If you’ve been in business for any length of time, you’ll know the importance of having a good business credit score. If you don’t have a solid credit score, you probably won’t be approved for any kind of loan by a traditional lender, and that will make securing funds much more difficult. Here are some tips on ways that you can fix your credit report, to get your credit score back on the upswing.
Make all payments on time
One of the aspects which factor into your credit score most heavily is making payments on time. If you haven’t been doing this, you’re bound to have a whole slew of late payment detail lines on your credit report, and there’s no quick way to have them fixed. Your best bet is to resolve to turn that situation around and make those payments on time so that you’re not continually getting dinged for them.
Pay down credit balances
The quickest way to improve your credit score is to pay down on any revolving credit balances that you have. This includes credit cards and business lines of credit, as well as any outstanding loans that you have. If you can get these balances down to zero, you’ll see an immediate rise in your business credit score.
Recognize the value of patience
Even when you take appropriate steps to fix your credit score, you have to be patient about expecting a significant rise from it. Once you’ve acquired negative lines on your credit report, it will take a full seven years to have them removed, even after you’ve implemented good business practices. The most important thing you can do is to begin building good credit habits so that it becomes part of your company process, and that will eventually have a very positive effect on your business credit score.
Are late payments impacting your credit score?
If your business is constantly making late payments to creditors and suppliers, it is probably having a negative impact on your credit score. Contact us at Commercial Capital Partners so we can discuss some funding options which may help you get caught up, so you can start meeting your scheduled payments on time.