How to Check and Monitor Your Business Credit Score
Your business credit score is a number that lenders use to assess your business’s creditworthiness. It is similar to your personal credit score, but it is based on different factors, such as your business’s payment history, debt load, and length of credit history.
A good business credit score can help you get approved for loans, lines of credit, and other forms of financing. It can also help you get better terms on these financing products.
Here are the steps on how to check and monitor your business credit score: cpn package
- Get your business credit reports from the three major business credit bureaus: Dun & Bradstreet, Experian, and Equifax. You can get one free report from each bureau every year at AnnualCreditReport.com.
- Review your reports for errors. Make sure that all of the information is accurate, including your business name, address, and contact information. If you find any errors, dispute them with the bureau immediately.
- Calculate your business credit score. There are a few different companies that calculate business credit scores. You can get your score from the bureaus themselves, or from a third-party company like Nav or Credit Sesame.
- Monitor your business credit score regularly. Your business credit score can change over time, so it is important to monitor it regularly. This will help you identify any potential problems early on and take steps to improve your score.
There are a few different ways to monitor your business credit score:
- Sign up for a business credit monitoring service. There are a number of companies that offer business credit monitoring services. These services will track your score and report any changes to you.
- Get alerts from the credit bureaus. You can sign up for alerts from the credit bureaus so that you are notified when there are any changes to your report.
- Review your reports yourself. You can review your reports from the credit bureaus at least once a year to make sure that there are no errors.
By following these steps, you can keep track of your business credit score and make sure that it is in good shape. This will help you get approved for the financing you need and improve your chances of success.
Here are some additional tips for improving your business credit score:
- Pay your bills on time. This is the most important factor in determining your business credit score.
- Keep your debt load low. Your debt-to-credit ratio should be below 30%.
- Extend the length of your credit history. The longer your credit history, the better.
- Get a business credit card and use it responsibly. This will help you build a positive credit history.
- Dispute any errors on your credit report. This will help to improve your score.
By following these tips, you can improve your business credit score and get the financing you need to grow your business.