Building business credit is the ultimate goal for young business owners or medium sized companies looking to grow. It not only provides liquidity in uncertain times, but it allows you to grasp any lucrative short term opportunities.
There are many methods that people use to gain access to business credit:
a) Set up multiple corps and apply for multiple credit sources
b) Work on a single company that is very old and has numerous trade lines reported
c) Acquire shelf corporations with credit attached
d) Reactivate inactive corps at your state division of corporations.
Once you have the credit, how can you make income to pay those bills? You may already be in business for yourself, which is great, but what if you are working a full time job or are in college? Here is a great list to help you get started on making some money with business credit.
1) Forex
2) Commercial Real Estate
3) Stock Market (bonds/dividend income)
4) Existing businesses (Liquor stores/car washes)
5) Oil
6) Gold/Silver (bullion or ETFs)
7) Outdoor advertising
8) Franchised businesses (Subways/Papa Johns)
9) Hard money lending
10) Selling inventory online (bought using store credit)
I will be having a live business credit webinar coming up in March. Details will come out closer to the time. I want to make it interactive, so everyone can benefit by asking me questions and networking with each other too. Look out for info!
Happy Credit Building!
Andrew McDannels
February 27, 2010
February 7, 2010
Bank Business Credit
Today, I wanted to share the best methods to obtaining bank credit in the forms of credit cards and lines of credit. If you are a brand new company, you may be wondering, "how can I get approved without a great business credit score?"
The truth is without knowledge of how the system works, you will be disappointed when it comes to credit applications. Many of us get so excited about business credit that we apply to numerous companies for credit and more often than not, it ends unsuccessfully. The first piece of advice is to control the amount of applications you do on a month to month basis. 2-3 per month is acceptable.
Many people believe that you need a business plan to obtain bank credit - that is untrue! Many banks offer credit to businesses without business plans (that is our goal!) if the loan amount is under $50,000.
One of the greatest tips I can share with you is to take some money - say between $1,000-$5,000 and deposit it into a business cd - then use that cd as collateral and apply for a "Secured Line of Credit". This will immediately build up your banking credit history and show the bank you are willing to put up your own money for your business. This is the best way to get 50-100k of business credit within months.
The lower your banking risk is on your DNB credit report and Experian report, the higher chances you will be approved for credit cards and unsecured LOC's.
That's it for today - please email me or message me on Facebook if you have any questions or success stories to share.
To Lots of Credit!
Andrew McDannels
Scottish Ventures LLC
The truth is without knowledge of how the system works, you will be disappointed when it comes to credit applications. Many of us get so excited about business credit that we apply to numerous companies for credit and more often than not, it ends unsuccessfully. The first piece of advice is to control the amount of applications you do on a month to month basis. 2-3 per month is acceptable.
Many people believe that you need a business plan to obtain bank credit - that is untrue! Many banks offer credit to businesses without business plans (that is our goal!) if the loan amount is under $50,000.
One of the greatest tips I can share with you is to take some money - say between $1,000-$5,000 and deposit it into a business cd - then use that cd as collateral and apply for a "Secured Line of Credit". This will immediately build up your banking credit history and show the bank you are willing to put up your own money for your business. This is the best way to get 50-100k of business credit within months.
The lower your banking risk is on your DNB credit report and Experian report, the higher chances you will be approved for credit cards and unsecured LOC's.
That's it for today - please email me or message me on Facebook if you have any questions or success stories to share.
To Lots of Credit!
Andrew McDannels
Scottish Ventures LLC
January 17, 2010
Business Credit Friendly Companies
Well, once you start a company you need to know which companies to target first to obtain credit. It's a difficult process, as you have to filter through tons of information out there - some is good and some is terrible. So I decided today to post some good banks/companies to apply for once you get up and running.
Business credit works like this:
1) Starter credit
2) Store credit
3) Small bank credit (ie credit cards)
4) Bank Loans/leases
When you have no credit history at all my favorite bank to try first is:
1) Citibank,
2) GE Money Bank,
3) HSBC,
4) Chase (being the hardest)
In my business credit e-book, I have an extensive list of companies that will issue starter credit to boost your credit profile. You will find it on www.scottishventuresllc.com - available for $19.99.
You need to build up your Experian Business profile aswell as your Dun and Bradstreet profile - so companies that report to both are the ones you want to spend your money with. 2-3 trade lines on Experian Business will get you store credit, 5-8 will get you credit cards, 8-10 will get you bank credit (the more payment history, the better).
Until next time,
Andrew McDannels
Business credit works like this:
1) Starter credit
2) Store credit
3) Small bank credit (ie credit cards)
4) Bank Loans/leases
When you have no credit history at all my favorite bank to try first is:
1) Citibank,
2) GE Money Bank,
3) HSBC,
4) Chase (being the hardest)
In my business credit e-book, I have an extensive list of companies that will issue starter credit to boost your credit profile. You will find it on www.scottishventuresllc.com - available for $19.99.
You need to build up your Experian Business profile aswell as your Dun and Bradstreet profile - so companies that report to both are the ones you want to spend your money with. 2-3 trade lines on Experian Business will get you store credit, 5-8 will get you credit cards, 8-10 will get you bank credit (the more payment history, the better).
Until next time,
Andrew McDannels
January 9, 2010
From my business credit blogs on my Facebook page, "Business Credit Education", I decided to move and start using this site to expand my ideas to reach more people.
Today it is harder to acquire business credit, but it is not impossible. A new business owner has to do alot of background work on their company to make it seem more professional and older than it actually is. Before the credit crisis, it was very simple to acquire credit from various sources. But, many companies have taken a beating in the stock market, thereby reducing how much capital they have to loan out to new/growing companies.
Most business credit blogs will tell you the start up basics and how to get some types of credit, but when you need to get a bank loan, more often than not, you will be declined. Why is this? Most credit gurus tell you how to build up "TRADE" credit and not "CASH" credit. What's the difference?
Trade credit is from actual stores who offer businesses and the general public credit to purchase their items. Cash credit is from financial institutions who offer businesses and the general public credit to use for any (legal) purpose. I will show you how to get both.
This site will always have free information coming directly from me, Andrew McDannels, posted on a weekly basis. My next blog will contain exact tips and tricks to help get your business the maximum amount of credit in the shortest period of time. So tell your friends, family, and business partners about this site. The information I share with you all will be life changing.
To living like a millionaire,
Andrew McDannels
Today it is harder to acquire business credit, but it is not impossible. A new business owner has to do alot of background work on their company to make it seem more professional and older than it actually is. Before the credit crisis, it was very simple to acquire credit from various sources. But, many companies have taken a beating in the stock market, thereby reducing how much capital they have to loan out to new/growing companies.
Most business credit blogs will tell you the start up basics and how to get some types of credit, but when you need to get a bank loan, more often than not, you will be declined. Why is this? Most credit gurus tell you how to build up "TRADE" credit and not "CASH" credit. What's the difference?
Trade credit is from actual stores who offer businesses and the general public credit to purchase their items. Cash credit is from financial institutions who offer businesses and the general public credit to use for any (legal) purpose. I will show you how to get both.
This site will always have free information coming directly from me, Andrew McDannels, posted on a weekly basis. My next blog will contain exact tips and tricks to help get your business the maximum amount of credit in the shortest period of time. So tell your friends, family, and business partners about this site. The information I share with you all will be life changing.
To living like a millionaire,
Andrew McDannels
January 2, 2010
A new Web Site with Fresh Ideas
A new year brings a whole host of new opportunities. Today, this newly created blog site begins on a journey to help teach others about the power of business credit.
I've been posting for a long time on Facebook, and I've created a few videos that I posted on Youtube, but I wanted a different medium to reach out to people. When you search for Business Credit I want my site to be at the very top of the search results.
My company, Scottish Ventures LLC, has been in business since 2008 and I have been acquiring business credit for a while now. My goal is to teach any person, who has the desire and thirst for knowledge, about business credit - for free. There is so much to learn, so please join me on becoming rich beyond your wildest dreams.
On my website there are e-books for sale and also more information about me and my business. Please look for me on Facebook, Myspace, and Youtube - under "Business Credit Education."
Until my next blog, happy new year!
Andrew P. McDannels
"I am the Donald Trump of Business Credit"
I've been posting for a long time on Facebook, and I've created a few videos that I posted on Youtube, but I wanted a different medium to reach out to people. When you search for Business Credit I want my site to be at the very top of the search results.
My company, Scottish Ventures LLC, has been in business since 2008 and I have been acquiring business credit for a while now. My goal is to teach any person, who has the desire and thirst for knowledge, about business credit - for free. There is so much to learn, so please join me on becoming rich beyond your wildest dreams.
On my website there are e-books for sale and also more information about me and my business. Please look for me on Facebook, Myspace, and Youtube - under "Business Credit Education."
Until my next blog, happy new year!
Andrew P. McDannels
"I am the Donald Trump of Business Credit"
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