topic Re: I Got All The Cards, Sitting In My Drawer in Business Credit

I Got All The Cards, Sitting In My Drawer

Falcon1871 — Sat, 02 Jul 2022 21:30:51 GMT

I don't know the total credit limits I have for my business, but it is more than $100k.

They are sitting and waiting...

How do you guys utilize your business credit cards? I buy office supplies, gas, etc. but that's all.

How can I use to the full to take advantage of all the cards?

Re: I Got All The Cards, Sitting In My Drawer

SouthJamaica — Sun, 03 Jul 2022 02:14:53 GMT

@Falcon1871 wrote:
I don't know the total credit limits I have for my business, but it is more than $100k.
They are sitting and waiting...

How do you guys utilize your business credit cards? I buy office supplies, gas, etc. but that's all.

How can I use to the full to take advantage of all the cards?

It depends on what your business is. Basically I take whatever business expenses I have that can be paid by credit card (and don't impose a fee for credit card payments), and pay them by credit card. And I pay each card in full every month, usually shortly after the statement cuts. That's all I can do. And like you I'm nowhere near fully utilizing the limits.

Re: I Got All The Cards, Sitting In My Drawer

babygirl1256 — Sun, 03 Jul 2022 04:16:12 GMT

I pay all business related expenses (including business meals) with my cards but I only have two tradelines so far . . . Amex Business Platinum and Chase Business Ink. I am looking to expand my business credit but don't want too many personal inquiries. Just don't let them sit too long without any usage or the merchant could exercise their right and close the account. Wishing you success with your business.

Re: I Got All The Cards, Sitting In My Drawer

ToughFistFight — Sun, 03 Jul 2022 18:09:50 GMT

Depends on your business. I have fuel expenses, this is a biggie right now, maintenance on work vehicles, educational expenses related to business. Flights, hotels, meals. All go on my business cards.

Then you figure out what card has the best rewards for your individual spend habits.

Re: I Got All The Cards, Sitting In My Drawer

URHomeInvestments — Mon, 04 Jul 2022 15:07:53 GMT

I buy houses (with commercial mortgages) and furnish them with my business cards, and list them on AirBnb and VRBO. I need high limits, but only for a short period of time, and for specific stores.

I end up using Sam's Club quite a bit, since it is close to me and has consumables. Office supplies, occasional meals, beds, furniture, and so forth. I use rents to pay off the cards and save up a down payment (or refinance) and go do it again.

I have only known about business credit since joining this site, just a few years ago, even though we'd been using an LLC for 20 years. Before that, I was getting my personal accounts charged up high and it became a challenge to get the next mortgage.

Re: I Got All The Cards, Sitting In My Drawer

ToughFistFight — Mon, 04 Jul 2022 19:57:34 GMT

@URHomeInvestment, can I ask you a question? How do you puchase a home with commercial financing? I would like to purchase a small home close to my warehouse, I was unaware this could be done. I was under the misconception that I had to purchase it under my personal credit.

Is there a minimum?

Re: I Got All The Cards, Sitting In My Drawer

URHomeInvestments — Thu, 07 Jul 2022 19:08:00 GMT

@ToughFistFight

There are a few kinds of commercial mortgages, such as those used for apartment buildings (based upon cap rate). The product I used was a DSCR mortgage, debt service coverage ratio. They use the income from the properties to qualify our LLC for the mortgage. We did have to PG, and they did pull credit. We submitted our EIN, Operating Agreement and founding documents. However, we did not submit our bank statements or tax returns. I got this done with a broker who searched through various lenders to get one that worked for us, and I'd be glad to share his contact information.

Re: I Got All The Cards, Sitting In My Drawer

ToughFistFight — Fri, 08 Jul 2022 02:39:20 GMT

Thanks so much, I would appreciate that info very much. My husband and I flip houses, we usually use a hard money lender and they have given us a contact for rentals, but I think it worked a little differently.

Thank you again!

Re: I Got All The Cards, Sitting In My Drawer

URHomeInvestments — Sat, 09 Jul 2022 21:18:54 GMT

https://kmoorebroker.com/single-quote/

Re: I Got All The Cards, Sitting In My Drawer

Thermionic_E — Sat, 09 Jul 2022 22:37:35 GMT

Why after the statement cuts instead of before it? Doesn't the utilization affect your business score?

Re: I Got All The Cards, Sitting In My Drawer

SouthJamaica — Sun, 10 Jul 2022 03:26:02 GMT

@Thermionic_E wrote:
Why after the statement cuts instead of before it? Doesn't the utilization affect your business score?

Not that I know of. But I'm no expert on business scores.

Re: I Got All The Cards, Sitting In My Drawer

CreditWithColin — Wed, 13 Jul 2022 13:54:37 GMT

Automated ecommerce stores, these stores utilize credit lines to purchase the inventory and then resell it at an average of 20% to 30% profit margins, pay down the credit lines and repeat.

Re: I Got All The Cards, Sitting In My Drawer

Thermionic_E — Wed, 27 Jul 2022 20:03:34 GMT

I wish I could purchase a small house and large warehouse on some land instead of paying 6000 a month for various storage and warehouse locations that make logistics a joke

Re: I Got All The Cards, Sitting In My Drawer

Thermionic_E — Wed, 27 Jul 2022 20:05:15 GMT

So that doesn't drop their scores enough to matter then... I see

Re: I Got All The Cards, Sitting In My Drawer

SouthJamaica — Wed, 27 Jul 2022 20:54:33 GMT

@Thermionic_E wrote:
So that doesn't drop their scores enough to matter then... I see

I doubt it drops the scores at all

its my understanding that utilization is not a thing in business scores

Re: I Got All The Cards, Sitting In My Drawer

Janneman — Thu, 28 Jul 2022 12:53:35 GMT

@URHomeInvestments wrote:
I buy houses (with commercial mortgages) and furnish them with my business cards, and list them on AirBnb and VRBO. I need high limits, but only for a short period of time, and for specific stores.
I end up using Sam's Club quite a bit, since it is close to me and has consumables. Office supplies, occasional meals, beds, furniture, and so forth. I use rents to pay off the cards and save up a down payment (or refinance) and go do it again.

I have only known about business credit since joining this site, just a few years ago, even though we'd been using an LLC for 20 years. Before that, I was getting my personal accounts charged up high and it became a challenge to get the next mortgage.

Can you plz explain this to understand it much better?

Re: I Got All The Cards, Sitting In My Drawer

ToughFistFight — Fri, 29 Jul 2022 20:41:14 GMT

Its fairly self explanatory. What is your specific question?

@Janneman wrote:
@URHomeInvestments wrote:
I buy houses (with commercial mortgages) and furnish them with my business cards, and list them on AirBnb and VRBO. I need high limits, but only for a short period of time, and for specific stores.
I end up using Sam's Club quite a bit, since it is close to me and has consumables. Office supplies, occasional meals, beds, furniture, and so forth. I use rents to pay off the cards and save up a down payment (or refinance) and go do it again.

I have only known about business credit since joining this site, just a few years ago, even though we'd been using an LLC for 20 years. Before that, I was getting my personal accounts charged up high and it became a challenge to get the next mortgage.
Can you plz explain this to understand it much better?

Re: I Got All The Cards, Sitting In My Drawer

Janneman — Sun, 31 Jul 2022 14:27:45 GMT

@ToughFistFight wrote:
Its fairly self explanatory. What is your specific question?
@Janneman wrote:
@URHomeInvestments wrote:
I buy houses (with commercial mortgages) and furnish them with my business cards, and list them on AirBnb and VRBO. I need high limits, but only for a short period of time, and for specific stores.
I end up using Sam's Club quite a bit, since it is close to me and has consumables. Office supplies, occasional meals, beds, furniture, and so forth. I use rents to pay off the cards and save up a down payment (or refinance) and go do it again.

I have only known about business credit since joining this site, just a few years ago, even though we'd been using an LLC for 20 years. Before that, I was getting my personal accounts charged up high and it became a challenge to get the next mortgage.
Can you plz explain this to understand it much better?

It might be self explanatory but still couldnt clearly be understood... If possible, would appreciate if you could explain it a much better...tnx

Re: I Got All The Cards, Sitting In My Drawer

SouthJamaica — Sun, 31 Jul 2022 15:28:19 GMT

@Janneman wrote:
@ToughFistFight wrote:
Its fairly self explanatory. What is your specific question?
@Janneman wrote:
@URHomeInvestments wrote:
I buy houses (with commercial mortgages) and furnish them with my business cards, and list them on AirBnb and VRBO. I need high limits, but only for a short period of time, and for specific stores.
I end up using Sam's Club quite a bit, since it is close to me and has consumables. Office supplies, occasional meals, beds, furniture, and so forth. I use rents to pay off the cards and save up a down payment (or refinance) and go do it again.

I have only known about business credit since joining this site, just a few years ago, even though we'd been using an LLC for 20 years. Before that, I was getting my personal accounts charged up high and it became a challenge to get the next mortgage.
Can you plz explain this to understand it much better?

It might be self explanatory but still couldnt clearly be understood... If possible, would appreciate if you could explain it a much better...tnx

The business buys houses, rents them out, and uses business credit cards to furnish the houses, repaying the credit cards with the money that comes in from the rent.

Re: I Got All The Cards, Sitting In My Drawer

URHomeInvestments — Mon, 01 Aug 2022 19:44:21 GMT

That's exactly right: I buy houses using my entity, which is an LLC. At this point, I have down payment money from selling a previous house, or from refinancing a house.

I take that down payment and get new a new mortgage on a new rental property.

I have been using the business credit cards to buy furniture and consumables. The income from AirBnb or VRBO pays off the credit cards.