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
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