- 1). Obtain a recent, valid copy of your business credit report. If you have a large business and you're registered with one of the larger credit firms (Moody's, Standard and Poor's, Dun and Bradstreet), you can access a much more comprehensive picture of your business credit. You can access a brief report at two of the three national credit bureaus--Experian and Equifax. (See Resources.)
- 2). Review your business credit report. Look for any red flags that may disqualify you for a loan. These include late payments, over-limit revolving accounts, judgments, tax liens and charged-off accounts. You must correct these before applying for new credit under your EIN.
- 3). Research lenders based on your business credit report and score. If you have an excellent EIN credit profile, focus your search exclusively on banks and credit unions--institutions that cater to responsible business borrowers. If you've had credit problems, you'll need to extend your search to finance companies, too.
- 4). Apply for all business credit using only your Federal Tax ID number (EIN). Do not use your Social Security number. Any business debt you acquire under your Social Security number will then be connected to not only your business holdings but also your personal assets.
- 5). Choose a loan offer after reviewing several options. Make sure the business credit will help grow the business, not just keep you afloat. Loan funds can be reinvested into a business, not just used for payroll, expenses, supplies and overhead.
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