Business gurus……….How do I build credit with my LLC?

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Business gurus, I formed an LLC and I received an EIN number from the IRS.

However, what steps can I take that can help me create and build a business credit score?
:feedme:
 
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Start using things like Uline , quill etc to start your business credit via Net30s etc . These companies report your monthly activity to D&B , which establishes a credit record

once you have those accounts for a lil bit, apply for business credit . Apply to the bank you have your business checking account with .

after that , you manage it just like you manage your personal credit

just formed my moving company llc here in Vegas
 

NatiboyB

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Honestly I'm not big time or nothing and most of my workers are teens and probably illegals so let me try to keep this as straight to the point as possible without knowing what exactly you are trying to do.

Identify some net 30 accounts grainger (placed the order for equipment and supplies and paid it back within 30 days) was the first one I got. Also Office Depot (home office supplies) and a fuel card (for the mowers, truck)..Make sure you pay on them every month for a few months.

During this time you should have also grabbed your EIN and all of the appropriate articles of business required for your situation to include insurance or expanded home/renters insurance. You will need a business checking account I recommend you get it in the name of the Business unless you are doing the holding company thing.

Either way give it a few months of paying your net 30s-90s and apply for a business credit card you will more than likely need to be a personal guarantor for your company (they run your personal credit and if you don't pay the debt goes on your personal credit). My first business card was with Navy Fed for $3500 and it didn't report smdh. But I was able to get a business card with a local Oklahoma credit union that does report to Experian.

Also don't be afraid to go to the Small business association in your area and check for various programs and different grants. You can also utilize the SBA personal to help you make up a business plan if you want to pitch it for further investing.

I'd start with getting an EIN first, than getting all of the appropriate articles licenses/qualifications, after that apply for a business checking/savings account, set you up a website or online office to include a business phone line, proceed to start compiling net 30s, apply for grants, start using your net 30s/60s/90s. And lastly apply for the credit card.

Also set you up a dun and bradstreet account (a business credit reporting company). Ultimately record keeping is where most people run into issues. Taxes and payroll/operation expenses. If you haven't yet I highly recommend you check in with your local SBA before starting things. They can even help you find what businesses are needed and therefore help with funding.


Actually what kind of business are you trying to open?
 
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Start using things like Uline , quill etc to start your business credit via Net30s etc . These companies report your monthly activity to D&B , which establishes a credit record

once you have those accounts for a lil bit, apply for business credit . Apply to the bank you have your business checking account with .

after that , you manage it just like you manage your personal credit

just formed my moving company llc here in Vegas

Bro, can I DM you please?
 

Double Burger With Cheese

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First thing you need to do is go to D&B and register for your number. They may have already created one for you. You have to be registered with the state though. Then get you a business bank account or 2. Make sure to have all you paperwork when you go to the bank for the business bank account. Then like a few posters said, get an account with Uline, or Office Depot and they will give you a few hundred dollars credit. Order something and pay it in full on time once they send the invoice. Make sure you always pay in full by due date.

Then you can get you a secure business card, or if you wanna wait a few months until you got some reporting, a non secured business card. Make sure payment history is perfect. Business credit utilization can be higher but no need to get into all that. Just pay whatever you use in full before the cycle.

Now these things will build your business credit but most everything still tied to your social. Uline and a few others only ask for EIN, but credit cards and loans and most lines of credit gonna be tied to your social.

You gonna need a few years tax returns and a history of generating income before banks even think to use only your EIN and business credit history as a determining factor in funding. But the more history you build, the more they take it to account.

Also, never commingle your personal and business funds
 

Jimmy from Linkedin

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in yalls opinion/experience:

when is the right time to file and incorporate?

ive seen a lot of people advocate for delaware, like here Stripe Atlas: Start a Business with Our Startup Toolkit, but for an online only business, ive generally read to file where you live. for an online only business, which state should i file?

yalls thoughts on these two questions?
 

Double Burger With Cheese

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in yalls opinion/experience:

when is the right time to file and incorporate?

ive seen a lot of people advocate for delaware, like here Stripe Atlas: Start a Business with Our Startup Toolkit, but for an online only business, ive generally read to file where you live. for an online only business, which state should i file?

yalls thoughts on these two questions?

It don’t matter. File in the state you in for simplicity. The main benefit is the courts in Delaware are more favorable to corporations. That’s shyt the big boys (pause) worried about, not the average small business. You don’t need to worry about litigation type shyt at this point. No state taxes for the business as well but that’s a small benefit for a new business. Just file in the state you in
 
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