Building corporate credit is easier than you might think.
Millionaires have known for years that corporations are the best way to grow business, protect thieir assets, and make real money… and small business owner have been jumping on the same bandwagon for the last decade.
Your business should start to build a corporate credit history and business credit profile as soon you establish it. Your first step is to get a corpoarte tax identification number (tax ID number or EIN) from the Internal Revenue Service.
The fastest, and easiest way to get this started is to borrow your good personal credit to create business credit. Simply call up companies that you already do business with, tell them that you just created a new small business, and ask them about small busniess accounts for their current customers. Make sure they ask for your tax ID number, so you know the new account is building your corporate credit.
Other than that, building corporate credit is a slow and steady process, which involves establishing trade lines and credit lines with service providers that your business uses, like Staples or Home Depot.
3 Responses to “Building Corporate Credit”
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Hi…question..what if for the last year, my only two corporate accounts have not been getting reported as a biz account but rather on my husband’s, since he was the PG? We have one installment (company truck) and one credit card (amex)…now that we need new credit…our personal scores have gone below the 600’s…since our corp is still not 2yrs old yet…do we still have a chance to open a Staples, or other recommended smaller biz account?
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I have a low fico score ,Can i use someone else fico score to start building business credi for my corporation?
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“The trick is to build credit without going into debt for garbage like office furniture or stuff that clobbers your balance sheet. The best way I found is to borrow funds to hold them on deposit, make some interest payments, then give back the deposited money. If you agree to just hold it on deposit, http://www.creditloader.com will let you borrow the funds with NO CREDIT CHECK and NO PERSONAL GUARANTEE. They got mine reported to Experian Business Credit.”
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