How to quickly raise your credit score and get a business loan
Big banks that offer traditional financing only approve about 28% of the loan applications they receive. That means more than two-thirds of prospective borrowers are turned away!
Commonly used FICO scores range from 300 to 850. Scores greater than 700 are considered good and anything less than 650 is considered problematic.
More than 7500 lenders nationwide rely on the Small Business Scoring service, or FICO SBSS score. These scores range from 0-300. Lenders typically prefer scores between 140-180. The Small Business Administration now uses the score to prescreen for its popular 7a loan product.
Here are 6 ways you can boost your credit score quickly!
- Review your business and personal credit scores regularly
- Always pay bills on time, even if making minimum payments
- Don’t co-mingle business and personal funds
- Incorporate your business
- Prepay your bills
- Run a profitable business
Take a look at this CNBC article to read more about how to manage your credit and maximize your likelihood of obtaining a loan.
Checkout Nav.com to monitor both your business and personal credit score.
Apply to a working capital loan from Rapid Funders. Lower credit scores are accepted!