Credit Solutions for Your Small Business

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Redd Ink Credit
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Credit Solutions for Your Small Business
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1 Improve your credit score

• For the past few years, business owners across
  the country have had trouble getting access to
  the credit they need to run their businesses.
  Unfortunately, that lack of capital has led many
  entrepreneurs to fail as they were unable to make
  payroll or pay their suppliers. Fortunately, that
  situation may soon be resolved as Congress is
  currently working on credit solutions that will
  help small businesses gain access to the
  financing they need to succeed in the
  marketplace. Though no final bill has been passed
  yet, there are many actions you can take now to
  ensure youre ready when it does become available.

Chances are, when you started your business, you
didnt think about your personal credit score and
how it might affect your company. Many
small-business owners dont know that a low
credit score can make them less attractive to
banks. However, with a little bit of effort and
preparation, you can improve your credit
scorewhich will make life easier for both you
and your small business down the road. This post
from Matthew Eckerman details some simple steps
any entrepreneur can take to raise their
businesss profile by improving their own credit
profile.
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2 Secure credit cards

• It was getting late on Friday, I was racing
  against time to finish our latest product
  introduction before heading out of town on
  vacation in two days. But our product managers
  were suddenly spooked they werent so sure
  customers would buy our new offering without
  better terms than we had negotiated in years
  past. They were right we needed more options to
  ensure we got at least one order. That meant
  calling an old sales lead that had not returned
  my calls in months but may have been amenable if
  I made him feel important enough! It also meant
  reviving an offer that had been sitting
  unapproved on someone elses desk until now
  because no one wanted to work after 6 PM last
  Friday evening! Credit solutions Saturday
  Delivery option really helped me speed things up.

Securing a credit card is an easy way to get
immediate capital on hand. For small business
owners, securing credit cards is a good option
because they carry less risk than other forms of
funding. The biggest risk with secured credit
cards is that youll max out your line of credit
and fail to pay it off each month, meaning youd
end up paying back more money in interest than
you borrowed in the first place.
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3 Secured business loans

• To avoid that, dont take out more money than
  what you can afford to pay back each month. That
  said, secured cards are greatif you handle them
  correctlyfor their low (or no) annual fees and
  higher interest rates for cash advances.
• If you have access to a credit card with rewards
  like frequent flyer miles or points toward
  travel, points toward retail merchandise or cash
  back, then thats even better. But be aware If
  you have bad credit, you might not be approved at
  all for a credit card. You also might need some
  collateral if your employer doesnt offer payroll
  services and prepaid debit cards arent available
  where you live. If so, then secured cards are
  typically your best bet when trying to secure
  business funding quickly and easily.

If you have a hard time securing capital from
banks, secured business loans may be a viable
option. The process is similar to that of
applying for an unsecured personal loan, but you
will put up your assets as collateral (such as
real estate or vehicles).
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4 Tips for improving your personal credit score

• Secured business loans are ideal if you need more
  money than what credit cards or savings can
  offer. Although these options are less risky than
  unsecured loans, they do come with high interest
  rates, which should be taken into consideration
  when applying. There are multiple places you can
  get a loanheres how to pick one Which Type of
  Loan? Youll first want to determine which type
  of credit solution fits your needs and goals. In
  most cases, businesses take out lines of credit
  or secure small-business loans and then draw on
  them as needed based on operating costs.

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• Always keep your cards in good standing. Pay
  your credit card bills on time, every time.
  Dont close any cards unless you have to. A big
  negative mark on your credit report can be
  getting a new account and opening it up too
  quickly or within a short amount of time of
  getting rid of an old one.

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• Its best to wait at least six months before
  applying for a new account or two years if youre
  replacing an existing one. If you dont use your
  cards, it may be better to close them. Keep just
  enough available credit available (10-15) so
  that lenders will see that youve got room to
  grow if necessary, but not so much that it hurts
  your score when balances are higher than they
  should be.
• Utilize bankstatements You might already do a
  good job paying off credit card bills as soon as
  you get them however, there is another way that
  affects your score without even knowing about it.
  Banks often post entries to credit reports months
  after payments were made because of how their
  systems work however, waiting until then often
  results in larger late fees and interest charges
  because of missed deadlines. Reviewing monthly
  bank statements is one way to help determine
  whether mistakes are being made or payments
  arent showing up on credit reports as expected.
• Keep tabs on inquiries Credit applications
  create whats called inquiries for a reasonthey
  give creditors a chance to review your
  information and decide whether or not youll make
  a worthwhile customer from their perspective.

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Contact us -

• Address - 1312 17th Street Unit 2001 Denver, CO
  80202
• Email - reddinkcredit_at_gmail.com
• Phone - [phone]
• Website - https//www.reddinkcredit.com
• Blog - https//www.reddinkcredit.com/credit-soluti
  ons-for-your-small-business/