Form the LLC or Corp That's Right for Your Business.

Experian Business, Equifax Commercial, Dun & Bradstreet.

We will evaluate what can be done to improve and change the information on your credit profile that is reducing your credit scores. Even the smallest changes can make the difference and bring better pricing on financing depending on the individual or business credit profile.

There are many companies online promising to sell trade lines. Many of these are selling "seasoned" trade lines. If your company has poor or little credit, you can, for several hundred or several thousand dollars, have your business piggybacked onto the account of someone who has established excellent credit. This enables new business owners to appear to have more creditworthiness than they have established for themselves. While seasoned credit is legal, it can wind up costing business owners more than obtaining their own credit at higher interest rates, according to the credit reporting agency Experian. It is also an easy way for someone who isn't experienced at managing credit to get into financial trouble quickly.

Trade lines are often established between a business and a vendor, as opposed to a line of credit offered by a bank. A building supplies store, for example, might order several pallets of pine lumber and agree to pay the lumber mill 30 days after receipt. This enables the business owner to sell the product and pay the costs of its stock out of sales revenue later on. A vendor may pull the company's credit report to decide if it is creditworthy before extending a trade line, and in some cases may review a small business owner's personal credit report, especially if business credit has not been established.

Business trade lines are lines of credit extended to businesses by their vendors, by which the business receives goods or services for which it agrees to pay at a later date. Businesses may have trade lines with many different vendors, and they generally agree to pay 30, 60 or 90 days after receipt of the goods and services.

Generally, you can get a business credit card as soon as your business is established, as long as you meet the issuer’s credit requirements. Most issuers will look at the owner’s personal credit qualifications when evaluating an application.

Banks don’t report business credit card activity to the owner’s personal credit cards unless they default. However, since issuers check the owner’s personal credit reports when evaluating these applications, there will be an inquiry on one of the owner’s personal credit reports. Inquiries shave a few points off credit scores.