There are few business credit building companies out there, however, those that are out there are taking advantage of the lack of knowledge from the general public regarding business credit and how to get a business loan.
DON’T LET THEM RIP YOU OFF!
I’m going to try to show how to get unlimited capital for your business…
Without risking your personal assets, lowering your personal credit score, or damaging your personal credit history
These 8 Simple Questions will ensure Your Success Building Business Credit when looking for a Small Business Loan
There are simply too many people who hire business credit building companies that are not happy with the results. Before choosing another company, if you ask these 8 questions you will be assured that you will be working with a legitimate company who can help you build business credit and more importantly get the small business loan you seek. Getting that business loan is after all what you’re looking for, isn’t it?
Why is it so important to work with knowledgeable advisor? Why can’t you do it on your own? The Fair Credit Reporting Act does not apply to the business credit bureaus; this means that if you make a mistake, skip a step, try and take a short cut, your business credit file can be “Red Flagged.” This means your company is prohibited from receiving credit and perhaps that elusive business loan.
There is a proven step-by-step process that MUST be followed if you plan on properly building your business credit and getting working capital. If you don’t follow the proven process then you can be put into the “High Risk” category. When that happens, no lending institution will give you a cash advance or small business loan and there is nothing you can do to remove it.
Make sure to choose a honest credit building company that has the knowledge, experience and proven systems to support you, before you decide whom you will work with, make sure to ask them these 8 vital questions.
Will I be obtaining only trade credit or CASH credit?
Be careful, there are a number of companies out there that will only help you obtain trade credit. Trade credit can only be used with the individual creditor, and nowhere else. This is great if you need $3000 of paper products, but is useless if you need payroll loans, inventory loans, or simply to cover business expenses or expand your company.
And if it is CASH credit, will I always need to personally guarantee the application?”
If the company says you will always have to personally guarantee all types of credit – then you are NOT receiving the full benefit of business credit. Keep in mind, the solution must introduce you to business funding services that will not require a personal guarantee, however these non traditional lenders will still be checking your personal credit and need your social security number. They do this to stay in banking compliance.
Will a trained coach show me, step by step, how to incorporate my business and build business credit with an eye to getting that merchant loan or business loan?
My guess is that if you wanted to figure out the intricacies of incorporating your business, and building corporate credit on your own… you would have already done so. (I’ve done it. And believe me… this is NOT stuff you want to muddle through on your own.)
So if you won’t be receiving step-by-step instructions supported by a trained credit coach, resulting in a predictable successful outcome, call another company. (I’ll spell out each step for securing business loans without traditional personal guarantees in crystal clear detail in a later article).
If I get stuck while I’m taking all those necessary steps, will I have to pay you hundreds or even thousands to help me figure it out?
Many companies charge low fees up front and continue to tack on heavy, additional charges each time you call or write for help.
Make sure they deliver everything you need to know to secure a bad credit business line of credit or high risk business loans, all without the traditional personal guarantee. Make sure you will have access to a dedicated coaching advisor and who places no limits on how often you can speak with them.
Will you have the ability to set up capital loans, and monitor the development of your business credit score with all major business credit agencies all within your coaching platform?
Why work with an advisor who is trying to blindly lead you!
When companies promise to get you cash credit, ask them this pointed question: “What type of paperwork is required to get cash lines of credit?
Beware of companies that say it is not required to furnish any financial statements, tax returns, business plans, bank statements, etc., to obtain a small business loan without a traditional personal guarantee. When it comes to getting approvals for cash advance without a traditional personal guarantee, you will need to show that your company is financially responsible and you do this by showing it earns revenue, pays its bills on time and has establish good business credit.
If the company tells you that you can obtain this type of financing without providing any real documents, don’t bother working with them, they are not being honest.
Think about it, is a lender really going to give you hundreds of thousand of dollars without a traditional personal guarantee without you having to show them that you are a “safe-risk?” Over time I will show you exactly what you need to do in order to become a safe risk and secure a small business loan.
How are your coaches paid?
This is a really important question! How would you like to work with someone that could care less if you obtain the business loan you desperately need? Think about it!
When it comes time to apply for a business loan, are you going to pass me off from lender to lender?
This is another very important question. Virtually every credit building company will, when it is time to apply for a business loan, pass you off to one lender to apply, and then tell you to go and apply at the next lender and so on. They literally end up sending you on a wild goose chase and just hope that one of the non traditional lenders can obtain capital loans for you. Does this sound like something a real business credit and financing expert would do?
What kind of a guarantee do you offer?”
It’s critical to get the specifics about guarantees. Because most companies that offer guarantees or promise only that your corporation will get a 80+ Paydex score. While this is a start, it’s not good enough –
If after completing your program, you should have:
Corporate Compliance and documentation review
D&B file and a D&B rating
D&B Paydex Score
Business credit file with Corporate Experian with an intelliscore
Business credit file with business Equifax with the appropriate business credit score.
Trade accounts and/or Vendor Accounts with and without a personal guarantee.
A Business Credit that can be used to leverage financing opportunities
This is not, by any means, a comprehensive list of all the questions entrepreneurs should ask when it comes to building corporate credit. But if you address these costly and dangerous errors, you will be on your way to building a safe, secure, and financially sound business-the business you always dreamed of!
Hopefully, these 8 questions will help ensure that you work with a credit building company that will be honest, upfront as well as help you successfully establish your business credit and leverage it into new small business loans and opportunities for your business.
About Sunwise Capital