Page 8 - Everything You Need To Know About Personal and Business Credit by Adrean Yancy

Everything You Need To Know About Personal & Business Credit

Both Personal and Business Credit and Loan History: How old is your business and
personal account? How many times have you applied for a loan in the past? What is the
loan worth? And how did you go about the repayment? If you have an excellent track
record here, it can attract lenders to your business.

Capacity: Basically, it involves evaluating your business capacity. It tells banks,
vendors, and lenders what your business capacity is. It helps them determine whether
your business will be able to repay a loan or business line of credit or not.

Fun Hack: One way to have a strong credit capacity is to show a positive capital ow, a
good bank rating, and reasonable investment history.

Challenges That Come With Obtaining A Credit

Card Score

Like every aspect of business, obtaining a credit score can be daunting and tasking
because of the following reasons.

It can take you and your business nothing less than a year or more to get a good and
improved business/personal credit score rating. This is because credit scores are often
given and graded by external agencies, and it often requires some amount of positive
e ort to in uence.

Also, keeping a record of your business credit report from your end is equally
important, which can be an arduous task.

# 5