There are many different factors that play a role in the success of your business. One that many people don’t think about is the credit score their business has. This is vital to the success of your business because it is incredibly difficult to get any financing for your business if you don’t have a good credit score. Anytime you have any sort of open credit that corresponds with your business, you will have a business credit score. If the score is low, you may be wondering what you can do to bring it back up. Mark Dicus & Company is here to talk about some tips to help you get a higher business credit score.
Is Business Credit Score Different than Personal?
There are many similarities between your personal credit score and your business credit score. This number is going to depend on how trade experiences, outstanding balances, your payment history and much more. This is all calculated to give you a number depending on your creditworthiness. The biggest difference is the number. With a personal credit score, you want your number to be as close to 850 as possible. With a business credit score, it is going to max out at 100. The closer you get to 100, the better your score is.
How Can I Improve My Business Credit Score Fast?
You can improve your business credit score using many different methods. Here are the best ways to keep that number healthy.
– Check Your Score Regularly: You can’t stay on top of your business credit score if you don’t even know what it is. You need to be checking it to make sure you don’t need to make any changes in what you’re doing.
– Pay Bills on Time: One of the easiest ways to keep that score up is to make sure you’re paying all of your bills on time. Letting them go will only lower your score.
– Decrease Credit Utilization Ratio: You want to keep as much credit available as possible. You should attempt to keep that ratio under 15% for optimal results.
– Dispute Any Errors: If you notice that there is any negative feedback on your file, it is possible to work with credit card companies and credit reporting agencies to get them reversed. This is critical in keeping a good score.
– Add Positive Payment Experiences: You can add positive payment experiences manually with credit reporting agencies. This can be helpful when trying to improve your score.
Bookkeepers, Accountants & More in Summerlin, North LV, Henderson, Lone Mountain Village & Greater Las Vegas, Nevada
If you have any questions about how to make your small business as successful as possible, you can turn to Mark Dicus & Company for our consulting services. It is our goal to help answer any questions you may have and give you any advice that could help you improve your chances at a successful business. Call us today!