Discover 5 reasons why your business needs to build a business credit asset

Listed below are the top 5 reasons to build business credit and how it can help you build a strong foundation.

#1 Get access to hundreds of financial companies and corporate lending institutions. Business credit can open many doors to capital that you would not otherwise have available for your business to grow. Corporate payment histories that relate to your profile with Dun and Bradstreet and other business offices can really increase your borrowing power.

#2 Getting an approval or denial is often based on how well you’ve followed established compliance rules for businesses. Most companies have no idea of ​​the compliance rules and proper setup of their company and how those things are directly related to whether or not they will get access to capital.

#3 Secure the best financing terms for your business by properly creating your business profile, if done correctly your business can gain access to lines of credit with big companies like Walmart, Amazon, Staples and Home Depot.

#4 Cut your costs big time by building a corporate credit asset that can improve cash flow by reducing:

loan fees
Premiums for all types of insurance
Lease Terms
Line of Credit Rates
Creditor Terms and Rates.

#5 Protection for your family, which means that instead of your personal assets being tied to your business, they will now be separate and that will give you real peace of mind.

Just like personal credit uses 3 credit bureaus, Experian, TransUnion, and Equifax, Business Credit also has its own credit bureaus. They are D and B (Dun and Bradstreet), Business Experian and Business Equifax. Unlike personal credit where each creditor will report your payment history to personal credit bureaus, businesses don’t always do this and often don’t report unless you take certain steps to make it easier to report business payments made on credit.

Establishing corporate credit takes time and resources, but above all it requires the guidance of someone who knows how to do it and has done it. Business credit can be built so you don’t have to tie your personal credit to your business. In other words, if Donald Trump’s business fails, only the business goes down, it does not affect his personal assets, such as his property and family items. This is huge because most business owners tie their personal credit to their business loans and then if something bad happens to the business it can affect their families and personal assets. For that reason, it’s imperative to protect your family and build business credit the right way.