Build a business credit score from scratch for a new business

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Build A Business Credit Score From Scratch For
A New Business
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Just as your personal credit score is built on
the basis of your personal financial history,
likewise, a business credit score is built on a
businesss financial history.
Business financial history could include various
lines of
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In India, similar to the personal credit score, a
business credit score range is from 300 to 900
where a good score is considered above 750.
If you have recently ventured into a new business
or are about to start one, it is imperative to
work towards developing a credit score for your
business a one different from your personal
score.
Here are a few steps you should start taking
towards the path of a decent business credit
score.
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Do Not Mix Business With Self
Sole proprietorships and general partnerships
deem the business the same as the owner which
means, your personal credit score is considered
for all financial matters.
Hence, it is essential to incorporate a business
and legally separate the business from the owner
to let it carve its own identity.
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Open A Business Bank Account
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Establish A Dedicated Business Address And Phone
Line
Getting a dedicated business address and phone
number will strengthen your businesss claim to
separate existence.
This history gets imprinted on credit agencies
and will help you establish business credit.
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Borrow From Lenders That Report To The Business
Credit Bureaus
This can happen only when you deal with the
lenders that report your conduct to the business
credit bureaus.
While the above steps will make sure you are
building a good credit track it is also
important that these acts get recognized in order
to be reported to the credit agencies.
Ideally, lenders should report to one or more of
the four major business credit information
companies in India such as CRIF.
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Borrow Diligently
While you are investing your time in building
steady and decent business credit, your motto
should be to borrow responsibly.
Responsible borrowing habits include drawing from
a mix of business credit accounts and paying
those accounts on time in full.
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Keep A Tab On Your Business Credit Score
An annual business credit score check at should
keep you ahead in your game.
Once you start building a business credit
history, you should perform a periodic credit
check as you do with your personal credit reports.
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In building and maintaining a good business
credit score, youll realize that you need to
flex many of the same muscles you do in
maintaining your personal credit scores.
Getting there is a slow and steady process which
is why it is important to start early.
Follow these steps and see your business credit
score thrive in no time.
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You can get both your personal credit score and
business credit score by applying directly on the
link mentioned below
https//cir.crifhighmark.com