Wednesday, August 29, 2012
Friday, August 24, 2012
Is Your Small Business Lendable?
There are a number of reasons why small business owners get denied for business credit. Most small business owners don't realize that there are prerequisite to build a solid business credit file. The small business credit bureaus, (Equifax, Experian, and Dun &Bradstreet) all keep a detail description and payment history on small businesses.
To make your small business lend able would require some steps to insure that your business credit file is complete.
First, you want to make sure that all your company's information that is listed with the credit bureaus are accurate and up to date. Phone numbers, addresses and financials must be on point. Creditors and vendors a like will want to verify this information to make a decision on a credit approval.
Second, Make sure you have a online presence. Your company should be listed in most search engine directories. Google maps, Yahoo local, Bing and 411 are the main search engine directories where you want your company to be listed. Underwriters will verify your company's information in these directories while making a decision on your application. Not being listed can have a negative impact on the process of a credit application. A company website is a plus even if it's one page.
Third, Corporate compliance is a huge factor. Make sure that your company is in active status with the secretary of state for which your corporation is registered. A lot of small business forget to pay their annual dues to the state secretary. Having an inactive corporation shows that the company is not keeping up with compliance. This could result in a automatic denial.
Lastly, Payment history. Make sure your suppliers are reporting your payment to the business credit bureaus. Dun & Bradstreet has a credit builder program that allows you to submit payments experiences from your vendors. Equifax and Experian do not have such a program. You want to do business with vendors that report your payment experiences to the business credit bureaus. Over time this will help increase your company's business credit profile. Lenders like to see good payment history.
Building business credit is all about your profile. Your company has to be lend able in order to qualify for business lines of credit. The steps listed are just a few that I believe are important for getting your company approved for business credit.
Al is a Enrolled Agent , Business Credit Consultant, Entreprenuer and Small Business Owner. To get more information about building business credit, click the link below to get a copy of the ultimate business credit e-book. You can reach Al at alplouis@gmail.com, or twitter.com/alplouisea.
http://www.tradebit.com/filedetail.php/126427810
To make your small business lend able would require some steps to insure that your business credit file is complete.
First, you want to make sure that all your company's information that is listed with the credit bureaus are accurate and up to date. Phone numbers, addresses and financials must be on point. Creditors and vendors a like will want to verify this information to make a decision on a credit approval.
Second, Make sure you have a online presence. Your company should be listed in most search engine directories. Google maps, Yahoo local, Bing and 411 are the main search engine directories where you want your company to be listed. Underwriters will verify your company's information in these directories while making a decision on your application. Not being listed can have a negative impact on the process of a credit application. A company website is a plus even if it's one page.
Third, Corporate compliance is a huge factor. Make sure that your company is in active status with the secretary of state for which your corporation is registered. A lot of small business forget to pay their annual dues to the state secretary. Having an inactive corporation shows that the company is not keeping up with compliance. This could result in a automatic denial.
Lastly, Payment history. Make sure your suppliers are reporting your payment to the business credit bureaus. Dun & Bradstreet has a credit builder program that allows you to submit payments experiences from your vendors. Equifax and Experian do not have such a program. You want to do business with vendors that report your payment experiences to the business credit bureaus. Over time this will help increase your company's business credit profile. Lenders like to see good payment history.
Building business credit is all about your profile. Your company has to be lend able in order to qualify for business lines of credit. The steps listed are just a few that I believe are important for getting your company approved for business credit.
Al is a Enrolled Agent , Business Credit Consultant, Entreprenuer and Small Business Owner. To get more information about building business credit, click the link below to get a copy of the ultimate business credit e-book. You can reach Al at alplouis@gmail.com, or twitter.com/alplouisea.
http://www.tradebit.com/filedetail.php/126427810
Tuesday, August 21, 2012
Monday, August 20, 2012
Thursday, August 16, 2012
Wednesday, August 15, 2012
Saturday, August 11, 2012
Business Credit Compliance
The number 1 issue facing businesses today is compliance. This could be state or Federal compliance. I will list just a few that I feel are most important in terms of building business credit.
1. Business license.
Every business should have or register for a license. This could be a state, county or a local city license or certification. Lenders/creditors will usually verify public record to see if your business is in compliance before making a credit decision. I have seen many business get denied for this simple process. Make sure that you have a business license or certification.
2. Taxes.
Federal taxes are always necessary for 3rd party verification purposes. Also, every small business that is operating should be making money either a profit or loss. State taxes if required and Federal taxes need to be filed every year that the business is in existence. When applying for loan or business lines of credit with your bank, the banker may ask to see tax returns to verify income and expenses. You want to always be in compliance with your tax filing obligations.
3. Corporate documentations.
Many small business that are operating today do not have their corporate documents in order or even prepared properly. Operating agreements, minutes and stock certificates need to be filled out and signed by officers, managers and personnel to make these documents official. Again, when applying for loans or business lines of credit, your business banker will ask to see these documents to verify certain information about the business that would be helpful in getting your file approved. These documents need to updated regularly and signed by all parties. Filing annual dues are important. Your business need to be in active status at all time. An in active corp is a bad sign that maybe out of business. Keep all corporate documents current and up to date.
These are just a few compliance issues that I thought were most important to small business. Building business credit is not a science. I consider it to be an art.
Visit the link below to get more information about building a fool proof business credit file.
Al,
http://www.tradebit.com/filedetail.php/126427810
1. Business license.
Every business should have or register for a license. This could be a state, county or a local city license or certification. Lenders/creditors will usually verify public record to see if your business is in compliance before making a credit decision. I have seen many business get denied for this simple process. Make sure that you have a business license or certification.
2. Taxes.
Federal taxes are always necessary for 3rd party verification purposes. Also, every small business that is operating should be making money either a profit or loss. State taxes if required and Federal taxes need to be filed every year that the business is in existence. When applying for loan or business lines of credit with your bank, the banker may ask to see tax returns to verify income and expenses. You want to always be in compliance with your tax filing obligations.
Many small business that are operating today do not have their corporate documents in order or even prepared properly. Operating agreements, minutes and stock certificates need to be filled out and signed by officers, managers and personnel to make these documents official. Again, when applying for loans or business lines of credit, your business banker will ask to see these documents to verify certain information about the business that would be helpful in getting your file approved. These documents need to updated regularly and signed by all parties. Filing annual dues are important. Your business need to be in active status at all time. An in active corp is a bad sign that maybe out of business. Keep all corporate documents current and up to date.
These are just a few compliance issues that I thought were most important to small business. Building business credit is not a science. I consider it to be an art.
Visit the link below to get more information about building a fool proof business credit file.
Al,
http://www.tradebit.com/filedetail.php/126427810
Friday, August 10, 2012
Tuesday, August 7, 2012
Wednesday, August 1, 2012
Business Credit & Small Business Lending
"Small Business Lending Falls" is the headline for a article that I read earlier today. The article says that small businesses are unwilling take out loans to expand or invest in their business because of uncertainty in the economy.
Despite what I read I do believe that business credit is alive and well today. Many small business owners simply do not know how to build business credit for their business. With the current economy banks are reluctant to give out loans. They feel like there is too much risk out there to loan money in this current environment. The solution to this for small business owners is business credit cards.
Business credit cards are the most used financing vehicle for small business lending. Small business loans require too much paper work and to get a approved for a small business credit card only requires a solid business credit file and sometimes an average personal credit score from the small business owner.
Setting up your small business properly from start will allow you to get approved for the right business credit cards to finance or even expand your existing business. There are plenty of business credit cards to choose from that come with great perks. The Citi AA World Master card for example has great rewards for business owners that travel a lot. Chase and American Express also offer business credit cards with awesome perks.
Even during these turbulent economic times small business lending is still strong. Your business credit file must be complete with all the necessary information to get approved for a small business credit card. Don't let the negative information in the media discourage you from starting your own business. Learn proven methods to get your business qualified for unlimited lines of business credit.
The business credit e-book is your source for building a solid business credit profile. Click the link below to get your copy of the business credit e-book and start investing in your business today.
Al,
Tax & Business Credit Consultant
http://www.tradebit.com/filedetail.php/126427810
Despite what I read I do believe that business credit is alive and well today. Many small business owners simply do not know how to build business credit for their business. With the current economy banks are reluctant to give out loans. They feel like there is too much risk out there to loan money in this current environment. The solution to this for small business owners is business credit cards.
Business credit cards are the most used financing vehicle for small business lending. Small business loans require too much paper work and to get a approved for a small business credit card only requires a solid business credit file and sometimes an average personal credit score from the small business owner.
Setting up your small business properly from start will allow you to get approved for the right business credit cards to finance or even expand your existing business. There are plenty of business credit cards to choose from that come with great perks. The Citi AA World Master card for example has great rewards for business owners that travel a lot. Chase and American Express also offer business credit cards with awesome perks.
Even during these turbulent economic times small business lending is still strong. Your business credit file must be complete with all the necessary information to get approved for a small business credit card. Don't let the negative information in the media discourage you from starting your own business. Learn proven methods to get your business qualified for unlimited lines of business credit.
The business credit e-book is your source for building a solid business credit profile. Click the link below to get your copy of the business credit e-book and start investing in your business today.
Al,
Tax & Business Credit Consultant
http://www.tradebit.com/filedetail.php/126427810
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