What are the advantages of having a good business credit form?

Good credit is the lifeline of any small business. It's a must for obtaining funding for starting or growing your business. But that's only the beginning. Here are some of the many advantages of good business credit.

You can acquire business credit without a personal guarantee.

This lessens your personal liability and protects your personal assets.

It can help you stay ahead of the competition.

You can pass your interest savings onto your customers or keep a larger margin of profit for yourself.

You can make decisions with certainty and get the money you need.

This can reduce stress on you and your company.

It can save you money.

Lenders offer better interest rates to companies with good business credit.

A good business credit report and score are crucial for getting the money you need to profitably run and grow your small business. Whether you already have an excellent credit rating or are just starting a business, Experian can help you connect with lenders who work with companies in your position.

Enrollment in Experian's Business Credit Advantage unlimited access and monitoring service is the best way to manage and grow business credit. Access to your business credit report 24/7 means you'll have the tools you need to manage and grow your credit report. Regular email alerts give you the monitoring tools to watch your credit file for any inquiries or critical filings.

What are the advantages of keeping good business credit separate from personal credit?

The most important advantage of separating personal credit from business credit may be that your personal credit is safe if your business ever gets in trouble. Here are a few more benefits:

  • With good business credit you can obtain more working capital for your small business.
  • You can take out loans at lower interest rates.
  • It will be easier to separate your business expenses from your personal expenses. When it is time to file your taxes, you'll already have separate financial records for personal and business expenses, making both your life and your tax attorney's life easier.
  • You can extend credit to your employees by requesting additional business credit cards.
  • You can regulate how much employees spend by adjusting their credit card limits.