Business credit

 The foundation of building business credit begins with the establishment of your business as a separate legal entity. This means setting up a corporation or a Limited Liability Company (LLC). This distinction is crucial as it separates your personal finances from your business finances, a fundamental step for building business credit. 

 After establishing your business entity, the next step is to obtain a Tax Identification Number (TIN), also known as an Employer Identification Number (EIN). This federal tax ID not only allows you to pay taxes as a business but also serves as a key identifier for your business in financial and credit transactions. 

Opening a bank account solely for your business transactions is crucial for maintaining a clear boundary between personal and business finances. This separation is not just beneficial for accounting and tax purposes but also crucial for legal and credit considerations.

A DUNS number is a unique nine-digit identifier for businesses provided by Dun & Bradstreet (D&B), one of the major business credit bureaus. Securing a DUNS number is essential for building your business credit profile and is often a requirement to do business with both the federal government and many commercial entities.

 We help you set up 30-day net accounts with suppliers. These are accounts where the supplier extends credit to your business, allowing you to pay for goods or services within 30 days of the purchase. Payment history with these accounts, when reported to credit bureaus, helps build your business credit. 

After 90-180 days of consistent positive credit building, your business can start qualifying for corporate credit cards without a personal guarantor. This is a significant milestone, as it means your business is trusted based on its own creditworthiness, independent of the business owner’s personal credit.

 With an established and positive business credit history, we guide businesses in applying for lines of credit through platforms like Closer Capital. These lines of credit provide flexible borrowing options and can significantly aid in business growth and operations without the need for personal credit involvement. 

At Genesis Financial Recovery, we understand the intricacies of building business credit from the ground up. Our step-by-step guidance ensures that your business not only establishes a solid credit foundation but also leverages it for growth and success. By separating personal and business finances, strategically building credit through various avenues, and taking advantage of reporting tools, your business is set on a path to financial autonomy and opportunity.