Thanks for another poster, I became aware of the Experian Business Credit Report. Paid the fee, bought the report, now sitting here in shock.
I don't know how/where the state came up with the figures/data, but whatever. I will leave it alone.
Questions - suggestions for improving my business credit score? I have read what Experian says.
Experian says:
|
The objective of the Experian Business Credit Score is to predict payment behavior. High Risk means that there is a significant probability of delinquent payment. Low Risk means that there is a good probability of on-time payment.
Key Score Factors:
| • | Company's business type. |
| • | Number of employees. |
Business Credit Scores range from a low of 1 to high of 100 with this company receiving a score of 50. Higher scores indicate lower risk. This score predicts the likelihood of serious credit delinquencies within the next 12 months. This score uses tradeline and collections information, public filings as well as other variables to predict future risk.
| Experian Financial Stability Risk Rating |
|
A Financial Stability Risk Rating of 4 indicates a 10% potential risk of severe financial distress within the next 12 months.
Key Rating Factors:
| • | Lack of active trades. |
| • | Risk associated with the business type. |
| • | Employee size of business. |
Financial Stability Risk Ratings range from a low of 1 to high of 5 with this company receiving a rating of 4. Lower ratings indicate lower risk. Experian categorizes all businesses to fit within one of the five risk segments. This rating predicts the likelihood of payment default and/or bankruptcy within the next 12 months. This rating uses tradeline and collections information, public filings as well as other variables to predict future risk.
| Credit Summary |
| This location does not yet have an estimated Days Beyond Terms (DBT), or a Payment Trend Indicator. This is often the result of too few Payment Tradelines. |
| Payment Tradelines/Commerical Accounts: | 0 |
| UCC Filings: | 0 |
 Businesses Scoring Worse: | 49% |
 Bankruptcies: | 0 |
| Liens: | 0 |
| Judgments Filed: | 0 |
| Collections: | 0 |
I am not changing the type of business. (Agriculture/Food Market).
I can't/won't hire more employees. I use independent contractors for financial reasons. (They come, they work, they get paid, they go. Less stress.) Report says 4 employees. Ok - technically, I think they are independent contractors or family helping out. They don't get a regular paycheck.
The business has an Amex Business Cash card. Always paid in full each month. Reporting balance is always less than 10% of the available credit. Applied for & received in 2021.
Has two business checking accounts that have always had a positive cash flow. Never negative. Covid did hit the revenue hard, really hard, BUT I stayed afloat with no baddies. Bank turned me down for a business credit card in 2021. During recon, the agent said it was becuase I was in business less than two years. I asked them to check again, but I had been in business for more than two years. Nothing came from this, so I went Amex.
Had a SBA EIDL in 2020 - paid that off in full in 2020. That is not reporting.
Was approved for a commerical loan through my bank for 50k this year (2021), to help with cash flow predicted struggles. Was purchasing a building & struggling to pay cash for it. They wanted to put a lien on BOTH home & business (to include all equipment & supplies), so in the end, said no. (My home has a market value of $400k plus with no liens, no debt. At the time, my personal credit scores were 830-850, no debt, no baddies.) Credit report says business revenue is at $771,000 with no debt/no late payments/no baddies. My personal net worth is more than that.
I am receiving offers for business lines of credit & pre-selected loan offers (like from Sofi). I have not accepted any. I research each & they seem to have negative reviews or negative affects on credit (like Sofi being a CFA.)
So....any suggestions on improving my Business Experian Credit Report? Any easy to get credit cards that report to Business Experian?
Thank you!
So Ill bust in. Both my Amex Plat and Amex Delta report to Experian Biz. My Chase Ink also reports. Neither report to personal. If I remember correctly, my Experian Biz is an F because of an old tax lien that keeps popping up. Its a mistake, but I havent found a way to get it off of my biz reports. I have access to my Experian biz report through a finance rep. The old tax lien isnt on there. So I do know that somethings are visible to the business and somethings are visible to the business who orders the report. So, if you can find a business that will pull the report, you might be able to figure out what in the world is going on.
Good luck.
Make sure you go into your profile and have them correct any 'missing' info which can lead to a 'thin info' ding.
Simple things like 'who is in charge,' 'phone numbers,' 'addresses,' 'website,' 'registered agent,' both 'SIC' and 'NAICS' codes, 'business type,' AND 'date of establishment.' Stuff like that can add to the 'yes, this is a real business' quotient.
Make sure all the information boxes are filled all the way out. It can take 30-60 days for the fuller, corrected profile to populate.
