So I thought it might be good to create a "key points" thread where someone could get just the best of the best, and we will continue to post on the existing thread for ongoing stuff.
Here is what I have learned:
~Set up a Corp business. Smart to protect yourself and the only type of business that allows you to keep your business credit and personal credit seperate. LLCs and Sole are okay for contract work or property investment, but you still should get a Corp to manage them.
~Once you get your Corp EIN, through registrastion, set up your business phone. You will need to make sure it is at an address not the same as your home (because it is not looked upon favorably by the lending world) and the phone will need to be registered in the 411 directory. Quite a few have had success with calling the local phone company and getting a call forwarding number. It is a business number that automatically forwards to any desired phone. Make sure it will list with 411 before signing up however.
~After receiving your first phone bill, go to www.staples.com and fax in copy of application along with copy of phone bill to apply for business credit. Use professional letterhead for coversheet. You should receive the standard $750 credit line with no personal guarentee (herein referred to as "PG").
~Also during this time go to www.dnb.com and register your business to receive a D&B number. It will take 30-40 days to receive it in the mail. If you want to establish business credit sooner, you can pay for the credit builder $399 after you have at least 5 business accounts and get a paydex rating (similiar to FICO for personal credit).
~Set up the following business accounts, and make at least one purchase, you want to pay this off BEFORE the first statement hits:
1. Nextel 2001 Edmund Halley Dr Reston, VA 20191 CONTACT Customer Service 1-800-639-1111
2. UPS - www.ups.com
3. FedEx CONTACT Revenue Services Department 1-800-622-1147 press 4 then 1
4. Verizion CONTACT Customer Service 1-800-755-1048
5. Barnes & Noble CONTACT Purchase order department 1-212-414-6000
6. Quill Corporation 100 So Schelter Lincolnshire, IL 60069 CONTACT Credit Department 1-800-634-3090
7. Viking 8200 East 32nd St No. Wichitas, KS 67226 CONTACT Credit Department 1-888-454-5457
9. Rapid Forms 301 Grove Rd Thorofare, NJ 08086 CONTACT Billing Departement 1-800-257-5287
~If you have at least 30-45 days to use, the following companies automatically report to D&B creating your business file:
~Once you have a paydex score of 75+, you can apply for Lines of Credit (herein referred to as "LOC") or business Credit Cards without any sort of PG. The cards/accounts desired are:
Enterprise Rent a Car (Corp. Rental) www.enterprise.com
Wells Fargo Bank (Visa/Mastercard) www.wellsfargo.com
Bank of America (Visa) www.bankofamerica.com
American Express (Green/Gold) www.americanexpress.com
MBNA Bank www.mbna.com
Wells Fargo (Line of Credit) www.wellsfargo.com
Bank of America (Line of Credit) www.bankofamerica.com
Union Bank (Line of Credit) www.unionbank.com
Cal Fed www.calfed.com
United California Bank www.unitedcalbank.com
Most companies will not ask to see financials for loans of 50k or less.
Okay that is my "ah-ha"s of the thread, please feel free to add your own
Recap: I opened my biz (C corporation) in 2003.
Opened a Biz Phone line (more expensive then a personal line)
Used a Different Adress (not a home based biz)
Paid $400 or so to DnB (www.dnb.com) for CreditBuilder
added 3 historical vendors to my profile
1) furniture store where I bought my desk and chair and filing cabinet
2) The Company I buy Toner from for my printer
3) another vendor, I dont recall (the comapny that designed my logo and stationary?)
waited until I got my first phone bill for the corp.
Applied at www.staples.com for a biz account, faxed in the printed application with a copy of my phone bill.
waited 2 weeks
Applied for a cellphone under the business (T-Mobile)
approved for 20 lines max. (i wanted one :oops: ) :wink:
waited for the first bill to arrive, paid it.
Called 800-917-DELL for Dell (www.dell.com) small biz division.
aked the rep about what programs they offer, explained that I have a business that is on DnB, but my personal credit is low FICO because of high balances, etc.
He told me "well, sir, all I need to tell you if you are approved is your name, biz name, and biz phone".
Got INSTANT APPROVAL for $10,000 (CIT) long term finance.
Bought two computers.
No SS# or PG was required.
Got approval, Some components arrived already, laptop already being delivered tomorrow (if someone is there to accept the delivery). I check the status on www.Dell.com, so I know that the stuff was already sent out.
after several "almosts", got the nerver to apply for home depot card based on the biz (No personal info...) recieved 7-10 day screen.
Called two days later... APPROVED for $3000+!
tried to get an increase on the spot, was transferred to a senior rep, who said that they count not increase the amount now, but would first need to see a 60-90 day pay history, and I could try again at that time.
RAN to home depot, got a tempory pass (so i could FEEL the approval :shock: )..... today I spend $2000 there. (now I can finish the apartment rehab, rent them out, and start seeing some money!)
I am not positive who issues the Home Depot Commercial Card (Citi USA? Monogram? GE Capital?) it seems that different bank names come up on the website, app, and temporary pass.
I'd be happy to share my limited knoweledge with anyone who needs help in this area.
to Reiterate: All the above is WITHOUT a PG, on a NEW Corp.