topic Re: So what now? in Business Credit

So what now?

JustinA — Sat, 17 Jul 2021 15:49:29 GMT

Hello, it's been awhile. So June 15th I started my LLC. I had to take the leap. I have 2 key accounts waiting for me to get settled which is awesome.

*Insert typical small business issues* severely under capitalized.

I opened my DNB account and have the following active net30 trade lines.

Quill (2000)

Ohana (1000)

Summa (1000)

Newegg (no purchase yet) (2500)

Strategic Network Solutions. (2500)

Revolving

Capital One Spark (500)

Wex flex (5000)

NAV Business Boost for a quarter atleast.

Installment for equipment

Centra Funding (11,500 equipment)

Quickspark (4,160 pending delivery of equipment).

I think I have my tier 1 covered for now and I'm pretty much topped out on credit card availability. And feel like I'll have decent reporting within 3 months or so.

What do you all suggest I do now to improve my position?

Once the purchase orders are sent I am considering financing based on maybe 50% of those amounts as a way to quickly gain capital.

I have 2100 in my business account now. I'm listed with 411.

My personal scores are approx

EQ 651

EX 637

TU 677

I have heavy utilization primarily due to home renovation. And slowly inquiries are falling off.

Open to criticism amd suggestions.

Thank you

Justin

Re: So what now?

JustinA — Sat, 17 Jul 2021 15:56:30 GMT

Also for what its worth...

I have the majority of my equipment purchased and use Fresh books for my accounting.

I have a Laser Engraver to operate out of my garage for very temporary and my bread and butter is commercial account powdercoating. The Quickspark deal is for a larger oven to bake parts.

Re: So what now?

JustinA — Sat, 17 Jul 2021 16:05:46 GMT

And....one more thing.

I took my shot (shouldn't have) with capital tap and AMEX Blue. That didn't happen so im timid about trying for anymore revolving lines.

I feel like I need to hit that 6 month mark of profitability and time in business to allow for good usage and reporting of early net30 payoffs. As well has minor balances on Wex and Capital One.

Re: So what now?

ScorpioRising — Wed, 21 Jul 2021 23:39:37 GMT

@JustinA wrote:
And....one more thing.

I took my shot (shouldn't have) with capital tap and AMEX Blue. That didn't happen so im timid about trying for anymore revolving lines.

I feel like I need to hit that 6 month mark of profitability and time in business to allow for good usage and reporting of early net30 payoffs. As well has minor balances on Wex and Capital One.

@JustinA
This is a very good idea. Your heavy utilization (%?) is most likely affecting your scores. Like you mentioned, letting some inquiries (#?) fall off will also help bring your scores up and make your credit report cleaner.

Just so you know, Summa and Strategic Solutions never reported..EVER! You may be the lucky one, though. Quill, Grainger, Staples reported to D&B and Nav reported to all 3 Business Bureaus. I did the monthly ($39.99) for only 4 mths.

Re: So what now?

BlueMystic — Fri, 30 Jul 2021 17:40:25 GMT

@JustinA wrote:
Newegg (no purchase yet) (2500)

Do you happen to know what bureaus they report to? We have the Newegg Business account (the regular Net 30, not the now-discontinued Net 55 account) and I'm trying to figure out where they report, but my searches have borne no fruit.

Re: So what now?

MudkipsRKooL — Tue, 03 Aug 2021 05:47:37 GMT

That's amazing what's your score? have it posted to nav website yet? Also do you have a d&b score yet? I'm still at 3 net 30 and 0 cc reporting. I've yet to app for Spark because they pull personal too right?

Re: So what now?

JustinA — Wed, 04 Aug 2021 21:03:24 GMT

Sorry for the delay. I just paid my net30 accounts at day 19. I dont have a D&B score yet. I'm hoping I'm not let down...im also waiting for NAV to report as I paid quarterly.

I guess time will tell on ohana, Summa, and STS. I mean that's pretty much the only value they have to a startup.

I didn't go with quickspark as fixed interest is bulls!t and I ended up finding an adequate piece that was only 400 dollars rather than 7500.

I'm going to chill on the net30s until I see some reporting. I also paid my cap 1 down to 40 dollars.

Re: So what now?

JustinA — Wed, 04 Aug 2021 21:06:09 GMT

Behalf...the finance deal that newegg business uses has a net90. But I still couldn't justify it.

Just a thought...and it may not be advised. But affirm is an option for equipment if you want longer terms. You'll pay 29% for it...but hey...its working capital with no fixed interest.

Re: So what now?

JustinA — Thu, 05 Aug 2021 04:01:34 GMT

Logged into NAV. I have 1 account reporting on equifax. Still high risk...but were getting there.

They haven't found my business with experian yet...and my D&B paydex hasn't reported yet. Hopefully soon as all my net30s are paid as of today.

Re: So what now?

ScorpioRising — Thu, 05 Aug 2021 04:43:48 GMT

@JustinA wrote:
Logged into NAV. I have 1 account reporting on equifax. Still high risk...but were getting there.

They haven't found my business with experian yet...and my D&B paydex hasn't reported yet. Hopefully soon as all my net30s are paid as of today.

Good for you! Thanks for the update!

Looking forward to more and positive updates regarding your business credit build.

Here's to cheering you on!

Re: So what now?

JustinA — Fri, 06 Aug 2021 03:53:46 GMT

So a nice stroke of luck.

I ended up not using quickspark to finance an oven costing me in total about 7500 including fixed interest charges.

I found a bread proofer cabinet for 450 delivered to my door. 100 dollars in controls and solenoids...142 for a propane forced air heater. I ended up getting more than I needed and paid cash around 650 total. Pretty happy about that accomplishment as adding another monthly bill was giving me some anxiety.

So the lesson here...wait for your deal. Make solutions. Save money. In this case about 7 thousand dollars.

Re: So what now?

JustinA — Fri, 06 Aug 2021 03:56:25 GMT

Oh!

My second favorite part of the day? My parents remodeled their kitchen. So im getting a pair of floor cabinets for free (saves 400) poaching a box fan from the closet. And building My own spray/powder booth with ventilation.

All in all...it was a good birthday.

Re: So what now?

ScorpioRising — Fri, 06 Aug 2021 04:20:14 GMT

@JustinA wrote:
So a nice stroke of luck.

I ended up not using quickspark to finance an oven costing me in total about 7500 including fixed interest charges.

I found a bread proofer cabinet for 450 delivered to my door. 100 dollars in controls and solenoids...142 for a propane forced air heater. I ended up getting more than I needed and paid cash around 650 total. Pretty happy about that accomplishment as adding another monthly bill was giving me some anxiety.

So the lesson here...wait for your deal. Make solutions. Save money. In this case about 7 thousand dollars.

I'm happy and excited for you. Such great news. You were able to save $7,000? That is amazing!

Re: So what now?

ScorpioRising — Fri, 06 Aug 2021 04:23:59 GMT

@JustinA wrote:
Oh!
My second favorite part of the day? My parents remodeled their kitchen. So im getting a pair of floor cabinets for free (saves 400) poaching a box fan from the closet. And building My own spray/powder booth with ventilation.

All in all...it was a good birthday.

Happy birthday, Justin. Blessings keep coming your way. May they continue to come and may the blessings be many! 👏

Re: So what now?

JustinA — Sat, 14 Aug 2021 12:25:24 GMT

NAV and my first Net30 are reporting. I'm waiting for spark, and 2 other Net30 accounts. Still no paydex...but experian and equifax are scoring.