Most small companies start based on the resources of the business owner. If you are not cash rich and have access to large lines of credit then it is very hard to be successful in business successfully start, expand or even maintain your company. There is a way to establish corporate profile credit so you do not have to use your personal credit. Maybe your personal fico score is shot or maybe you are maxed out or even you only want to invest limited resources to your new start up venture. You can still develop your business credit methodically so in 6 to 12 months you would qualify for lines of credit up to $150,000.00 or more guaranteed.
Four Steps to Develop Business Credit
This is a four step process and if you skip a step or go out of order you will slow down, stall or outright sabotage your development of corporate profile. This will allow your business to grow with limited personal liability without personal signatures.
Step One – Establish the Company:
You might think this goes without saying and obviously it does, but it must be done right. The type of company limits your ability to immediately establish business credit. A Chapter C corporation is most easily financed because usually they are the largest companies. As opposed to sub chapter S corporations are generally small corporations. Therefore some lenders are less restrictive on the “C” corporations. Make sure your business is fully licensed by the state and municipality, with a land phone line, listed by directory assistance and even represented online by a website or blog. This process takes 30 to 60 days, depending on where you are in the process.
Step Two – Trade and Merchant Accounts:
You want to establish 5 or more trade or merchant accounts that you use and make payments. This would include accounts with office supply stores, computer and computer supply stores, gas cards and anything specific to your business. You want to charge a small amount immediately and pay them on time. Within 60 to 90 days you will be ready to go to the next step.
Step Three – Corporate Credit Cards and Equipment Leases
This would include credit cards like Visa, Master Card, American Express, etc. Though the initial limits may be low use them immediately and make minimum payments on time to establish a payment and credit history. This step would also include equipment leasing and vehicle leasing in your business name. As in the previous step within 60 to 90 days you are ready to move to the next step.
Step Four – Business Lines of Credit:
Here you will begin to develop your working capital lines of credit. These working capital lines of credit can be used for any purpose and in any business. It takes 6 to 9 moths to begin to access them but once you do you are home free (assuming you pay your bills on time). Like your personal credit you must manage your business credit. If managed properly you will have all the financing you need at the best rates to operate and expand your business.
Get Business Credit Now, Guaranteed.
This sounds simple. It really is. The problem arises when you do not know what you are doing and which creditors are extending credit. There are even companies that will extend you credit that do not report the the credit repositories and therefore are not helping build your business credit profile. That is why you want to work with a corporate credit building coach to help you meet your financial goals.
Republished by Blog Post Promoter
I am Glad you could return. Have you signed up for The Best Credit For You Newsletter? Thanks again for coming! Your comments are greatly appreciated.
Related Websites 
![Money Hackers Blog Network](http://www.moneyhackers.net/badges/moneyhacker3.jpg")
