Many small business owners do not know they can establish and build a credit score for their entity. Business credit is the measure of a business’ financial responsibility and track record of how a business meets it’s financial obligations. It can also be used as an indicator of the business’ financial health and likelihood of paying back debt.
Why do I need Business Credit?
Having strong business credit can be beneficial to the company. For one, it can be used to access credit in times of need which is absolutely critical considering many small businesses fail due to lack of capital. Second, it improves the business’ reputation, leading to strong relationships with suppliers, creditors, distributors, and even landlords.
So how do you set up business credit?
If you already have a business running, request a Dunn’s number from Dunn & Bradstreet. The application is free, and the number is usually delivered within 30 days. Once you get your number, use it with your vendor accounts and for securing loans or lines of credit. Consistently paying your bills on time will keep your score high.
There are a number of ways to build business credit fast.
Led by an experienced team of business credit advisors, Prime Corporate Services offers consultancy services that have assisted small businesses across the country secure over $15mm in funding. The curriculum focuses on helping clients access affordable capital the right way within a reasonable time period.
To learn more about what Prime Corporate Services can do for your business credit, visit www.primecorporateservices.com/corporate-credit/