Raise Money to Start a Business

Document Sample
Raise Money to Start a Business Powered By Docstoc
					Raise Money to Start a Business
All small business require money to purchase equipment, supplies, and
even office space. Many small business owners are unaware that their
business can have it's own credit file and credit rating separate from
their personal credit files, and even fewer know how to establish and
build business credit in their business's name.
There are countless benefits to building corporate credit for your small
enterprise and it should be the first thing on your mind when trying to
raise money to start a business, I'll focus on the 3 most important
Benefit 1
Having access to a separate credit line for funding when it comes to a
start-up company is priceless. You can use your companies credit line to
finance all of the expenses of starting up without it showing up on your
personal credit. Business expenses can be huge and overwhelming if you
decide to fund them from your pocket, don't end up loosing everything
because yo decided to use personal credit instead of business credit.
Benefit 2
Securing your personal credit. If you have good credit, or even bad
credit, your business will not be a strain on your personal credit
scores. By separating personal credit from your business credit it allows
you to apply for larger credit lines, as banks give these easily to
businesses. it is not unheard of to receive $10,000 - $50,000 credit
lines on business accounts.
Benefit 3
Ready for to start up or for an expansion. Having properly built your
company's credit file, your enterprise will be poised ready to spring
into expansion by having capital access to lines of financing from such
companies as Bank of America and Wells Fargo, who both offer generous
lines to those that have built their corporate credit properly. You will
even be able to walk into a bank and apply for and receive a loan totally
in the businesses name for use on anything you might need.
Building corporate credit can be one of the best things you can do for
your small enterprise to raise money. Even though many lenders and loan
officers would rather that you supply a "personal guarantee" for any
company-oriented loans or lines of credit your company opens, the best
funding sources come from having your business's finances and credit
rating stand separately from your own.
Want more info about how to Establish and Build Business Credit? I'll
give you a FREE subscription to my world-famous, no hype business credit
mini course, Just for visiting me at my Business Credit Website.

Shared By: