Building business credit is critical for your business finances, just as building personal credit is important for your personal finances.
Building business credit is very dear to every company that has genuine intentions to grow and expand. Assessments under reviewsbird.co.uk shows that building business is crucial in gaining access to affordable financing your business. Not building business credit as a company may greatly affect your ability to obtain financing. This assertion is based on assessments revealed under business bank account reviews. Thus, as a company, building business credit is basic.
This content aims at providing you with proper steps to follow in order to build your business credit. Below are 4 simple but important steps:
1. Create a Business Bank Account
Especially for a financial home based business, creating a business account should be top priority. A business bank account enables you to pay all of your bills (on time and in full, of course) under the business name. When opening a business bank account, it is important to ensure that you open one under your business exact legal name and use the Employer Identification Number (EIN). If you don’t have an EIN yet, you are advised to get one as soon as possible. Keeping to this ensures that your on-time bill payments will register as coming from your business which further makes tracking easier.
2. Get a Business Credit Card
Generally, it is not advisable to use your personal credit card in paying for business expenses. Not only will it create logistical issues by combining your personal and business expenses, but more importantly, it will hinder you from building your business credit easily. Using a business credit card in paying your bills- in full and on time, is one great way in building business credit without disrupting … Read More...