build business credit is to proceed with caution. The business credit e-book provides you with step by step information on how to build a fool proof business credit file. . It requires patience and persistence above all. Knowing how to properly build business credit and using the funds for business would create wealth for the business. How? Well, if you're running a small business and you have capital to reinvest and expand your operations than that would translate into more revenue and sales. And if you manage the business finances properly with the help of a professional accountant, then your bottom line should always be profits. This would also increase the value of the business and increase the wealth of the owner because the business is essentially an asset for the business owner.
Build your own company's business credit versus buying into a shelf which may or may not guarantee you any success. Building business credit if done properly can add great wealth to your business. Pick up a copy of the business credit e-book to begin your journey to financial freedom. Visit the link below to pick up your discounted copy. Act now. Only a limited time offer.
http://www.tradebit.com/filedetail.php/126427810
Al,
Business Credit Consultant
alplouis@gmail.com
Twitter.com/alplouisea
Shelf corps are corporations that have multiple years of being active. Investors seeking loans, credit or services usually chose to go the shelf corp route because they can show that they have a company that has been active for multiple years. Lenders prefer to see companies that have been in business for a minimum of 2 years. Newer businesses (less than 2 years) are considered riskier as they need time to build and become profitable. Of course all your corporate documentation must be in order for this process to work out.
Using a shelf corp to build business credit is a tool that has been around for decades. I would caution any one who seeks to obtain a shelf corp that they do a thorough back ground check on the corporation. I have heard many horror stories about investors getting scammed by some shelf corp vendor promising a shelf corp with credit and then the investor finds out that the shelf corp has no credit. Now there are number of reputable online companies that sell self corps at reasonable prices but you have to know what to look for.
My suggestion to anyone looking at a shelf corp for the purpose of build business credit is to proceed with caution. The business credit e-book provides you with step by step information on how to build a fool proof business credit file. . It requires patience and persistence above all. Knowing how to properly build business credit and using the funds for business would create wealth for the business. How? Well, if you're running a small business and you have capital to reinvest and expand your operations than that would translate into more revenue and sales. And if you manage the business finances properly with the help of a professional accountant, then your bottom line should always be profits. This would also increase the value of the business and increase the wealth of the owner because the business is essentially an asset for the business owner.
Build your own company's business credit versus buying into a shelf which may or may not guarantee you any success. Building business credit if done properly can add great wealth to your business. Pick up a copy of the business credit e-book to begin your journey to financial freedom. Visit the link below to pick up your discounted copy. Act now. Only a limited time offer.
http://www.tradebit.com/filedetail.php/126427810
Al,
Business Credit Consultant
alplouis@gmail.com
Twitter.com/alplouisea
Thursday, July 12, 2012
Business Credit Bureaus
When it comes to personal credit there are 3 main credit bureaus that keep track of your personal data and evaluate your personal credit reports as they receive information about your payment experiences from retailers, financial institutions and public records. Most if not all of the information is reported to the bureaus using your social security number. Equifax, Trans Union and Experian are the three main personal credit reporting agencies.
For a small business, there are more credit reporting agencies than there are for personal credit. Here is a list of small business credit bureaus.
Equifax Small Business Enterprise
Experian Small Business
TransUnion Small Business
Credit.net
Dun & Bradstreet
Accruint Business
Client Checker
These are the main small business credit reporting agencies that are most important for small business credit. Unlike the personal credit agencies these bureaus get their data from small businesses, vendors, suppliers and certain public records databases. It is very important that your small business information is listed accurately with these agencies. An incorrect address, phone or total years in business could have a negative impact on the company in terms of applying for credit. Lenders and vendors will verify your business information with these credit agencies and if the data you provide on the application does not match the data that the agency has reporting your profile then that could result in your application for credit being denied. It happens all the time. Make sure that you check your business credit file at least once a month. Most vendors report your trade experiences once a month.
To find more about the business credit bureaus and how you can build a solid business credit file, visit the link below to purchase your copy of the business credit e-book.
http://www.tradebit.com/filedetail.php/126427810
Al,
alplouis@gmail.com
Twitter.com/alplouisea
www.Gboogie.net
For a small business, there are more credit reporting agencies than there are for personal credit. Here is a list of small business credit bureaus.
Equifax Small Business Enterprise
Experian Small Business
TransUnion Small Business
Credit.net
Dun & Bradstreet
Accruint Business
Client Checker
These are the main small business credit reporting agencies that are most important for small business credit. Unlike the personal credit agencies these bureaus get their data from small businesses, vendors, suppliers and certain public records databases. It is very important that your small business information is listed accurately with these agencies. An incorrect address, phone or total years in business could have a negative impact on the company in terms of applying for credit. Lenders and vendors will verify your business information with these credit agencies and if the data you provide on the application does not match the data that the agency has reporting your profile then that could result in your application for credit being denied. It happens all the time. Make sure that you check your business credit file at least once a month. Most vendors report your trade experiences once a month.
To find more about the business credit bureaus and how you can build a solid business credit file, visit the link below to purchase your copy of the business credit e-book.
http://www.tradebit.com/filedetail.php/126427810
Al,
alplouis@gmail.com
Twitter.com/alplouisea
www.Gboogie.net
Wednesday, July 11, 2012
Business Credit Building
Hello world. I'm sitting here reading through a forum post and one of the members can't understand why he can't get approved for a particular vendor credit account. He writes that he applied multiple times in the past and so far he's been declined both times. I asked him if he knew what his business credit file looked like and he said that he had no idea if he even had a business credit file. This is a perfect example of why most small business owners are declined for credit everyday. They simply do not understand the basics of how to build their business credit files so that they can obtain the financing for their businesses.
The Scammers Handbook http://www.tradebit.com/filedetail.php/126427810 will teach you all the steps needed to build a solid business credit file that is fool proof and that is ready for lender review. During these tough economic times it is very important the you understand what a the lender is looking for and how to build a solid business credit file. Having a basic understanding of how the business credit agencies (Dun and Bradstreet, Experian small business, Equifax Small business and TransUnion) rate your business for credit purposes is a vital part to building a solid business credit file.
Once again the Scammers Handbook is a must read and it will forever change your life. Having access to credit is a life line of small businesses. Don't wait, get a copy now and enjoy all the great information that this e-book has.Visit the link below to get your copy of the Scammers Handbook.
http://www.tradebit.com/filedetail.php/126427810
Feel free to contact me with any questions or comments
Al,
alplouis@gmail.com
@alplouisea
www.gboogie.com
The Scammers Handbook http://www.tradebit.com/filedetail.php/126427810 will teach you all the steps needed to build a solid business credit file that is fool proof and that is ready for lender review. During these tough economic times it is very important the you understand what a the lender is looking for and how to build a solid business credit file. Having a basic understanding of how the business credit agencies (Dun and Bradstreet, Experian small business, Equifax Small business and TransUnion) rate your business for credit purposes is a vital part to building a solid business credit file.
Once again the Scammers Handbook is a must read and it will forever change your life. Having access to credit is a life line of small businesses. Don't wait, get a copy now and enjoy all the great information that this e-book has.Visit the link below to get your copy of the Scammers Handbook.
http://www.tradebit.com/filedetail.php/126427810
Feel free to contact me with any questions or comments
Al,
alplouis@gmail.com
@alplouisea
www.gboogie.com
Monday, July 9, 2012
Business Credit Basics
The number #1 set back that most start ups and small businesses face today is not having the capital to start and run their businesses. You might be very surprise to learn that most of these small business owners don't know anything about business credit nor do they know how to obtain business credit. I believe that this is the single most important issue that most start ups face today. Imagine that you're a small business owner having access to $50k - $100k in business lines of credit for example. This would allow you to be able to meet payroll, purchase supplies, pay day to day expenses and even invest in machinery or equipment that will add to the bottom. All of this can be accomplish if the right steps to building a solid business credit file are taken early on in the process of starting a business. I will list the main steps that a small business owner needs before he/she can begin to build a solid business credit file that will allow them to acquire the capital they need to fund their business operations.
Step 1- Incorporate. This will be done through your Secretary of the State where the business is located. From my experience, a C-Corp is more favorable in terms of lending than a LLC. Consult with your Accountant/CPA for specifics about which type of corporate entity would be best for you. The articles of incorporation are a must have.
Step 2- Federal Tax ID Number .The business must have a Employer Identification number (EIN). This is for identifying purposes. Taxes.
Step 3- Business bank account in the business name and not in the name of the owner/manager/partner. Business assets must be separate from your personal assets. This step can only be performed only after the EIN has been applied for and received from the IRS.
Step 4 - Get a business landline in the business name and it should be listed with the major search directories for identifying purposes.
Step 5 - Online presence. Most if not all small business have a website. Even if it's a 1 page website that tells what your company does. Having a web presence is a must.
Step 6 - Business License. This is very important as every business should have a license to operate in the city, county or which ever municipality that they are in.
Step 7 - Government registration. This step is very necessary for those looking to solicit Government contracts. This step also requires having the right SIC code for your specific industry.
Lastly, a small business needs to have stationary materials for marketing and advertising. Company logo, business cards and basic letter head templates are necessary for a small business.
Purchase the e-book that will show you how to incorporate these basic steps and also show you how you can obtain cash lines of credit for your business or any investment today. Click on the link below to purchase your copy now.
Your comments are welcomed and I will will respond to your questions.
Al,
Business Credit Consultant
alplouis@gmail.com
@alplouisea
http://www.tradebit.com/filedetail.php/126427810
Step 1- Incorporate. This will be done through your Secretary of the State where the business is located. From my experience, a C-Corp is more favorable in terms of lending than a LLC. Consult with your Accountant/CPA for specifics about which type of corporate entity would be best for you. The articles of incorporation are a must have.
Step 2- Federal Tax ID Number .The business must have a Employer Identification number (EIN). This is for identifying purposes. Taxes.
Step 3- Business bank account in the business name and not in the name of the owner/manager/partner. Business assets must be separate from your personal assets. This step can only be performed only after the EIN has been applied for and received from the IRS.
Step 4 - Get a business landline in the business name and it should be listed with the major search directories for identifying purposes.
Step 5 - Online presence. Most if not all small business have a website. Even if it's a 1 page website that tells what your company does. Having a web presence is a must.
Step 6 - Business License. This is very important as every business should have a license to operate in the city, county or which ever municipality that they are in.
Step 7 - Government registration. This step is very necessary for those looking to solicit Government contracts. This step also requires having the right SIC code for your specific industry.
Lastly, a small business needs to have stationary materials for marketing and advertising. Company logo, business cards and basic letter head templates are necessary for a small business.
Purchase the e-book that will show you how to incorporate these basic steps and also show you how you can obtain cash lines of credit for your business or any investment today. Click on the link below to purchase your copy now.
Your comments are welcomed and I will will respond to your questions.
Al,
Business Credit Consultant
alplouis@gmail.com
@alplouisea
http://www.tradebit.com/filedetail.php/126427810
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