Stage Two of the Business Credit Success Guide
How to Build Small Business Credit with No Personal Guarantee

Step 8 ~ Price for Building Business Credit

Another question we hear a lot from members is how much is it going to cost to build small business credit.  The answer is different for every small business and the first cost is dependent on which of our programs you choose:

* We provide the first 2 of 10 stages of the Business Credit Success Guide for free, then you venture off on your own to learn the hard-way as we did.

* You can purchase the Business Credit Success Guide and utilize our knowledge and experience to make the process much easier than learning on your own.

* You can secure our expert coaching services and have us hold your hand through the entire process of building business credit. Learn more about our expert business credit building services.

Whichever option you choose, you can still expect to pay a price for building business credit.  The actions involved with building business credit will require a small capital investment to purchase the goods and services your business uses already.

We have mentioned that you can get business credit from almost any source that offers personal financing options but it is important to note that not all business credit lenders report account activity to the business credit bureaus.  So when you are just starting the process it will be important to only choose from the list of companies given later in this guide to give your business the best chance to build business credit. We also have two other suggestions to consider when establishing your business credit building path.

First is to apply for business credit vendors your business will actually use. Business credit that is not being used will do your business credit file no good since infrequently used accounts are less likely to report.  More importantly, you will find it will be very difficult to get a credit limit increase on a barely used business credit account and frequent credit limit increases are the key to strengthening your business credit file and opening up larger sources of business financing.  Not only should you only apply for business credit your business will use frequently but we suggest you only buy what your business needs.  There is absolutely no reason to buy something just to build business credit.  We will discuss this further in the next step.

The second suggestion is it will be necessary, mostly in the beginning, to purchase supplies from business credit vendors even though you might pay a little more. The reason is these vendors know your small business needs vendors like theirs to help build your business establish and build a business credit file.  You have to remember, business credit vendors usually pay to report activity.  The same goes for the personal credit world except we all take it for granted and expect it on the business side.  With the amount of fraudulent users of business credit, these vendors safe-guard their risk of lending to your business, without a personal guarantee, by charging an additional 20%-50% for their products or services. Well, wouldn’t it be worth an extra $2-$5 on the purchase of a ream of paper to have your business credit file?  We think so and we will show you these business credit sources in upcoming stages.