Most business owners don’t like to hear this, but when it comes to building business credit, slow and steady wins the race.
Nat Wasserstein, principal of Hudson Premier Payments, a payments processor, in Nyack, N.Y., estimates that it takes three years or more to build business credit.
“Usually, credit applications say they want you in existence for at least three years,” says Wasserstein.
In some cases, creditors may require just one year, he says, but that isn’t the norm.
“They want to see you’ve been around,” says Wasserstein. “Once you have that, they want to see that there isn’t anything outstanding. There are no judgments. They need to have enough time to determine whether they want to extend credit to that company.”..Read more>>