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    0 Replies Latest reply on Aug 13, 2008 12:45 PM by TJMorehead

    Establish Business Credit for Your Business

    TJMorehead Adventurer

      There are several benefits to establish business credit separate and apart from your personal credit. Using your personal credit to finance or support your business will lower your personal credit scores. Even when making timely payments, your scores will still drop because of the amount of credit you have established under your social security number.

      Business credit is viewed differently than personal credit. Business credit can withstand unlimited lines of credit without lowering your business credit scores. With personal credit, this is not the case. If you use more than 35% of the line of credit, your FICO score will ultimately decrease.

      You can avoid personal liability as a business owner by strictly using business lines of credit for your business' financial needs. Using your personal credit to finance your business, you are personally liable for that debt even if your business fails or is unable to pay the debt. Unfortunately, in most cases business owners resort to filing personal bankruptcy because their business venture failed. If the lines of credit are set up as true corporate/business credit and your business fails for any reason, your business assumes the liability and can be liquidated to pay creditors, leaving your personal credit and finances unaffected.

      Your Credit Coach Company offers a full-service program giving you the freedom to run your business while we build business credit for your corporation. To learn more about our services, meet us on our weekly conference calls on Monday nights at 7:00 pm - 8:00 pm CST; Dial in-712.432.1690 access code 939758#. To learn about business credit and other services offered by Your Credit Coach Company, Inc., visit us on the web at www.yourcreditcoach.net.

       

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