Category - Credit Repair For Businesses

Keeping Your Business’s Credit on Track May be More Difficult Than You Think

There are many people who have a dream to own a business and assume that it won’t be overly difficult to do. They think that they can get a business loan to start it and have plenty of money to cover the business expenses until they start making a profit. This isn’t always the case, though. There are many businesses that don’t start making a profit for months or even years and the businesses end up going deeper and deeper into debt which can ruin the business’ credit. The guide that follows walks you through a few things you need to know if you need to repair the credit for your business so that you can get higher credit lines to ensure your business can grow and thrive.

Check Your Dun & Bradstreet Report

As a business owner, It’s important to create a report with Dun & Bradstreet. They are a reporting agency for businesses that track their credit to show future lenders, vendors and creditors that a business is trustworthy and pays their bills on time. If you have missed payments in the past with anyone, they may have already reported you to Dun & Bradstreet, which would have created a negative report that everyone you work with in the future can see. You need to check for a report and then take steps to better it, if there are negative marks.

The Dun & Bradstreet report is comprised of data that includes how well your business is able to repay debt within two years, a predictive calculation indicating the likelihood of your business to repay current debts within the next 12 months and the likelihood of your business falling apart within the next year. You obviously want the first two scores to be as high as possible and the ladder to be as low as possible.

Lear more about Dun & Bradstreet.

Check Your Equifax for Businesses Score

Equifax is a credit reporting agency that tracks personal data for individuals and data for businesses. They are able to let potential creditors, lenders and vendors know if you have had blemishes in the past, how many loans you currently have out and if you are maxing out your credit limitations currently. All of these issues can be red flags for companies that may want to work with you in the future.

If you notice that there are issues on the Equifax report, you can contact them directly to dispute them. You need to be able to prove the facts rather than just use your word of mouth. Once the facts are proven, the report can be changed to indicate the changes and your score should rise.

Learn more about Equaifax.

Use Experian for Businesses to Boost Your Business Income

Experian is a credit reporting agency that provides you with unique services that can make improving your business overall easier. Not only can you take the time to track and manage your business’ credit, but you can also become aligned with businesses in your area that provide goods or services that you need for your business to thrive. Agents can help you to minimize the credit risks your business takes to ensure you don’t ruin the credit.

Learn more about Experian.

Boosting your business credit score after it has already dropped can be hard to do. Monitoring the score regularly, paying off debts as quickly as you can and minimizing your credit risk ensures your business has the best chances of succeeding. Below are resources you can use to learn more about your business’ credit:

https://www.occ.treas.gov/publications/publications-by-type/comptrollers-handbook/rating-credit-risk/pub-ch-rating-credit-risk.pdf

https://www.sba.gov/blogs/five-factors-impact-your-business-credit

https://www.usa.gov/funding-options