7 Steps to Establishing Business Credit
As you expand your small business, one of your top priorities should be to build business credit. A solid business credit profile can help you qualify for bank loans or other forms of funding with low-interest rates. Here are seven steps to establishing business credit.
Building a Strong Business Foundation
A business plan is recommended even for a sole proprietorship. Running a small business can be very rewarding, but only if you have things in order. Owning a business is not a pastime. It is your source of income if you quit your job and start your own business. Follow these steps to build a solid business foundation and separate your personal and professional lives:
Keeping Your Bookkeeping In Order
Nothing is more inconvenient than having to sift through too many statements to find one small but critical piece of financial information. That's often the case if you haven't separated your personal and business funds, resulting in them always combining into one account and making it easy to lose track. You can keep your finances and business dealings separate by opening a new bank account, ensuring that there is no confusion between the two. When it comes time to do your books, you'll know exactly where to look for the financial information you require.
