
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.
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