Don’t Make These Mistakes Businesses Make When Trying to Get Corporate Business Credit

Getting hold of corporate business credit is the fastest strategy to building and expanding practically any business. No matter whether it is real estate, a shiny new franchise, a restaurant, a home business or a network marketing business, it does not matter. Your business must have capital.

In reality, with this crazy slow-moving economy, finding corporate business credit is more essential than ever. For plenty of companies, obtaining corporate credit often is the difference between owning a happy prospering business or folding up shop and winding up just another failed business statistic.

Sadly, the majority of entrepreneurs make all the wrong moves and bad mistakes when trying to secure corporate business credit. The following are the top three deadliest errors most entrepreneurs make.

WARNING: Make these 3 mistakes and your hopes for getting corporate business credit will most likely never come about.

Corporate Business Credit Deadly Mistake #1: (This can be a major one).

Not isolating your personal credit from your business credit: Wow, I really cannot believe just how many business owners make this mistake. Don’t under any circumstances “personally guarantee” your “business credit”. I do not care what the bank tells you (it is in their best interest to have you on the hook individually for any credit line in case of default) under no circumstances, ever personally guarantee any kind of company credit.

If you have to personally guarantee it then it’s not really “business credit” is it? Let’s face it. 89.7% of new business start-ups collapse in their first 6 months. The overall idea of having corporate business credit is so if your company fails you’re not personally responsible for any kind of credit which was given to the business.
You do not want the bank attaching a lien on you personally and then losing the house, your vehicles plus the shirt off your back simply because your company is unsuccessful.

Corporate Business Credit Deadly Mistake #2: (This one is almost as bad as the first).

Trying to acquire corporate business credit on your own rather than hiring a professional: I’ve watched business people make this nutty error time and time again. It often occurs right after you attend some fraudulent corporate credit “guru” workshop where some fast talking “salesman” (who is pretending to be a corporate credit professional) goes up on stage and persuades you into purchasing his “super secret”, quick credit course for thousands of dollars.

You jump into the home study program and then run out attempting to carry out the strategies in the course and develop corporate business credit all by yourself. Incidentally, if you’ve fallen for that nonsense and tried developing credit by yourself, how is that working out for you?

You really don’t have to tell me simply because in my early days I made that exact same error myself and got absolutely nowhere as you probably did. In fact, you might have even made your odds much worse for ever acquiring business credit in the foreseeable future. Yes if you do the improper things it is possible to actually harm your credit files so badly it’ll take many years for even a specialist to get you corporate credit. Don’t make that mistake. Hire a professional right from the beginning and you won’t have that issue.

Corporate Business Credit Deadly Mistake #3: Drive too quickly and you’ll wind up in a ditch.

The third nail in your corporate business credit coffin is trying to build your corporate credit too quickly. Just like when you’re dating that hot new girlfriend, if you attempt to move too quickly you aren’t going to get anywhere. You are going to fail before you even get started.

Building solid corporate business credit takes time. Stop believing all of the fast talking credit gurus. Financial institutions aren’t stupid (they were shrewd enough in getting all of that bailout money) so what on earth makes you think some guru could outsmart them? Believe me, if you try to take short cuts and outsmart the banks, before it’s all over the banks are going to demonstrate who is smarter. Questionable approaches like “piggy backing” another individual’s or a different company’s credit file in order to prop up your own Dun & Bradstreet credit rating may have worked back in 2004 when bankers were giving away lines of credit to just about anyone with a pulse but not any longer.

Banks are strict and tight nowadays and if you do not have every last item in order they will discover it and you are going to be declined any credit. To find out more about building corporate business credit correctly and quickly or to find out how to properly select a corporate business credit provider then grab your free corporate credit guide now.