Net 30 Accounts and Building Business Credit

Building business credit is crucial to establishing your business identity and growing your business. Just like you have a personal credit score, your business also has a credit score. Business credit is a track record of a business’s financial responsibility that companies, investors, or financial organizations use to determine whether or not that business is a good candidate to lend money to or do business with. Banks, lenders and suppliers rely on business credit reports to assess the creditworthiness of a company. As a business owner it is imperative to have a foundational understanding of why and how building business credit is important to growing your business. Net-30 tradelines of credit is one way to help your company in the following ways:

1. Strong business credit can help you grow your business. Many banks, investors, and companies rely on your business creditworthiness when setting loan terms, determining insurance premiums, increasing lines of credit, or considering you as a viable partner.

2. Establish your company with business vendors and credit reporting agencies

3. Increase your chances of being approved for funding with business loans.

4. Build the capital for your company.

5. Having access to business credit is the lifeline for a business. It enables you to obtain the capital you need to expand, cover day to day expenses, purchase inventory, hire additional staff and allows you to conserve the cash on hand to cover your cost of doing business.

*THIS IS NOT A COURSE*