Whether you own a small business just starting out or manage a large business that has been around a long time, a business credit report can help your business succeed. A business credit report is just as important as a personal credit report, and just like a personal credit report, a business credit report is crucial to making smart financial decisions and being successful financially.
For many businesses, a loan is necessary for growth and development. And if you're just starting out, you may require borrowed money to just function from one day to the next until profit begins flowing in. The information on your business credit report will play a role in whether or not you can receive a loan or are able to borrow money. If your business credit is good, you're apt to receive better loan terms and rates. Staying on top of your business credit report can help your business thrive.
We've reviewed the best business credit report services to help choose a company that can provide you with a business credit report and additional business credit services. We determined Experian, Dun & Bradstreet and Equifax to be great business credit report companies. You can also check out our articles on business credit solutions that will help you make smart business credit decisions.
Business Credit Report: What to Look For
Your business credit score is determined much like a personal credit score. For instance, your financial information – including information from lenders and suppliers, legal filings and background information – help determine your business credit score. A business credit report contains information similar to a personal credit report, but it is reported a little differently. A business credit score is reported on a scale from 0-100 rather than 300-850, which is the way a personal credit score is reported.
Business credit report companies generally all do the same thing – provide you with a business credit report that can help you make smart financial decisions for your business. However, these companies also provide additional business credit services. We took the following criteria into consideration when reviewing business credit report companies.
Report Content
The content that is in the business credit report is crucial to understanding what is affecting your credit score and overall credit caliber. A business credit report should show as much information as possible about your business's credit. For instance, company information and history should be included, along with the credit score, as well as risk factors, financial background, payment information, collection history and filings, financial relationships and inquiries that have been made about your business credit report.
Credit Monitoring
Just like your personal credit, your business credit score can change quickly, which is why monitoring your business credit is so important. Business credit report companies offer a variety of credit monitoring services that can make you aware of what is showing on your business credit report and help you determine if what's in your report is correct. Because you can't constantly be looking at your credit report, business credit report companies will offer credit monitoring features such as alerts for any fraudulent activity or crucial changes to your credit, as well as information on any inquiries from others about your business credit report.
Identity Fraud Prevention
Identity fraud is a problem not only for individuals, but also for businesses. Protecting that identity and preventing fraud is crucial to maintaining your credit score. In addition to offering a credit report, the best business credit report companies should offer identity fraud prevention services such as identity protection and educational materials that will help your business to prevent identity fraud.
Business Solutions
Business credit report companies can also provide important business solutions that assist your business financially. These could include services such as marketing, risk management, collections management, cash flow management, portfolio management and compliance services. Additional offerings, such as services that could help your business establish or build credit, are also a plus.
Help & Support
Getting help and support when it comes to your business credit report is important for many reasons. For instance, being able to read and understand what your report says about your business will help you make correct financial decisions. Look for a business credit report company that you can contact in multiple ways, including by phone, email, live chat or an online contact form. Additionally, frequently asked questions and additional resources such as educational articles are important.
Regardless of the size of your business, a business credit report will help you to make smart financial decisions. Knowing and understanding what your business credit report contains will give you peace of mind when you're applying for a loan for your business. Additional business credit report services can also assist your business by monitoring your business credit, protecting its identity and much more.