Establish Business Credit

EDub357 · ‎05-15-2016

I have been attempting to establish business credit and I was seriously considering using a company to assist. They assure me that they can get a me business credit and have me at a tier 3 business rating within 60-90 days. This is supposedly the point where I will be able to get the business Visa and Mastercard with at least $10k limits. They seem to be very confident, but I'm wondering is this something I can accomplish myself with on the same time frame. I already have a DUNS number, separate phone line, 411 listed, EIN number. Someone please advise

Anonymous · ‎05-15-2016

Glad you posted and asked before using that service. Building business credit is something you can accomplish on your own. 99% of the business credit card lenders go by your personal credit when considering you for a business card.

So it all comes down to your credit profile. If you have a good credit file, 10k limits should not be a difficult task to accomplish. Examples of business cards lenders that use personal credit in deciding are Chse, Amex, Citi, U.S Bank amongst others.

EDub357 · ‎05-15-2016

But that's the kicker... They say this is all done with no PG. It defeats the purpose of business credit if you must personally guarantee.

Anonymous · ‎05-15-2016

There are some credit cards you don't have to personally guarantee the BJs Business Mastercard. It can go as high as 40k to 50k and some others. Before using that service, I suggest you do your research in addition to the info. here.

Although you have to personally guarantee most cards, they don't show up on your credit reports. I urge you to ask questions about their methods before biting. Out of curiosity, what company is this? Have you looked into them to make sure they are credible?

EDub357 · ‎05-15-2016

The company is called True Build Credit. They profess to have been in the business for 15 years and are the leaders in the industry of building business credit. I've tried to research to make sure they are credible, but that's hard. You find reviews that go both positive and negative, but you don't know what is actual true reviews, and what is fabricated.
I think I've taken a few of the right steps in establishing business credit, but I want to make sure I do things correctly.

Anonymous · ‎05-15-2016

@EDub357 wrote:
The company is called True Build Credit. They profess to have been in the business for 15 years and are the leaders in the industry of building business credit. I've tried to research to make sure they are credible, but that's hard. You find reviews that go both positive and negative, but you don't know what is actual true reviews, and what is fabricated.
I think I've taken a few of the right steps in establishing business credit, but I want to make sure I do things correctly.

I will use myself as an exmaple. A business owner and built the business credit file myself. Building business credit take patience and time. It cannot be done immediately.

I don't mind personally guaranteeing and as long as it is kept of my person reports, reports to business credit bureaus I am fine. I googled the company briefly and it is not something I'd use nor recommend.

But that decision is up to you... those days of not personally guranteeing are long gone. So certainly up to you...

Anonymous · ‎05-16-2016

YIM is spot on. And beyond the fact that you can do it yourself, True Build sets you up with accounts from companies that are their "partners." That means two things. 1) They get a cut of the action from that partner, and 2) You get accounts that may not be with vendors you even want to do business with.

silver_idle · ‎05-20-2016

@EDub357 wrote:
The company is called True Build Credit. They profess to have been in the business for 15 years and are the leaders in the industry of building business credit. I've tried to research to make sure they are credible, but that's hard. You find reviews that go both positive and negative, but you don't know what is actual true reviews, and what is fabricated.
I think I've taken a few of the right steps in establishing business credit, but I want to make sure I do things correctly.

I would avoid that company. Back when I start building my business credit for the very first time, I went with them for assistance and many parts that they tell you were just stuff you can learn on your own, as well as most of them are out dated. Even though they couldve changed their info (this was done in mid '12 when i started) i would advise just doing research on your own. It is possible to apply for credit with no PG, but many companies that offer that will go by your business previous history, and revenue. Most banks normally dont even offer large amount unless you have over $4MM in revenue, but just be wise about everything.

My new business havent been up for than a month, but I have already prep to start building its profile for the future. It takes time and as YIM said wont happen right away. Dont waste your money for blank and false promises. If you need a starting point, look into vendors that offer net30 accounts. Many do require you to prepay your first order but if you are serious, you would use the vendors (atleast 5 vendors that reports to D&B and/or Experian Business) for atleast 6 months, then start moving up the chain from there.