One and maybe Simple Question

Discussion in 'Business Operations' started by eazy, Apr 7, 2004.

  1. eazy

    eazy LawnSite Member
    from Texas
    Posts: 51

    What is the best and simplest way to establish business credit?


    Thanks for your time,
    eazy
     
  2. specialtylc

    specialtylc LawnSite Bronze Member
    Posts: 1,656

    With vendors you buy from.
     
  3. EagleLandscape

    EagleLandscape LawnSite Platinum Member
    Male, from Garland, Texas
    Posts: 4,347

    Well... if you're talking about "credit", vendors can't do jack. Credit card companies do that. The best way is to charge stuff, and pay it all on time. That will start showing a track-record of you being responsible. Also a CD will help too, but that'll usually take about a year or so.
     
  4. twins_lawn_care

    twins_lawn_care LawnSite Senior Member
    Posts: 932

    an easy thing to do is for purchases you'd normally pay cash for, just as jwingfield said, buy them on credit, and pay off right away. Start by applying for a low limit, and slowly building it up. Paying on time and keeping little to no balance is important. Especially since you are trying to BUILD credit, and not hurt your report, make sure to keep up on this. If you tend to get rejected at a lot of places because you haven't had any credit cards before, try starting somewhere small, or Sears. They are fairly open to new credit, and you can pick up small hand tools or supplies there. then build away.
    hope this helps
     
  5. eazy

    eazy LawnSite Member
    from Texas
    Posts: 51

    OK, so it is on the same principle as building your personnel credit?

    Also heard it was hard to get a business credit card if you had never had one before or had nothing financed under your business.

    Thanks for your time,
    eazy
     
  6. houston

    houston LawnSite Member
    Posts: 71

    If you have gone to the county clerks office and filed your DBA you will start receiving credit card apps from everyone for your business. I still receive up to 5 every week. I don't guess that they will ever stop trying.

    ;)
     
  7. eazy

    eazy LawnSite Member
    from Texas
    Posts: 51

    OK, filed for my DBA about three weeks ago. That will be great when they start coming in so I can get ONE.

    None have arrived yet!!


    Thanks for your time,
    eazy
     
  8. houston

    houston LawnSite Member
    Posts: 71

    I don't know which county you live in, but rest assured if you are in a large metropolitan area they will come. It won't happen overnight but they will come.
     
  9. walker-talker

    walker-talker LawnSite Platinum Member
    from Midwest
    Posts: 4,771

    Go to your bank and get a checking account. Then, through the same bank, get a credit card in your business name.
     
  10. newleaflandscape

    newleaflandscape LawnSite Senior Member
    Posts: 348

    Fleet business cards approve just about everybody goe to there online site and apply. Also get a gas card for the company. Speedway has a thing called superfleet. Also just talk around town and anyone you are friends with set up an account with their store. We set up our first credit at a hardway store very small in our town. Because when you apply for certain things they will ask for credit references. After one year in business I guarantee you wont have to worry about it. Alot of businesses dont like to give accounts to newbies thier first year since more then half die after a year. Specially our industry. If they see you around the second and you have bought alot of crap from them they will be likely to give you an account the second year. First year is tough in all aspects.
     

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