Establish business credit is what every entrepreneur should do from day one of their new business venture, unfortunately most never do. The sad fact is, more than 90% of all businesses never take the time to learn about, or to establish any business credit at all. What about you?
Then when the entrepreneur gets into a financial jam and needs to get a loan, they seem surprised that there are either no loan programs available to them, or the ones that are available are attached to very high interest rates, or require loads of collateral.
Well think about it. What if you never bothered to do anything about your personal credit scores? What if, until you were 30 years old, you paid cash for everything and then you wanted to get a home loan, would you be able too? No. Why? Because you have no credit and you have an extremely low credit rating. Ok! The same is true in business.
You simply can’t ignore your business credit rating and hope you will have one when you need it. It doesn’t work that way. To establish business credit, you must work at it. You must build it from the ground floor up, just like you did your personal credit.