Fleet Biz Suite- Who’s Keeping Score of Your Business’ Credit Score?

(Newswire.net — August 8, 2013)  Plano, Tx — A FICO (Fair Isaac Company)score, the organization that has established metrics for evaluating individual credit quality is not what many business owners need for their viable credit borrowing status.  A business owner often times will make the classic mistakes that will either slow down their status for developing credit or create barriers that can pose to be fatal for their future.

 

An arm of Dunn & Bradstreet, called Paydex is the FICO equivalent for businesses.  Their evaluation criteria is primarily based on how a business makes their payments to suppliers and creditors and in what timely fashion.  The scoring ranges from 0-100 with 80 being the score for on time payments and 90 being for early payments. 

 

Russ Anderson explains how a business needs to develop their “file” or business credit file that lenders look at in depth in order to determine credit worthiness.  Simple steps such as using a business address, phone number, and name, are all things that are a business must.  A cell phone or home address will generally be a flag for a lender that the business does not have the stature or sustenance they are seeking.  Legitimacy as a business is probably the very first step that lenders look for.

 

Fleet Biz Suite utilizes different sources and aids businesses to qualify across different agency lines.  Although Experian and Equifax are important, Dunn & Bradstreet is the most important.  As far as timing issues to develop a good credit file, it can take up to 60 days to even more depending upon what historical patterns and habits that have been established. 

 

Anderson states that new businesses are easier to deal with since there are no pre-existing problems or mistakes that can hinder the process of file building.  What is clairvoyant is that there are very distinctly different steps for establishing individual credit versus business credit and those steps can set the stage for either success or failure.  For getting more comprehensive details about building a business credit file properly, contact Fleet Biz Suite   www.fleetbizsuite.com   (800) 248-8817.