Page 154 - Winning The Credit Game Bundle (CK Patrick)

the purchases you make using these lines of credit. I recommend
starting with net 30 accounts to grow your business credit with
the best mix of speed and reliability to ensure that your scores
are reported to credit bureaus every month while minimizing the
chances that you will forget to pay on a payment time.
These lines of credit may seem unimpressive at first glance.
Obtaining a line of credit to buy shipping supplies, coffee cups,
or car parts may feel less glamorous than obtaining a five- or six-
figure bank loan. But that’s exactly the point: these lines of credit
are easy for anyone with a legal business entity to apply for, and
they serve as the proving ground for later more challenging
approvals.
Loans also, of course, help you to build your business. When
you’re first learning your business model and discovering what
will be most profitable for you, you don’t necessarily want to be
making big money moves at that point. You are more likely to
get the best possible return on your investment if you do your
major spending after you have determined how to optimize your
profit through trial and error in the early months or years of
your business.
For their part, banks and other potential creditors are likely
to reject someone with a brand-new business and no credit
history who asks for tens of thousands of dollars, but they’ll sit
up and pay attention if a business owner who already has a
history of paying off thousands of dollars per month in trade
credit for six months or more offers to pay them back tens of
thousands of dollars with interest.
When you have an excellent business credit score, banks will
have high confidence that you will pay them back, and they may
even compete with each other by offering you lower interest
rates than the competition.
How do you even find vendors or suppliers offering store
credit?

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