My Business Credit Journey to 1,000,000

Yes, you read the title right, “with a PG“. Throughout this search for business credit, I would say that 90% of us look for credit without a PG and I think that no pg credit is awesome but many of us do not have the patience to build pure business credit and some of us don’t understand pg’d credit, so I figured I will go through some facts on credit that is personal Guaranteed. (If you are lost at this point please go back to the definitions)

Business credit is an awesome tool for those of us trying to establish and expand our businesses. Whether you have bad credit or not, business credit certainly gives the opportunity to acquire some credit for any business.

For those of you with Good personal credit, there are even more options that are available for financing. There are many business credit cards that we have acquired for clients with a PG and 0 paydex. I have personal obtained 100K in credit cards for a client with a 700+ fico and a 3 month old business. Obtaining business credit cards is a great idea if they are needed. These credit card companies simply leverage the fact that you have a business along with your good credit and grant you more credit than you will normal get on your personal credit alone. The other positive about this type of credit is, even though you have personal guaranteed these credit cards, 90% of the times, the actual credit account does not show up on your personal credit. The creditors simply do a pull on your credit to verify the score and grant you credit. Since the accounts do not show up on your personal credit, the only effect that it will have it the inquiry.

A few things to keep in mind with these pg’d accounts are:

1. You will be held personal liable if you default on any of the accounts.

2. 90% of these banks will not grant you an actual Cash LOC without good business credit as well, only Business Credit Cards.

3. The interest rates tend to be just as high as personal credit cards if there isn’t any business credit established.

If you have good credit, and you need credit for your business, and you consider yourself a responsible borrower, PG’d business credit cards is a great tool for financing your business.

look out for “Business Cash Lines of Credit with a PG”

- mike