ImageBuilding good business credit is extremely advantageous for any business. A positive credit score will open up opportunities for better insurance rates, more financing at better terms, and can help secure contracts with partners.  Many business owners are unaware of the importance of managing their business credit. But have no fear, we’re here with some helpful steps you can take to manage your business credit:

1. Review Your Credit File. Use our free CreditSignal®* service to review information in your D&B business credit file. It is important to keep this information accurate and up-to-date as vendors and suppliers will be making important decisions about how to do business with you based on information they see in your file. The credit score of about one in three businesses will decline in just a three month time span, so remember to monitor your credit file frequently.

If you don’t have a credit file yet, you can create one by applying for a D-U-N-S®  Number. A D-U-N-S number is a 9 digit identification number that is unique to your business.

2. Pay Bills On Time. This may seem obvious, but building a positive payment history is extremely important. The best way to do that is to pay your bills on time. Late payments will hurt your business credit.

3. Obtain Business Credit Cards. Get a credit card that is not linked to you personally. Choose a business credit card from a company that reports to credit reporting agencies.

5. Keep an Eye On Your Partner’s Credit. Monitor the credit of your business partners and understand they are doing to same to you.  A company may offer or decline to do business with you depending on your business credit score. Make sure you don’t miss out on an opportunity for success because of a poor credit score.

To further manage your business credit you can use CreditSignal® and CreditBuilderCreditSignal® provides companies with free access to changes in their D&B® credit scores and ratings*. CreditBuilder is a paid services that gives companies access to the same D&B data being accessed by others when making business decisions and helps demonstrate healthy business credit.

In what ways has a good business credit score benefited your business? 

Photo Cred: Horia Varlan, Flickr

*CreditSignal only indicates that your D&B scores and ratings have changed and alerts you when your business credit file has been purchased. To view actual scores and ratings and learn about what industries are purchasing your D&B file, we recommend that you upgrade to one of our business credit monitoring or credit building solutions. Please note, due to the proprietary nature of these inquiries and inquiry requests, only the industries in which the purchasing customers reside will be revealed.