Page 147 - Winning The Credit Game Bundle (CK Patrick)

you have paying off creditors and the higher your business
credit score when you apply, the more likely you will qualify for
loans with great interest rates that you can use to grow.
The FICO SBSS is one of the most widely used business credit
scores, so it’s a good one to start paying attention to first.
However, other organizations also offer business credit reporting
and these may also be useful for business owners to be aware of.

HOW TO FIX BUSINESS CREDIT

If your business already has some negative marks on its credit
history, you can begin repairing those and establishing a positive
credit history today. Some strategies for doing so are obvious,
such as paying all your bills on time and in full to establish an
excellent payment history. Other strategies, however, might not
be so obvious. I want to share a few tips here.
Steps you can take today to improve your business credit
score include:

1. Making payments in full and on time. This is the
easiest way to avoid accumulating negative marks in
the first place.
2. Reduce your debt on revolving credit accounts.
“Revolving credit” refers to accounts where your
charges and balance can change monthly. This
typically means credit cards or other lines of credit
where you can charge various amounts and pay
various amounts each month.
3. Owing a lot in credit card debt or other revolving lines
of credit can lower your business credit score. So, one
quick way to raise it is to begin paying those debts off
as quickly as possible, even if you are not technically
required to do so according to the terms of the credit
line. Remember, our goal here is to please the credit
reporting agencies—not just the credit card company.

135