Business Credit Building

At Westchester Credit Repair Pros, many of the credit repair and credit building services we offer are intended to help with personal credit situations, but you’ll find that we’re equally highly accomplished at handling business credit building and repair services too. In many ways, business credit is a lot like personal credit, but there are noteworthy differences that need to be paid attention to. If you’re looking to be a commercial success, you’ll need to make sure that your business credit is in a healthy condition – you’ll be severely hamstrung if you don’t have access to good credit as you move forward. To get some information on business credit, and how we can help you with building up your credit score, just read on below. Of course, if you have any questions that need answering, our customer service team is always available.

What is a Business Credit Score?

Before we get into business credit building, it’s first necessary to understand what business credit is. Put in simple terms, a business credit score is a number that indicates the reliability and dependability of a commercial entity in terms of their financial behavior. It can help to determine whether the entity in question is a good candidate to receive a business loan, for example. It’s affected by everything from repayment histories with lenders and suppliers to tax liens and bankruptcies, and everything in between. It’s even affected by the size of the company, and how long it’s been in operation.

Understanding Business Credit Building

Most businesses rely on business credit one way or another, but this is particularly true of small businesses. Of course, if you don’t have a substantial business credit history, or you have a poor one, then lenders are going to be reluctant to extend you any lines of credit. Business credit building is concerned with improving your credit through a number of means – and makes it possible for your business to act with more freedom as you move forward.

Establishing a Separate Entity

Many people who are in the early days of their business don’t realize it, but using your personal credit is not a good solution. It’s critical that you establish your business as a separate entity, with a credit score that’s entirely separate from yours. Corporations and LLCs are entirely independent entities, which means you’ll have a clean slate to work with in terms of business credit. You’ll also need an EIN (federal tax identification number) for opening a business bank account – which is another good step required to help build up your credit.

Further Strategies

At Westchester Credit Repair Pros, we have a number of strategies that can help you to build up your business’s credit – we’ve only spoken about a few of the early steps that you’ll need to take. We’ll also assist you with opening business credit files with the three major agencies, obtaining business credit cards, and establishing lines of credit with some vendors or suppliers relevant to your services. Building your credit is a slow-burn process that shows you’re reliable over an extended period of time, we can help you to manage this process so that you can make steady progress.