Building Business Credit

[Anonymous]

Hi. I have a business, and need to begin building a business credit separate from my own. I have looked into credit builder cards, but they all require a personal guarantee. I just checked my scores, and all are between 600-610  My score jumped up 20 points this weekend from paying down $500 of my total revolving debt (~$3,500) last month. Should I wait until my scores are a little higher? What are good starter cards for businesses? Can I add my business onto my existing personal accounts? Please advise. Thank you all.

[Tuscani]

You should never mix your biz and personal credit. PM me your email and I will send you info on how to establish business credit.

[Anonymous]

Thanks a lot Tuscani. How to I "pm" you?

[jlc]

Amen!!! Never mix business and personal!! That's why I'm having trouble now!

[Anonymous]

I really don't see any other way to do it. I opened a Business Bank Account, got a FEIN and a DUNS#, but everyone wants a guarantee. I could'nt even get approved a a Staples card.......so frustrating.

[Anonymous]

I'm in the same boat.  I need to start building my business credit.  Any suggestions Tuscani?

[Anonymous]

Tuscani - I just pm'd you.

[ah32]

OK, I have to chime in here.  We are all here to build up our credit scores to the next level.  I'm concerned.  Everyone always asks Tuscani for advice, but as I've read in previous posts, his scores are in the 400's.  Why should one take advice from someone when their scores are in the 400's? Even when I was having major credit issues, my scores were in the 500's.  I'm not trying to piss you off Tuscani, but what makes you an expert? Especially when it comes to business credit? Let's keep it on the message boards, so we can get other people's opinions.  Credit is like surgery, one needs to make deliberate decisions, not educated guesses.  I'm not saying you haven't given a lot of great advice, but let's keep it that... advice. 

[ah32]

As far as starting business credit, first and foremost, it starts with personal credit.  A bank can only judge how you might handle your business credit by how you handle your personal credit.  I can give only my advice when it comes to establishing business credit.  Give me specifics and I can give you advice.  What are your goals? Building business credit? Start out with applying for a business credit card.  Make sure you register with Dunn & Bradstreet.  Unfortunately, it's going to cost you around $300, but banks cannot report to D & B until you register.  Pay on time and follow the same principles as your personal credit cards and you will build business credit.  You can always ask for line increases and rate decreases, but do it before you get yourself in trouble.

[Niki9]

What is your business entity (ie. Corp or sole prop)?

How long have you been in business?

usually if you are a Corp and have been in business a year or two you do not need to guarantee the credit line.