Business credit continues to be an issue. We hear that the unemployment number is still high -- 10%. More of us are starting businesses rather than wait to get hired. How do you start? Do you need financing to be able to start? Latest reports say that the credit markets and bank lending are still tight... it's hard to get a loan (unless you are already rich or perfect).
We'll spend the next few posts going over business -- startup, planning, marketing, financing and a lot more.
For now, check out these resources:
Business Credit Success Strategies
TOP 5 REASONS TO ESTABLISH BUSINESS CREDIT
1. Establish creditability. You cant expect to walk into a bank and ask for a business loan with no business credit or business history. By establishing a good business credit profile you will be able to secure the financing your business needs.
2. Protect your personal assets. If you use personal credit to finance your business, you are personally liable and legally responsible for your business finances.
3. Saving money. Thats right, business credit rates are typically lower than personal credit rates. A few percentage points in interest mean thousands of dollars in the long run.
4. Float your business through tough times. Even though everything make be going great currently, you never know when your company will take a turn for the worse or when economic times might change. By establishing business credit you will be prepared for the down time.
5. Get the money you need. Lets face it, without the money you need to finance the launch or expansion of your business you really wont be in business at all. Dont make the mistake of using your personal finances to finance you business.
And a very nice summary from the New York Fed on
Business Credit
More to come ...
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