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Business Credit Benefits You Should Know About
Business name that's linked to the business's EIN number. This is credit a business owner can obtain that is not linked to their SSN. This can be obtained with no personal liability from the business owner.
Business has no impact on the business owner's personal credit. When done properly, business credit is obtained without the SSN being supplied on the application.
This means there is no credit check from the business owner to get approved. This also means that anyone who has bad, even horrible personal credit can still be approved.
Reports to the reporting agencies, not the consumer reporting agencies. As business is used it has no adverse impact on the owner's consumer credit because it's not reported to consumer agencies.
This means utilizing the account, even over 30%, won't have any adverse impact on the personal credit scores. And there are no inquires on the personal credit when you apply for business credit as long as you don't supply your SSN.
Another benefit of business is that it more than DOUBLES your borrowing ability. You already have consumer credit, now you can have a whole other credit profile with business credit also.
Plus, per SBA business credit limits are 10-100 times that of consumer limits. Obtaining business credit radically increases your available credit.
Business credit can be obtained VERY fast. You can get approved for initial vendor credit to help your business grow within one week. That credit will typically report within 30-90 days.
Once reported, you will then have reported tradelines which in turn give you an established profile and score.
Once your profile is established in 90 days or less, you can then start getting real useable revolving store credit cards. Within 120-180 days you can then get real cash credit such as Visa, MasterCard, Discover, and AMEX credit you can use anywhere.
Perfect for startups and established companies. It's also perfect for companies that don't have collateral, which is required for all SBA 7a loans. Perfect for companies that have no cash flow to verify, no tax returns to supply, or ones that don't want to verify this information even if they do have it.
It truly provides a good way to get money for ANY business, big or small, new or established, regardless of the owner's personal situation.
Considering most don't require financials upon application, there is other criteria they look at to gauge if your business is truly "credible".
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