Corporate Credit

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Corporate Credit, or Business Credit, is credit that is earned and assigned to a corporation or business rather than an individual person. This credit is essential in establishing and maintaining business or banking relationships with potential creditors, vendors, business partners, or even clients. This is because the “credit profile” established by the various credit reporting agencies, and the subsequent credit ratings, are based on your past and current credit history, among other significant factors. This profile and rating system is used by potential creditors, vendors, clients, or business partners to gauge how reliable your company is and whether or not to extend credit to your company, or to engage your company in a business relationship. This relationship can be loaning operating capital to your company or corporation, leasing property, supplying equipment, etc. Establishing Corporate Credit and maintaining it is important to the health and longevity of your business, and it has a major impact on the way your company is seen by the rest of the business world.

If I Build Business Credit, How Can It Benefit My Company?

The advantages of having established Corporate Credit range from simple operational issues, all the way up to allowing your company to withstand scrutiny from a potential client who may gauge how reliable and proficient your company is by how well your credit profile reads.

From an operational perspective, establishing Corporate Credit allows you to do such things as purchase supplies, pay debts, maintain facilities, hire additional staff, compensate for a downswing or upswing in business, etc., without depleting vital liquid assets. If you establish business credit you will be assured that your business has the ability to respond rapidly to market demands or growth. For example, while an increase in orders or business is usually a good thing, having the proper credit facilities to allow your company to respond to such demands by facilitating the increase in operational capacity without having to “front the cash” will go a long way to ensuring a much better response to the increase. Other advantages include the fact that many lending institutions, lease providers, etc., base their interest rates on what the Business Credit Profile and rating is for your company. Having established credit can lead to a substantial savings in interest rates and much more favorable lease and loan terms.

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Introduction

Videos

1
Corp Credit Video 1
42 min
2
Corp Credit Video 2
26 min
3
Corp Credit Video 3
31 min

How to Build Credit for Your EIN - Webinar

1
Corp Credit: How to Build Credit for Your EIN – 90 Minute Webinar
90 min
Faq Content 1
Faq Content 2

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Enrolled: 34 students
Duration: 10 hours
Lectures: 4
Video: 9 hours
Level: Advanced

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