So why will running a business credit check matter to you and your business, well I'm about to reveal
to you everything you need to know about why lenders and credit issuers are using business
credit checks to make all kinds of decisions about you, we're going to talk about why lenders and
credit issuers are using business credit checks to determine how much money you'll be approved
for to see how much you should pay an interest and how much you should actually get approved
for, we're going to talk about why you should run your own business credit checks and how to look
at your business credit from the perspective of lenders or credit insurers and I'm also going to show
show you exactly what you need to be focused on changing and improving with your business credit
to be able to get the most money at the best terms along the way I'm going to sprinkle on some of my
best tips to build effective business credit that makes lenders and creditors really want to give
you money and if you stick around to the end I'm going to get you access to free business
credit reports with Dun&Bradstreet Equifax and Experian we've got a lot to cover so let's dive in.
So why does running a business credit check even matter to you and your business well you should
know that lenders and credit issuers are looking at your business credit reports to make all kinds
of decisions about you, primarily they're looking at your business credit reports to
determine if you should even be approved for credit or financing or not so if you've ever
been denied for a credit card a loan or a credit line there's a good possibility that the quality
of your business credit was one of the underlying reasons of why you got denied now even if you get
proved for credit cards approved for credit lines or approved for loans lenders and credit issuers
are using business credit checks to determine how much you should actually be approved for
Experian Dun&Bradstreet and Equifax the main commercial credit reporting agencies
all have a section on your business credit reports that talks about the recommended
amount of credit you be issued, so if you're not getting approvals high as you'd like them to be
more than likely it's because of things on your business credit reports and finally
lenders and credit issuers are running business credit checks to determine what kinds of terms
you should actually be issued so if you're paying higher interest on credit cards loans and credit
lines than you like to pay it's almost directly resulted from the quality of your business credit,
so you need to be running your own business credit checks on your business to see what lenders and
credit issuers are looking for and we need to be talking about what to improve and focus on
so you can get the most money at the best terms, so one of the primary things that lenders and
credit insurers are looking at when they do a business credit check on your business is just that
the application you're submitting for credit or financing is even legitimate and true think about
it, you and I are exposed to fraud daily people are trying to extort all kinds of money from us
fraudulently imagine being a bank it's estimated that between eight and nine out of every ten
applications that a bank receives are fake they're fraudulent applications so the very first thing
that lenders and credit issuers are looking at when they're reviewing your application for credit
or financing is determine if the application they're looking at is even legitimate and real
and one of the ways they do this is they do a business credit check on your company
then they take what's on the application and they compare it to what the business credit reporting
agencies are reporting, they're looking to see if this information matches, so it's very important
that you're monitoring your business credit reports and that you're looking to make sure
things like your address of your business the name of the business your industry that you're
in all the information about your business that's on that credit report is accurate and up-to-date
because this is the first check that lenders and creditors are looking at to determine if
the applicant's fraud and if everything matches up then you successfully pass that test and
they start looking a little bit deeper in your business credit reports to determine other factors,
and one of the main factors that lenders and credit issuers are going to look for is your
ability to actually repay. Look lenders or credit issuers ask you for a lot of documentation and a
lot of information on an application but all the information they get from you is really being used
to make one decision your ability to repay them if they give you money are you going to pay them
back it's the main thing all lenders and credit issuers care about. So when they're doing business
credit checks on your business they're looking at things like DBT or what's called Days Beyond Terms
so your commercial credit reports with D&B, Equifax, Experian all have extensive information
about how you pay your bills. Do you pay your bills on time do you pay them late if so do you pay them
1 to 10 days late 30 days late 60 days late 90 days late. There's a lot of information on your business
credit reports about public records, collections, judgments, bankruptcies, there's also information
on your business credit reports including your scores each reporting agency has as many as five
credit scores on your business credit reports that are used to depict all types of things.
They take into account all kinds of information like the number of employees you have, the industry
your utilization your payment history but again these scores are designed to reflect one thing
your ability to repay the debt. So lenders or credit issuers are doing these business credits
checks to determine your likelihood of repaying them. If you have good business credit scores if
your payments are paid as agreed you don't have any DBT or days beyond terms where you're paying
payments late if you don't have a bunch of judges public records if you're managing your utilization
if you're in a low-risk industry then that goes a long way to lenders and credit issuers wanting to
give you money at the best terms, because you've proven that you actually have a high likelihood
of repayment. So when you're looking at your business credit reports make sure that your
business credit reports and scores reflect that you have a high likelihood of repaying
whatever credit or financing a lender or creditor issuer will issue that's very important to being
able to get the most money at the best terms. Another reason why running a business credit
check is so important to you and your business is that lenders and credit issuers are then looking at
those scores to determine what type of interest rates you should actually be issued. Look coming
from the mortgage industry I can tell you that the interest rate you pay on a mortgage is 100%
directly linked to your credit score if you have a 720 credit score you're going to get a different rate
than if you had a 700 score it's the same thing in the business world the interest rates that you're
paying on credit and financing are determined based on the quality of your business credit
scores the higher and better your business credit scores are the lower risk you are and the better
interest rates you're going to get. Okay often say that you shouldn't be concerned about interest
because if you are concerned about interest then you should change the factors that are making
you high risk, because the interest rates you get on credit cards loans and credit lines directly
reflects your risk. So if you ever want to get better rates then you need to make sure that you
lower your risk and one of the best ways to do this when it comes to business credit checks is
focus on those credit scores the higher the credit scores the lower the risk the better rates you're
going to get on credit financing. So if you're not getting the rates you want to get then you've got
to get those business credit reports you've got to look at them with D&B, Equifax, Experian see where
your scores are and focus on doing the things that are needed to get those scores up some of
those things include making sure you get multiple accounts that are reporting to the business credit
reporting agencies. Make sure that you pay those accounts on time or early making sure that you
manage your utilization and keep your balances low in relation to your actual credit limits.
Make sure you know the industry that you're in and that your credit reports reflect that
you're in the right industry and preferably don't choose a high-risk industry sometimes you could be
seeing in one two three industries make sure you always choose the lowest risk industry because
higher risk industries will adversely affect your score. So those are some of the things you could do
but the most important thing that you could do is to make sure that you have payments that report to
those business credit reporting agencies pay those on time or early that's the best thing that you
could do to get the lowest score which is help you get the lowest rates on financing and credit. And
yet another reason that running business credit checks really matters is that lenders and credit
issuers are doing this to determine how much money you should actually be lent. So one of the
top boxes at the top of a business credit report with D&B, Equifax, Experian includes a few things
it includes a couple scores one that reflects how you've paid your bills on the past the other
reflects your financial stability or likelihood to still stay in business and continue operations
well over 12 months from today. But another things in that box is your credit limit recommendation
D&B, Equifax, Experian recommends two lenders or credit insurers how much money you should
actually be issued in credit. And there's a reason this is one of the top boxes of the credit report
because it's one of the most important things that lenders and credit issuers look at they're looking
at what the recommendation is from the credit bureaus to determine how high of a credit limit
you should actually be given. So do you want to get high credit limits let me give you a hack to do it.
What we found in helping nearly 50,000 people build business credit is that the amount of
trade lines payment expenses basically accounts that report to the business credit
reporting agencies that you have, the higher the recommendation of credit is so there's really
two things you should focus on to get a high recommended amount of credit. First of all you
want to make sure that you're adding as many accounts to the business credit reports as you
possibly can. You want to continue to get approved for all kinds of vendors that report to the business
credit reporting agencies, somebody that has five accounts on their business credit boards versus 15
will not be recommended for nearly as much credit as a person that has 15. So you want to make sure
that you add as many accounts as possible to your business credit reports that reflect that you're
paying as agreed the second thing you want to do you want to use that credit the credit reports
are offered by the credit reporting agencies don't actually have your credit limits. They
have the recent amount of credit you've used very different than consumer credit reports. Consumer
credit reports have the limit for the credit cards you have commercial credit reports have the
amount that you've recently used and it's important for a reason credit issuers want to see that
not only do you have a lot of accounts in your business credit reports but you're actually using
that credit. So if you have a lot of accounts in your business credit reports and those accounts
are active credit issuers and lenders are seeing that you're using all of that credit you're given
that is the formula to get you high approvals on future accounts and a higher recommendation
of credit. I often stand on stages and show that people that have one or two accounts are only
being recommended for one two three four thousand dollars in credit, but when you get up to
people of that 10 15 20 accounts on their business credit reports you could see a half a million dollars
in recommended credit or higher. But you've got to make sure that you follow those two things
you've got to make sure you're adding accounts to the business credit reporting agencies and paying
those as agreed obviously and then you also need to make sure you're using those on a regular basis
that's going to help you get the highest approvals on credit cards loans and credit lines. So there
you have it now you know why running a business credit check matters so much to your business,
and if you want to get approved for credit financing if you want to get approved for the best
terms if you want to get approve of the highest approval amounts then you've got to make sure
that you're monitoring your business credit and controlling the things that we talked about in
this training to be able to get the most money at the best terms for your business. So to learn more
about building your business credit grab our free guide at creditsuite.com/ein that's
creditsuite.com/ein that gives you a step-by-step formula to build your business credit and continue
to add more positive accounts to your business credit reports if you want your business credit
reports for free. Then get in touch with us for a free consultation on our free consultation we will
actually do a fundability assessment to figure out the things you need to change to become more
lendable to become more fundable. You also will get a business credit report with Dun & Bradstreet,
Equifax, Experian for free will help you get set up and get your credit reports at no cost
we'll give you tips and tactics to improve those business credit reports and we'll do a funding
assessment to talk to you about all the loans and credit lines you can qualify for right now.
There's 3 ways to get that consultation first you can give us a call at 877-600-2487 that's 877-600-2487
you can also email us info@creditsuite.com or you can schedule your
consultation online at creditsuite.com/consult that's creditsuite.com/consult.
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eye out for future training where we talk about more cool ways you can get money to start and
grow your business.