Building business credit can be easy

Discussion in 'Business Operations' started by willretire@40, Sep 12, 2006.

  1. willretire@40

    willretire@40 LawnSite Bronze Member
    from VA
    Messages: 1,390

    First off get a duns number but dont buy the builder crap. To get a dunns number instantly tell them you need it for government contract and they shouldnt try to sell you anything. It is best to be inc. to get good credit offers but can be sole for limited credit. Also have to have EIN #. Then you have to build credit which can be done on average in about 3 months. Then apply for a staples business account with out using your personal credit. You should be able to get $750 limit. If you get denial online call the 1800 #. I will post more info later. Let me know if interested cuz if not wont waste the time. Have to do this just right to get best credit fast (3-6 months).

    YARDGNOME LawnSite Member
    Messages: 7

    I'm interested in the process and would like to hear any business credit building tips. For those that have been through a bad divorce, etc...any tips help towrads reaching small business goals.
  3. willretire@40

    willretire@40 LawnSite Bronze Member
    from VA
    Messages: 1,390

    Ok just do what i said and will give you more details later. There are a couple of other companys out there that will give credit right away. Building business credit is faster then building personal credit if done right you can have a home depot master card in about 3 months with atleat $2000 limit. And dell you can proably get in a month depending on how fast companys post to dun and experian business.
  4. richallseasons

    richallseasons LawnSite Senior Member
    Messages: 479

    what is a dun # and where do you get one
  5. cooksjr537

    cooksjr537 LawnSite Member
    Messages: 116

    american express business is also good. I thought. I applied for the credit card and they approved it with a no limit balance which is pretty good. You just got to make sure you pay it off because the % rate is high i think at 24.
  6. willretire@40

    willretire@40 LawnSite Bronze Member
    from VA
    Messages: 1,390

  7. topsites

    topsites LawnSite Fanatic
    Messages: 21,652

    Well I don't quite get the drift here...

    Whether or not a dunn's number would help I can not tell you, but I was advised to steer clear of Dunn & Bradstreet, the less they know about you as a business, the better... And let your own credit determine your worth so that places like Equifax continue to determine your credit worthiness, once you get into D&B you're just up against another learning curve as you now have yet another credit bureau keeping tabs on you (thou D & B *is* a business credit reporting bureau), while most lenders most likely will never check into D&B for credit worthiness in our cases, I have been told D & B can be as much a blessing as a curse.

    I mean, a business is just an entity on paper, it is run by people and always someone's signature ultimately guarantees payment, that is to say what does a lender do when a business defaults, after all, you can go after a person but you don't chase a 'business' per se, you have to have someBODY to go after.

    In my case the bank made it clear for me, my name is on the credit card and my name signed the paper meaning *I* am ultimately responsible if the business credit card does not get paid, it is the same thing with my national Toro account, they come after me and take my stuff lol if it don't get paid.

    So it is ultimately my own credit, in my case, which determines my business' lending or borrowing power, and I would suspect this to be the case for all solo operations... Now for multi-personnel ops, it is a little bit like a commercial contract - Whoever signs the paper can and will be held liable, don't be fooled into thinking they won't come after you personally if the business doesn't pay, if you sign, then you pay, doesn't matter whose idea it was, whoever signs the credit agreement is liable.

    Of course I do suppose it might be worth checking into for some, in the case where one wishes to have the business in and of itself become a credit institution, again my only advise in this case is be prepared for another learning curve so it is easier for me to stay the way I am, but things can be different for everybody. the choice is yours but think about it some please.
  8. willretire@40

    willretire@40 LawnSite Bronze Member
    from VA
    Messages: 1,390

    Yes they can still come after you but it sep. personal from business credit. If you want business credit you have to have a dun # to get mastercards and even trucks in business name. So when you go buy the house they wont see business debt or anything else you want to buy. Best thing to do first is go inc or llc. then start trying to build business credit.
  9. Total Landscape Solutions

    Total Landscape Solutions LawnSite Member
    Messages: 190

    Funny, I have a credit card (Visa) and a truck in my business name and don't have a dun#. I have also secured credit lines at 4 distributors in my area without it.
  10. willretire@40

    willretire@40 LawnSite Bronze Member
    from VA
    Messages: 1,390

    But did you have to personally guarntee it and is it on your personal credit report b.c that is the difference. And look up your company at b.c sometimes you already have an account.

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