Tag: During

How to Grow Your Local Business During Uncertain Times

No doubt this is a hard time to grow a local business. Coronavirus has likely forced you to make big changes to the way you operate. It’s almost certainly hit your bottom line too.

However, it’s still absolutely possible to grow your local business at a time like this. You just have to be smart about it. In this article, I’ll talk you through how to do that. First, though, here’s a bit of detail on why this is such a challenging time for businesses like yours.

The Effects of the COVID-19 Pandemic on Local Businesses

You’re probably sick of reading and hearing the word “unprecedented.” I know I am. Unfortunately, it’s just the best word to describe the current climate for local businesses.

By the end of March, 32 states had locked down in response to the pandemic. Two in five small businesses across the US had temporarily closed by this point, with nearly all of those closures due to COVID-19.

Closing your doors has big financial implications. It is concerning that the vast majority of local businesses aren’t in a position to handle even short-term pressure on their earnings, with around four-fifths only having up to two months of cash available to pay their expenses.

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Because of this, it’s hardly surprising that the number of active business owners in the US plummeted by 3.3 million (or 22%) in the two months from February to April alone. That’s the largest drop on record, and it affected practically every industry.

Luckily, if you have access to the right strategies (like local promotions) and tools (such as messaging services like Podium), you may still be able to grow your business even in these uncertain times.

Six Strategies to Grow Your Business During the Age of Coronavirus

The pandemic might have affected your business growth in any number of ways. Maybe you’ve been forced to shutter your store(s) for a certain amount of time. Maybe your customers are buying less at the moment. Or maybe the industry you’re in means you’ve barely even got a “product” to sell, like cinemas and travel companies.

Whatever the case, if you’re going to grow your local business in the current climate, you need to adapt. Here are tips on how to do it:

1. Use the Right Tools

I know what you’re thinking: “I’m already worried about cash flow, now this guy’s telling me to invest in a bunch of tools!” Well, what if I told you that by choosing the right tools (some of which are free, by the way), you massively increase your chances of growing your local business?

You likely know that there are thousands of tools designed to drive small business growth, but I’ve focused on the areas where you can really shift the dial:

Issue: Customer Messaging

There are so many benefits to improving your communications with existing and potential customers.

You can generate more reviews, which act as a trust factor and make your business more credible. You can collect payments faster and with less hassle. You can issue more timely (and more effective) reminders, reducing the chances of no-shows.

To solve your customer messaging you can use a tool like Podium. Here’s how I use it:

  1. Set up one inbox to rule them all: What’s the biggest barrier to better communications? Trying to keep track of all your different platforms. Customers could be messaging you via Facebook, Twitter, phone, and your website (and maybe a bunch of others, too). Podium brings all those communications together in one place, ensuring you never miss a message.
  2. Connect remotely with website visitors: Ever wish you could get closer to the people on your website? Find out what stops them from buying or converting there and then? With Podium, you can. Add live chat to your site and every time they ask a question, they’ll automatically move to a text conversation, so you’re no longer tied to your computer (and nor are they).
  3. Enable on-the-go customer service: You likely don’t have a dedicated customer service team. In fact, you might be your whole customer service team. So what happens when you’re not at your desk or in the store? Stuff gets missed! Podium allows you to text quick responses when you’re out and about, so you never leave anyone hanging.
  4. Chat face-to-face: Texting is great. But sometimes it’s just not the best way to respond to a customer or prospect. Maybe they’ve got a complex question or require a nuanced response that’s hard to tap out on your phone’s keypad. Podium offers video chat software that makes connecting remotely with customers as easy as sending a text. Send your customers a link and you can be video chatting in seconds, making it super simple to show details, answer questions, and share your screen.
  5. Create tailored promotions: Say you own a coffee shop. You run a loyalty program and you’ve captured your best customers’ email addresses and phone numbers. Wouldn’t it be great if you could quickly send those customers targeted promotions? Maybe offer them a deal on a new single-origin coffee you’ve just started stocking? You can do that as well.
  6. Provide to-the-minute advice and updates: There are a lot of variables in the world right now. Customers might want to know how busy you are at a certain time, or what measures you’ve put in place during the pandemic. Or they might have product-specific questions. A customer messaging platform makes it easier for you to respond in real-time.

Oh and an easy way to get started is to just sign up for a free Podium account.

Issue: Scheduling Meetings

No one likes scheduling meetings at the best of times. Throw coronavirus into the mix and it becomes even more of a challenge. Should it be in-person or remote? Which platform should we use? What date and time work best?

Meeting schedulers are designed to handle the legwork for you. One of the best is Arrangr, which reserves tentative meeting times, automatically frees up untaken slots, and can even suggest the ideal location for all parties.

Another great option is Calendly. Integrating directly with your Google or Office 365 calendar, it gives you a personalized URL that allows customers to see your availability and schedule their preferred meeting time. Best of all, there’s a basic free plan available.

Issue: Email Automation

You can’t grow a local business at a time like this without doing some marketing.

Unfortunately, you likely don’t have time to build and execute complex campaigns.

That’s why you need email automation software! One of the most popular tools, Mailchimp, helps you send effective email marketing communications at scale. In fact, Mailchimp claims to boost open rates by 93% and click rates by 174% compared to the average bulk email.

Customer Relationship Management

Your customer relationships have never been more valuable than they are right now, so you need to manage them effectively. To do that, you need to invest in a customer relationship management (CRM) tool.

There are a bunch of CRMs aimed at local businesses, but HubSpot Sales Hub is one of the most popular. It’s loaded with sales engagement tools, pricing functionality to help you deliver complex quotes, and analytics software to measure what’s working (and what isn’t).

2. Improve Your Digital Marketing Strategy

In more “normal” times, you might not put a lot of thought into your marketing. Maybe you just write the occasional social post or send a couple of email promotions a month.

During times of uncertainty, that just won’t cut it. People have a lot on their minds right now, so that one baseball gif you tweeted isn’t going to have much impact.

You need a proper digital marketing strategy.

Let me give you an example: you sell business supplies to other local businesses.

Because you’re small and local, your big differentiator is your flexibility and bespoke approach. You can source whatever product your customer needs, your delivery times are rapid, and you’re easy to reach. That’s the sort of stuff you talk about in your marketing emails.

Well, wouldn’t it be good if you made that the foundation for a whole campaign?

Maybe you create a bunch of case studies and testimonials that show your unique selling point, (USPs), in action. You build a mailing list of local firms you’d love to do business with, and drip-feed your content to those prospects. Because you’ve built a whole strategy, you know the best times to reach those prospects, the platforms they use, and the sort of messaging that resonates with them.

That approach helps you strike up a conversation, which ultimately means you may close more deals.

3. Make Your Google My Business Profile Shine

Want people to see your name when they search on Google for businesses like yours? If you’re reading this article, I’m guessing you do, and that means you need a (good) Google My Business profile.

Setting up a free profile makes it more likely that your business shows up in relevant searches, along with useful information like:

  • The type of service you offer
  • Your opening times
  • Your address
grow local business google my business

Once you’ve set it up, optimize your Google My Business profile by:

  • Ensuring your information is accurate and comprehensive
  • Sharing business updates, like new opening hours or product launches
  • Asking customers for Google reviews (and responding to them)

On that last point, I know it can be hard persuading customers to review your business. They’re busy. They don’t want to spend their valuable time seeking out your Google My Business profile or Facebook Business Page.

Podium makes it a lot easier, helping you provide social proof that demonstrates your brand can be trusted. Text customers asking them for a review and they’ll be linked straight to your Facebook, Google, and Tripadvisor pages, so there’s hardly any clicks (and hardly any work) for them. That’s why Podium has powered more than 15 million business reviews for its users.

4. Create and Execute a Local Paid Marketing Strategy

Sometimes it takes money to make money. If you’re serious about growing your local business right now, you’ll want to consider investing in some sort of paid activity.

Google Ads can be super effective for smaller firms, especially web-based businesses targeting online traffic and/or conversions. Local keyword phrases like “lawyers near me,” or “realtor in Denver,” are typically a lot less competitive than broader, non-geographic terms like “realtor.” That means you could get a lot of visibility and clicks with a relatively small outlay.

In addition to Google Ads, consider advertising on social platforms like Facebook and LinkedIn.  Social ads are less intention-based than paid search because your audience isn’t actively looking for the thing you’re advertising.

However, ads on social media often cost less than Google Ads. For instance, if you’re a law firm, you’re paying on average $10.96 per click on Google Ads, but on Facebook, that figure drops to just $1.32.

5. Use Analytics to Track and Improve Site Performance

When times are hard, you need to squeeze every last dollar from your potential customers. Analytics software (like Google Analytics) can help you do that by allowing you to identify trends, plan new strategies, and measure the results of your current efforts.

Let’s say you’re a mechanic. You’ve just added a page to your site to promote a special offer on new tires. A month later, you click into Google Analytics and see that a bunch of people have landed on that page, but your conversion rate is low.

You compare it to other, similar pages on your site. They’re performing much better. Now you know there’s a problem, such as:

  • Your current offer is priced too high
  • Your new page isn’t engaging or persuasive enough
  • You don’t make it easy enough for customers to convert, so they leave
  • You don’t provide enough detail about the offer

By comparing against better-performing pages, you can tweak your approach and improve results.

6. Conduct Local Community Promotions

Now isn’t a good time to invite hundreds of people to a big party. But there are definitely opportunities for community engagement. You just need to get a little creative.

Say you’ve opened a new store in a location you haven’t served before. Maybe you target properties within a certain zip code, or on certain streets, with a special offer that encourages customers to visit your store.

Perhaps in the age of social distancing, you’ve introduced a new takeout service. Why not give customers in your area 10% off their first promotion, or combine it with a loyalty scheme? Tailor your offer to what your customers want right now, then promote it on Facebook, in the local press, via email marketing, or through direct mail.

7. Optimize Your Social Media Accounts

There are dozens of social platforms out there, but when it comes to growing a local business, you want to focus on those that give you the best reach, like:

  • Facebook
  • Twitter
  • Instagram
  • LinkedIn
  • Pinterest
  • YouTube
  • Tumblr

Finding the right platform will depend on the type of business you run. On a basic level, if you’re B2B, LinkedIn’s likely your best channel. Otherwise, almost everyone is on Facebook, but if your product is highly visual you might see more success on Instagram, Pinterest, or YouTube.

Whichever platform(s) you choose, you need to identify some tactics that ultimately help you sell more, like:

  • Showcasing and/or auctioning your products on Facebook Live
  • Starting conversations with new prospects in LinkedIn Groups
  • Setting up Instagram Shopping so people can browse your products in photos and videos while in-app

Conclusion

Growing a local business is never easy, and it’s certainly a whole lot harder right now.

However, if you’ve set up your own business, you’re likely comfortable with hustling for results. You’re naturally entrepreneurial and you’re driven to make this work.

Combine that attitude with the right growth strategies, and execute them effectively, and there’s no reason why you can’t come out of the pandemic in a stronger position.

What plans have you put in place to grow your business? How’s it going for you so far?

The post How to Grow Your Local Business During Uncertain Times appeared first on Neil Patel.

How to Grow Your Local Business During Uncertain Times

No doubt this is a hard time to grow a local business. Coronavirus has likely forced you to make big changes to the way you operate. It’s almost certainly hit your bottom line too. However, it’s still absolutely possible to grow your local business at a time like this. You just have to be smart … Continue reading How to Grow Your Local Business During Uncertain Times

Get Business Credit Cards That Don’t Report on Your Consumer Credit Reports During a Recession Downturn

Get business credit cards during a recession downturn – coronavirus or no coronavirus, this could be the perfect time for you to build your business credit history. So here are excellent cards where you can do just that.

You Can Get Business Credit Cards That Don’t Report on Your Consumer Credit Reports Even During a Recession Downturn

Learn how to make sure your business credit cards don’t report on your consumer credit reports. It makes a difference with business credit funding! You need business credit cards that do not report to personal credit. Even in a recession downturn!

Many small business credit cards require that the business owner to personally guarantee the debt. Usually this person is also the cardholder, although not all the time. But you want to apply for business credit card without personal guarantee. Don’t blame you! It would be a lot better to get an unsecured business credit card no personal guarantee.

That means that if the balance is not paid off for the business, then the owner will end up being responsible for the entire amount. It also means that business account activity could potentially spill over to the owner’s personal credit reports. It stinks to guaranty business credit!

But this depends upon each card issuer’s policy.

Policy Considerations

Some card issuers only report activity to the cardholder’s personal credit reports in the case of the owner defaulting. And there are others which will report all activity. And they will not distinguish between positive and negative activity.

The easiest way to keep business credit activity off your personal credit report is to use a business credit card which does not report business activity to personal credit bureaus. However, the decision to use a card such as this should not be made lightly. But no matter what, you don’t want these cards to report on your consumer credit reports.

So, is how to get a credit card without credit.

Report Activity During a Recession Downturn

Which is better? It all depends upon your situation. If you pay your business card on time and avoid high balances, then a ‘business’ card that appears on your personal credit reports with Experian, Equifax, and TransUnion should not be a problem.

It could even help your credit scores.

Utilization Issues

But if you charge everything you can on your card in order to rack up rewards, then your personal credit could conceivably suffer. Credit scoring models will take into consideration your debt usage or utilization ratio.

This compares the reported balances versus available credit limits. It is often for each card as well as all credit cards combined.

A high balance on a business card which appears on your personal credit can mean a higher debt usage ratio. And that can lower credit scores.

And paying the balance off in full every month alone is unlikely to solve this problem. The reported balance is often the balance as of the statement closing date and not after a payment has been made.

Therefore, if you want lower balances to get onto the reports, you need to make your payments before either the statement closing date, or whichever date the issuer reports.

Some Small Advantages

However, if your personal credit history is lacking, a business card which reports your full account activity could help. Hence if you avoid credit cards and use a debit card, you may have a “thin” credit profile. It could benefit from the boost another card could provide.

Opting for a business credit card which does not report to personal credit may help if you know there will be times you need to run up charges putting you close to the limit or carry a balance.

This could be for anything from investing in new equipment to spending to prepare for a trade show. Of course you do not want that activity to bring down your scores.

Using a Business Credit Card that Doesn’t Affect Personal Credit in a Recession Downturn

Generally, it’s better to apply for the business credit card which offers rewards and benefits of the most interest to you, rather than focusing solely on the card’s reporting policy.

Furthermore, if you default, then having a business credit card which does not report regularly to consumer credit bureaus will make no difference. You will still end up personally liable for the debt on the card if you signed a personal guarantee. This is not the way to get credit cards for businesses with no personal guarantee.

And you want a business credit card no personal guarantee required.

If the card issuer brings a lawsuit against you for the balance or sends the account to a collections agency, then this activity will likely show up on your personal credit report. That can happen regardless of how any other payment information is reported.

Another option in a Recession Downturn

Another way out is to use business credit cards that do not require a personal guarantee. However, those are few and far between. These sorts of cards ask you, the business owner, to meet a set of conditions which can differ from one product to another.

These could be annual sales guarantees. Or they might be requirements to have an open Dun & Bradstreet file or other conditions. If you cannot meet these conditions, then this option will not exist for your business at all.

Finally, as always, it literally pays to separate your business life from your personal life, by opening separate accounts and even incorporating your business, in order to demonstrate to creditors that you and your company are not the same when it comes to credit.

Build Business Credit During a Recession Downturn

So the truth is the best way to get around these problems is simply to build business credit! Don’t settle for credit cards that don’t do what you want. And don’t settle for a corporate business card that say ‘business’ on it, but is really a personal credit card in disguise.

You want it when business credit cards don’t report on your consumer credit reports. And such cards would not be them.

Every Small Business Needs Company Credit Building

Business credit is credit in a small business’s name. It doesn’t tie to an entrepreneur’s personal credit, not even when the owner is a sole proprietor and the only employee of the small business.

Because of this, an entrepreneur’s business and individual credit scores can be very different. And establishing business credit without personal guarantee is key.

The Advantages – Especially in a Recession Downturn

Given that small business credit is distinct from personal, it helps to safeguard a business owner’s personal assets, in case of litigation or business bankruptcy.

Also, with two distinct credit scores, a business owner can get two separate cards from the same merchant. This effectively doubles purchasing power.

Another advantage is that even startups can do this. Visiting a bank for a business loan can be a formula for disappointment. But building company credit, when done properly, is a plan for success. You could even get a business loan no personal guarantee.

Individual credit scores depend upon payments but also other elements like credit usage percentages.

But for small business credit, the scores actually merely hinge on if a company pays its invoices promptly.

Recession Downturn Credit Suite

Discover our business credit and finance guide, jam-packed with new ways to finance your business without emptying your wallet. Save your money during the recession!

The Process

Growing business credit is a process, and it does not occur automatically. A small business will need to actively work to build business credit.

That being said, it can be done readily and quickly, and it is much speedier than establishing personal credit scores.

Vendors are a big component of this process.

Carrying out the steps out of order will result in repetitive rejections. Nobody can start at the top with company credit. For example, you can’t start with store or cash credit from your bank. If you do you’ll get a rejection 100% of the time.

But done right, this is how to get business credit card without personal guarantee.

Business Fundability in a Recession Downturn

A business needs to be bona fide to lending institutions and merchants.

As a result a company will need a professional-looking web site and e-mail address. And it needs to have website hosting bought from a merchant like GoDaddy.

In addition company telephone and fax numbers should have a listing on ListYourself.net.

Likewise the company phone number should be toll-free (800 exchange or similar).

A company will also need a bank account dedicated solely to it, and it must have every one of the licenses necessary for running.

Licenses

These licenses all must be in the perfect, accurate name of the business. And they need to have the same company address and telephone numbers.

So keep in mind that this means not just state licenses, but possibly also city licenses.

Working with the IRS

Visit the Internal Revenue Service website and acquire an EIN for the business. They’re free of charge. Choose a business entity such as corporation, LLC, etc.

A small business can get started as a sole proprietor. But they will probably want to change to a variety of corporation or partnership.

This is in order to decrease risk. And it will make best use of tax benefits.

A business entity will matter when it pertains to tax obligations and liability in case of litigation. A sole proprietorship means the owner is it when it comes to liability and tax obligations. Nobody else is responsible.

Beginning the Business Credit Reporting Process

Start at the D&B web site and get a free D-U-N-S number. A D-U-N-S number is how D&B gets a company into their system, to produce a PAYDEX score. If there is no D-U-N-S number, then there is no record and no PAYDEX score.

Once in D&B’s system, search Equifax and Experian’s web sites for the business. You can do this at www.creditsuite.com/reports. If there is a record with them, check it for accuracy and completeness. If there are no records with them, go to the next step in the process.

In this manner, Experian and Equifax will have something to report on.

Recession Downturn Credit Suite

Discover our business credit and finance guide, jam-packed with new ways to finance your business without emptying your wallet. Save your money during the recession!

Vendor Credit

First you should establish trade lines that report. This is also known as vendor credit. Then you’ll have an established credit profile, and you’ll get a business credit score.

And with an established business credit profile and score you can begin getting retail store and cash credit.

These kinds of accounts tend to be for the things bought all the time, like shipping boxes, outdoor work wear, ink and toner, and office furniture.

But first off, what is trade credit? These trade lines are credit issuers who will give you starter credit when you have none now. Terms are usually Net 30, instead of revolving.

Therefore, if you get approval for $1,000 in vendor credit and use all of it, you must pay that money back in a set term, such as within 30 days on a Net 30 account.

Details

Net 30 accounts need to be paid in full within 30 days. 60 accounts have to be paid completely within 60 days. Unlike with revolving accounts, you have a set time when you must pay back what you borrowed or the credit you used.

To launch your business credit profile properly, you need to get approval for vendor accounts that report to the business credit reporting bureaus. When that’s done, you can then use the credit.

Then pay back what you used, and the account is on report to Dun & Bradstreet, Experian, or Equifax.

Vendor Credit – It Makes Sense

Not every vendor can help in the same way true starter credit can. These are merchants that will grant an approval with marginal effort. You also need them to be reporting to one or more of the big three CRAs: Dun & Bradstreet, Equifax, and Experian.

You want 3 of these to move onto the next step, which is retail credit.

Uline Shipping Supplies

Uline Shipping Supplies is a true starter vendor. You can find them online at www.uline.com. They offer shipping, packing, and industrial supplies, and they report to D&B.

You have to have a D-U-N-S number. They will request 2 references and a bank reference. The first few orders might need to be paid in advance to initially get approval for Net 30 terms. Also, you may have to buy some items you don’t need.

Crown Office Supplies

Crown Office Supplies is another true starter vendor. You can find them online at https://crownofficesupplies.com. They sell a variety of office supplies and take helping clients seriously. They state, “just starting your business, or maybe have an existing business, but you have a question regarding office supplies… we are here to help!” And they report to Dun and Bradstreet, Experian, and Equifax.

There is a $99.00 yearly fee, though they do report that fee to the business credit reporting bureaus. For other purchases to report, the purchase must be at least $30.00. Terms are Net 30.

Grainger Industrial Supply

Grainger Industrial Supply is also a true starter vendor. You can find them online at www.grainger.com. They sell safety equipment, plumbing supplies, and more, and they report to D&B. You will need to have a business license, EIN, and a D-U-N-S number.

For less than a $1000 credit limit they will approve almost any person with a business license.

Accounts That Do Not Report

Non-Reporting Trade Accounts can also be helpful. While you do want trade accounts to report to at the very least one of the CRAs, a trade account which does not report can also be of some worth.

You can always ask non-reporting accounts for trade references. Additionally credit accounts of any sort ought to help you to better even out business expenditures, thereby making budgeting less complicated. These are companies like PayPal Credit, T-Mobile, and Best Buy.

Recession Downturn Credit Suite

Discover our business credit and finance guide, jam-packed with new ways to finance your business without emptying your wallet. Save your money during the recession!

Retail Credit

Once there are 3 or more vendor trade accounts reporting to at least one of the CRAs, then move to retail credit. These are companies which include Office Depot and Staples. These companies are likelier to have supplies you need.

Use the company’s EIN on these credit applications. These are no personal guarantee business credit cards!

Fleet Credit

Are there more accounts reporting? Then progress to fleet credit. These are service providers such as BP and Conoco. Use this credit to purchase, fix, and take care of vehicles. Make certain to apply using the business’s EIN. These are business credit cards without personal credit. You will have start up business credit cards without personal guarantee.

Cash Credit

Have you been responsibly handling the credit you’ve gotten up to this point? Then move to more universal cash credit. These are service providers like Visa and MasterCard. Keep your SSN off these applications; use your EIN instead. These are business credit cards for new businesses without personal guarantee.

These are frequently MasterCard credit cards. If you have more trade accounts reporting, then these are feasible. Once you’re here, these become easy business credit cards no personal guarantee.

Monitor Your Business Credit in a Recession Downturn and Beyond

Know what is happening with your credit. Make certain it is being reported and fix any errors as soon as possible. Get in the practice of taking a look at credit reports. Dig into the details, not just the scores.

We can help you monitor business credit at Experian and D&B for 90% less.

At Equifax, you can monitor your account at: www.equifax.com/business/business-credit-monitor-small-business.

Update Your Information

Update the info if there are mistakes or the relevant information is incomplete. At D&B, you can do this at: https://iupdate.dnb.com/iUpdate/viewiUpdateHome.htm. For Experian, go here: www.experian.com/small-business/business-credit-information.jsp. And for Equifax, go here: www.equifax.com/business/small-business.

Fix Your Business Credit

So, what’s all this monitoring for? It’s to dispute any inaccuracies in your records. Errors in your credit report(s) can be fixed. But the CRAs generally want you to dispute in a particular way.

Get your small business’s PAYDEX report at: www.dnb.com/about-us/our-data.html. Get your company’s Experian report at: www.businesscreditfacts.com/pdp.aspx?pg=SearchForm. And get your Equifax business credit report at: www.equifax.com/business/credit-information.

Disputes

Disputing credit report errors generally means you send a paper letter with duplicates of any evidence of payment with it. These are documents like receipts and cancelled checks. Never send the originals. Always mail copies and keep the originals.

Fixing credit report inaccuracies also means you precisely spell out any charges you challenge. Make your dispute letter as crystal clear as possible. Be specific about the concerns with your report. Use certified mail so that you will have proof that you sent in your dispute.

Dispute your or your small business’s Equifax report by following the directions here: www.equifax.com/small-business-faqs/#Dispute-FAQs.

You can dispute errors on your or your company’s Experian report by following the instructions here: www.experian.com/small-business/business-credit-information.jsp.

And D&B’s PAYDEX Customer Service telephone number is here: www.dandb.com/glossary/paydex.

A Word about Building Business Credit During a Recession Downturn

Always use credit smartly! Don’t borrow more than what you can pay off. Keep track of balances and deadlines for repayments. Paying in a timely manner and fully will do more to raise business credit scores than just about anything else.

Establishing business credit pays off. Great business credit scores help a company get loans. Your lending institution knows the business can pay its debts. They understand the small business is for real.

The business’s EIN connects to high scores and you can start to get new business credit cards without personal guarantee.

Business credit is an asset which can help your company for years to come. It’s the best way to get corporate credit cards without personal guarantee.

Keep Your Business Credit Cards Off Your Consumer Credit Reports in a Recession Downturn: Takeaways 

Learn more here and get started toward getting the best business credit cards for you needs . And make sure your business credit cards don’t report on your consumer credit reports. This is the best way to successfully apply for business credit card no personal guarantee.

As you keep going, you can qualify for business credit lines with no personal guarantee. And it can all start with small business credit cards without personal guarantee. The COVID-19 situation will not last forever – and in the meantime, you can be getting amazing credit cards for your business.

The post Get Business Credit Cards That Don’t Report on Your Consumer Credit Reports During a Recession Downturn appeared first on Credit Suite.

Get Gas Cards for Small Business During the US Recession

The Very Best Gas Cards for Small Business During the US Recession

As the COVID-19 situation worsened, we took a look at a number of gas cards for small business and did the research for you. US recession or no US recession, you’ve got to fill your tank! So, here are our preferences.

Per the SBA, business credit card limits are a whopping 10 – 100 times that of personal credit cards! This demonstrates you can get a lot more money with small business credit. 

Small business credit is independent of the economy. Coronavirus or not, these credit cards are out there – but be aware that, as the situation drags on, some of the requirements could change. Always be sure to check the links directly to be sure to get 100% up to date information straight from the source.

And you will not need collateral, cash flow, or financials in order to get business credit.

The Benefits of Gas Cards for Small Business

Benefits can vary. So, make sure to select the benefit you like from this choice of options.

Build Business Credit During the US Recession with Excellent Gas Cards Via Our Business Credit Builder

Our Business Credit Builder is full of amazing business credit cards and that includes gas cards!

76

So, check out this card from 76. It reports to Dun & Bradstreet, Experian, and Equifax.

To Qualify:

  • Entity in good standing with Secretary of State
  • EIN number with IRS
  • Business address- matching everywhere.
  • D-U-N-S number
  • Licenses for your business (if applicable)
  • And a Company Bank account
  • If you’re not approved based on business credit history or been in business a 1 year, then a $500 deposit is needed or a Personal Guarantee (PG)

To Apply: Online or over the phone

Terms: Net 22

Get it here: 76fleet.com 

Marathon

Check out this great card from Marathon. It reports to Dun & Bradstreet, Experian, and Equifax.

To Qualify:

  • Entity in good standing with Secretary of State
  • EIN number with IRS
  • Business address- matching everywhere.
  • D-U-N-S number
  • Licenses for your business (if applicable)
  • Company Bank account
  • You can give a $500 deposit instead of using a personal guarantee if in business less than a year.

To Apply: Online 

Terms: Net 22

Get it here: marathonbrand.com 

Wex Fleet Card

And check out the Wex Fleet Card. It reports to Dun & Bradstreet, Experian, and Equifax.

To Qualify:

  • Entity in good standing with Secretary of State
  • EIN number with IRS
  • Business address- matching everywhere.
  • D-U-N-S number
  • Licenses for your business (if applicable)
  • Business Bank account
  • Business Phone Number Listed in 411
  • If you’re not approved based on business credit history or been in business a 1 year, then a $500 deposit is needed or a Personal Guarantee (PG)

To Apply: Online or over the phone

Get it here: onlineservices.secure.force.com/creditapplication/WexBOCA?pgm=WEXFleetUniversal&cc=BCOMPARE&lc=bcompare 

Terms:  Net 22 but can be extended to Net 30

Terrific Cards for Cash Back (A Supplement to Gas Cards in the US Recession)

Flat-Rate Rewards

Capital One ® Spark® Cash for Business 

Check out the Capital One® Spark® Cash for Business. It has an introductory $0 annual fee for the initial year. After that, this card costs $95 per year. There is no introductory APR offer. The regular APR is a variable 18.49%.

You can get a $500 one-time cash bonus after spending $4,000 in the first three months from account opening. Get unlimited 2% cash back. Redeem any time without minimums.

You will need good to superb credit to qualify.

Find it here: capitalone.com/small-business/credit-cards/spark-cash

US recession Credit Suite

Check out our Hybrid Credit Line funding. It’s a great complement to the best gas cards for small business during the US recession – and more!

Flat-Rate Rewards and No Yearly Cost

Discover it® Business Card

Check out the Discover it® Business Card. It has no annual fee. There is an introductory APR of 0% on purchases for one year. After that the regular APR is a variable 14.49 – 22.49%.

Get unlimited 1.5% cash back on all purchases, with no category restrictions or bonuses. They double the 1.5% Cashback Match™ at the end of the first year. There is no minimal spend requirement.

You can download transactions| easily to Quicken, QuickBooks, and Excel. Keep in mind: you will need great to superb credit to get approval for this card.

discover.com/credit-cards/business

Bonus Categories

Ink Business Cash℠ Credit Card

Have a look at the Ink Business Cash℠ Credit Card. It has no annual fee. There is a 0% introductory APR for the first 12 months. After that, the APR is a variable 14.74 – 20.74%. You can get a $500 one-time cash bonus after spending $3,000 in the initial three months from account opening.

You can get 5% cash back on the initial $25,000 spent in combined purchases at office supply stores and on web, cable and phone services each account anniversary year. 

Get 2% cash back on the first $25,000 spent in combined purchases at gas stations and restaurants each account anniversary year. Earn 1% cash back on all other purchases. There is no limit to the amount you can get.

You will need superb credit scores to qualify for this card.

Find it here: creditcards.chase.com/business-credit-cards/ink/cash?iCELL=61GF 

Boosted Cash Back Categories

Bank of America® Business Advantage Cash Rewards MasterCard® credit card

Have a look at the Bank of America® Business Advantage Cash Rewards MasterCard® credit card. Get an 0% introductory APR for the first 9 billing cycles of the account. After that, the APR is 13.74% – 23.74% variable. There is no yearly fee. You can get a $300 statement credit offer.

Get 3% cash back in the category of your choice. So these are gasoline stations (default), office supply stores, travel, TV/telecom & wireless, computer services or business consulting services. Get 2% cash back on dining. So this is for the first $50,000 in combined choice category/dining purchases each calendar year. After that get 1% after, with no limits.

You will need superb credit scores to qualify.

Find it here: promo.bankofamerica.com/smallbusinesscards2 

We also found cards which give bonuses for auto rental, because you might not be driving your own car when on business.

Company Credit Cards for Travel Points (Another Addition to Gas Cards in the US Recession)

Flat-rate Travel Rewards

Capital One® Spark® Miles for Business

Have a look at the Capital One® Spark® Miles for Business. It has an introductory yearly fee of $0 for the first year, which then rises to $95. The regular APR is 18.49%, variable due to the prime rate. There is no introductory annual percentage rate. Pay no transfer fees. Late fees go up to $39.

This card is excellent for travel if your expenses don’t fall into typical bonus categories. You can get unlimited double miles on all purchases, with no limits. Get 5x miles on rental cars and hotels if you book via Capital One Travel.

Get an initial bonus of 50,000 miles. That’s the same as $500 in travel. But you only get it if you spend $4,500 in the first 3 months from account opening. There is no foreign transaction fee. You will need a good to exceptional FICO score to qualify.

Find it here: capitalone.com/small-business/credit-cards/spark-miles 

Bonus Travel Categories with a Sign-Up Offer

Ink Business Preferred℠ Credit Card

For an excellent sign-up offer and bonus categories, check out the Ink Business Preferred℠ Credit Card. 

Pay a yearly fee of $95. Regular APR is 17.49 – 22.49%, variable. There is no introductory APR offer.

Get 100,000 bonus points after spending $15,000 in the initial three months after account opening. This works out to $1,250 towards travel rewards if you redeem with Chase Ultimate Rewards.

Get 3 points per dollar of the first $150,000 you spend with this card. So this is for purchases on travel, shipping, internet, cable, and phone services. Plus it includes advertising purchases made with social media sites and search engines each account anniversary year.

You can get 25% more in travel redemption when you redeem for travel using Chase Ultimate Rewards. You will need a good to superb FICO score to qualify.

Find it here: creditcards.chase.com/business-credit-cards/ink/business-preferred 

No Yearly Fee

Bank of America® Business Advantage Travel Rewards World MasterCard® credit card

For no yearly fee while still getting travel rewards, take a look at this card from Bank of America. It has no yearly fee and a 0% introductory APR for purchases during the initial nine billing cycles. After that, its regular APR is 13.74 – 23.74% variable.

You can get 30,000 bonus points when you make a minimum of $3,000 in net purchases. So this is within 90 days of your account opening. You can redeem these points for a $300 statement credit towards travel purchases.

Earn unlimited 1.5 points for each $1 you spend on all purchases, everywhere, every time. And this is no matter how much you spend.

Likewise earn 3 points per every dollar spent when you schedule your travel (car, hotel, airline) through the Bank of America® Travel Center. There is no limit to the number of points you can earn and points do not expire.

You will need excellent credit scores to get this one (as in, 700s or better).

Find it here: bankofamerica.com/smallbusiness/credit-cards/products/travel-rewards-business-credit-card

Hotel Credit Card

Marriott Bonvoy Business™ American Express® Card

Have a look at the Marriott Bonvoy Business™ Card from American Express. It has an annual fee of $125. There is no introductory APR offer. The regular APR is a variable 17.24 – 26.24%. You will need great to superb credit scores to get this card.

Points

You can earn 75,000 Marriott Bonvoy points after using your card to make purchases of $3,000 in the initial three months. Get 6x the points for qualified purchases at participating Marriott Bonvoy hotels. You can get 4x the points at US restaurants and filling stations. And you can get 4x the points on wireless telephone services bought directly from American service providers and on American purchases for shipping.

Get double points on all other eligible purchases.

Rewards

Also, you get a free night every year after your card anniversary. And you can get one more free night after you spend $60,000 on your card in a calendar year.

You get complimentary Marriott Bonvoy Silver Elite status with your Card. Plus, spend $35,000 on eligible purchases in a calendar year and earn an upgrade to Marriott Bonvoy Gold Elite status through the end of the following calendar year.

Plus, each calendar year you can get credit for 15 nights towards the next level of Marriott Bonvoy Elite status.

Find it here: creditcard.americanexpress.com/d/bonvoy-business

US recession Credit Suite

Check out our Hybrid Credit Line funding. It’s a great complement to the best gas cards for small business during the US recession – and more!

Dependable Credit Cards for Fair to Poor Credit, Not Calling for a Personal Guarantee (get Rideshare Points – to Supplement Your Gas Cards)

Brex Card for Startups

Look into the Brex Card for Startups. It has no yearly fee.

You will not need to supply your Social Security number to apply. And you will not need to provide a personal guarantee. They will take your EIN.

However, they do not accept every industry. 

Likewise, there are some industries they will not work with, and others where they want added paperwork. For a list, go here: brex.com/legal/prohibited_activities.

To determine creditworthiness, Brex checks a corporation’s cash balance, spending patterns, and investors.

So you can get 7x points on rideshare. Get 4x on Brex Travel. Also, get triple points on restaurants. And get double points on recurring software payments. Get 1x points on everything else.

You can have poor credit (even a 300 FICO) to qualify.

Find it here: brex.com/lp/startups-higher-limits

US recession Credit Suite

Check out our Hybrid Credit Line funding. It’s a great complement to the best gas cards for small business during the US recession – and more!

The Best Gas Cards for Small Business for You During the US Recession and Beyond

So your outright best gas cards for small business will always hinge on your credit history and scores.

Only you can pick which features you want and need. So make sure to do your homework. What is outstanding for you could be catastrophic for another person.

And, as always, make certain to establish business credit in the recommended order for the best, quickest benefits. The US recession won’t last forever. And with these credit cards and a good payment history, you can emerge from the US recession even better off than you were before.

The post Get Gas Cards for Small Business During the US Recession appeared first on Credit Suite.

Fund your Business with Crowdfunding During a Financial Recession

Financial Recession Got You Down? Then Fund Your Business with Crowdfunding

There are thousands of businesses using crowdfunding to raise money to fund their next business venture. For some entrepreneurs, crowdfunding is the ticket to financial independence. Starting a new business without adding debt or taking out equity, can be unheard of for startups. But with a little planning and creative marketing, starting a new business can be more enjoyable than disappointing. Yes, you can fund your business with crowdfunding, even during a financial recession.

Financial Recession Period Funding

The number of American financial institutions and thrifts has been decreasing slowly for a quarter of a century. This is from consolidation in the market along with deregulation in the 1990s, minimizing obstacles to interstate banking. See: https://www.fundera.com/blog/happened-americas-small-businesses-financial-crisis-six-years-start-crisis-look-back-10-charts

Assets concentrated in ever‐larger financial institutions is troublesome for local business proprietors. Big banks are a lot less likely to make small loans. Economic recessions imply banks become more careful with financing. The good news is, business credit does not count on financial institutions.

Beating the Financial Recession: What’s Crowdfunding All About?

Crowdfunding gives today’s business owner a new way to build a successful business. Don’t be fooled. Not everyone with a campaign on a crowdfunding site becomes an automatic millionaire! Success on crowdfunding doesn’t happen overnight. In fact, being an instant success on a crowdfunding site doesn’t usually happen. To succeed at crowdfunding, do your due diligence. And see if you would be successful at crowdfunding.

Beating the Financial Recession: What’s a Good Crowdfunding Platform?

Find which crowdfunding platform is best to use for your business. Kickstarter and Indiegogo are two of the most popular crowdfunding platforms to use. If you’re like most new business owners, you’re looking for investors. Before you start putting your campaign out there, make sure that you have everything ready and perfect. This way, you can get the investors that you want to fund your campaign.

Beating the Financial Recession: How Do You Get Creative With Crowdfunding?

Trying to get the investors you want will take time. You need to brainstorm, create, and perfect the right pitch that gets investors pouring money into your campaign. To help you get your campaign started in the right direction, use this quick guide.

Getting the Best Crowdfunding Platform For Your Needs

Pick a Crowdfunding Platform. Before you get started with your campaign, pick a crowdfunding platform that’s the right fit for you. There are several crowdfunding platforms to choose from. Kickstarter and Indiegogo are two to start looking into.

And you need to be aware of what you are doing when you’re developing your campaign. If you’re raising rewards and not investments, then Kickstarter and Indiegogo should be on your list.

Kickstarter is great to use for creative projects, but it’s all or none. This means that if you don’t raise 100% of your initial funding goal, then you don’t keep the pledged money. Indiegogo is a little different from Kickstarter. If you choose to pay up to 9% of your funds raised, then you can keep the funds pledged to your campaign. The only drawback is that your project will need some minimum funding to work.

GoFundMe is another choice; they let you keep the money even if you don’t meet your goal.

Beating the Financial Recession: Crowdfunding Pitches

Prepare and Get your Pitch Perfect. Remember that the content in your campaign is vying for the attention of your potential investor and client. There are so many other distractions that pull for the attention of your viewers. For this reason, your pitch and its messaging has to grab their attention immediately. Once you get their attention, you can’t stop there. You’ll want to keep your viewers engaged, which means that you need to have a great story to tell about yourself or your project.

Pitch Videos

Your pitch video will need to be good. Use a professional to film it and develop the script. Unable to afford professionals? Then try schools, both pupils and instructors.

Your script doesn’t need to be word for word but you must have points you want to make and not babble. Create a script and stay with it. This is not the right time to wing it.

Show the Evidence

If you have physical evidence of your project, then make sure to show it in your campaign video and on your campaign web page. This means an image of your spa’s sign or a short video recording of your prototype robot.

Address Skepticism

A great deal of people don’t trust crowdfunding. A photo and a tangible thing will go a long way to demonstrating to them that your project isn’t vaporware.

Good Manners Matter

Say please, thank you, and you’re welcome to everyone. Use these magic words in your pitch and in your interactions with your donors. And use them in the cover letters you deliver with your perks (even virtual perks can include a cover e-mail). You don’t need to grovel, but you must be polite.

Financial Recession Credit Suite

Demolish your funding problems with our rock-solid guide about 27 killer ways to get cash for your business. Get money even during the worst of a recession.

Don’t Be Greedy!

If you need $250,000 for your campaign, but you ask for $1,000,000, that does not do anyone any good.

You’ll just seem like you want to bum off others’ generosity. As an alternative, explain your overhead as transparently as possible. Because if you misuse your funds, you may find yourself in an unpleasant meeting with your state’s attorney general. So be truthful!

Beating the Financial Recession: Crowdfunding and Focusing on Your Investors

Focus On What You’re Giving to Your Investors. One of your goals in crowdfunding is to raise funding. But you need to focus on your investors. You want to create rewards or terms that will help you raise the money that you want. When developing the rewards for investors and backers, have your rewards tie back into your story.

One way to come up with a great reward for your campaign is to check out the most successful campaigns which raised the most money.

Donor Strategy

Line up the most significant and most reliable donors you can before you start. Tell your mother to postpone handing over her donation till you launch your campaign.

And ask them (nicely!) to release their money at a very specific time. Which time? The first or final day of the campaign. Separate the expected funding as well as you can. If the split isn’t around half and half, then ask for more to come on the final day of the campaign. Make the most of the novelty factor of the very first day of the campaign, or the urgency factor of the very last.

It’s like a busker with a few of her own dollars in her hat. To motivate people to donate, you want your biggest donors to show other donors that they believe in you and your project. It helps if they tell other donors that they’d best get in on investing in your company before the opportunity ends.

Beating the Financial Recession: Crowdfunding Supporter Engagement

Get Supporter Engagement. Don’t make the common mistake of not engaging the people in your network of friends, family, and supporters. When creating a campaign, be ready to start funding once you launch everything. It’s especially important if you are using equity crowdfunding. Supporter engagement is vital. Because these people are your stakeholders, advisors, board members, partners, and existing investors.

Courtesy Counts

Be gracious if your campaign fails. Even with GoFundMe (where you can keep the money even if you fall short), you still may not get enough to make a significant dent in your funding needs. If you wanted $100,000 and you only got $500, your best option may be to give back the cash.

If you almost got there with $95,000, then thank everybody who donated. See what you can do, although there’s a deficiency. And tell them what you are doing! Perhaps you’ll buy your building next year, or hire four people as opposed to five.

Once more, give your donors a stake in and an inside look at your startup. This will help them to feel invested. And they may decide to make up the shortfall themselves. Just because your crowdfunding campaign ends doesn’t mean a donor can’t send a check or buy more goods or services. If that comes about, then politeness is crucial.

Financial Recession Credit Suite

Demolish your funding problems with our rock-solid guide about 27 killer ways to get cash for your business. Get money even during the worst of a recession.

Beating the Financial Recession: Finding Influencers

Get to know Notable Investors. Get the attention of people who have never heard of your project before. One of your main goals should be to get people, organizations, and businesses that are familiar with you involved with your campaign. And ask them to spread the word. This sort of networking can only help you.

Social Media

Share your campaign on social networks and ask your friends and family to do so, too. Tweet the link. Add it as a Facebook status. Turn it into a Tumblr blog post or a snap on Snapchat or publish a blog post about it. Ask your network to distribute the link. The best technique to get your network to help you out is by assisting them in return. If your nephew’s band is on Facebook, share their page, or tweet about it.

Be a cooperative member of your own personal community. Then your online community will be more likely to help you out when you ask. And rerun these social media posts. Consider time zones and our all-too busy lives. People might not see your message the first time around. Mix it up and send it at irregular hours. Use scheduling software such as HootSuite for this. This includes what is the middle of the night where you live.

Beating the Financial Recession: Crowdfunding Strategy

Plan your Marketing and Outreach Strategy. You will need to put hours into creatively marketing your campaign before it launches. Successful campaign owners spend hours developing a plan that will market their campaign. And they have a defined goal that raises funding efforts both online and offline.

COVID-19 funding Credit Suite

Demolish your funding problems with our rock-solid guide about 27 killer ways to get cash for your business. Get money even during the worst of a recession.

Stretch Goals

Your stretch goals should be a mix of easy to get and pie in the sky. If you are crowdfunding for $100,000, a pretty easy to meet stretch goal is $125,000.

Pie in the sky will be more like $300,000. Make it clear what you will do with any added cash if you are fortunate enough to get it. Will you buy the property your startup is in? Hire five more people? Replace your worn out equipment? Open a brand-new market on some other continent? Let your donors know what you are striving for, so they can dream with you.

Beating the Financial Recession: Takeaways

Starting a new business venture doesn’t have to be restrictive or stressful. This is especially when you know how to use crowdfunding and its various platforms. Crowdfunding can be another way to fund your business or a new project without having to pay for upfront marketing costs. And you get to keep your equity!

As a business owner, you should always look for ways to grow your business. And by using crowdfunding you can provide your business with new avenues to get funding.

The post Fund your Business with Crowdfunding During a Financial Recession appeared first on Credit Suite.

Get a Credit Line for Your Business During a Business Contraction

So, you’re finally doing it. You took the plunge and you started your own small business. But there is so much you need! Whether it is renovations for your location or payroll or the ramp-up costs for getting manufacturing started, all of those things need money. You need to get a credit line for your business, even though we’re in the midst of a business contraction.

Because you are not made of money.

But your business is new, so its credit score is not so hot. As a result, you are probably wondering how to finance a business with bad credit.

But let’s step back a little, because you should also be thinking about where to establish business credit.

Fight the Business Contraction and Get a Credit Line For Your Business

Recession Period Financing

The number of United States banks as well as thrifts has been decreasing progressively for a quarter of a century. This is coming from consolidation in the market along with deregulation in the 1990s, lowering obstacles to interstate banking. See: https://www.fundera.com/blog/happened-americas-small-businesses-financial-crisis-six-years-start-crisis-look-back-10-charts 

Assets focused in ever‐larger banks is problematic for local business owners. Big banks are much less likely to make small loans. Economic downturns indicate banks end up being a lot more mindful with financing. Luckily, business credit does not depend on banks. And it doesn’t matter what happens with COVID-19.

Get a Credit Line for Your Business: What a Credit Line Is

A credit line, or line of credit (LOC), is an arrangement between a borrower and a financial institution or private investor which sets a maximum loan balance that a borrower can access.

A borrower can access funds from their line of credit anytime, so long as they don’t go over the maximum set in the agreement, and as long as they meet any other requirements of the financial institution or investor for example, making on time payments. This is the same whether the economy is going through a business contraction or not.

The Advantages

Credit lines offer many unique benefits to borrowers including convenience. Borrowers can use their line of credit and only pay interest on what they use, unlike loans where they pay interest on the total amount borrowed. Credit lines can be reused, so as you acquire a balance and pay that balance off, you can use that accessible credit again, and again.

Details

Credit lines are revolving accounts similar to credit cards, and compare to other kinds of financing such as installment loans. In many cases, lines of credit are not secured, much the same as credit cards are. There are some credit lines which are secured, and thus easier to qualify for.

Credit lines are the most routinely requested loan type in the business world even though they are preferred, true credit lines are uncommon, and hard to find. Many are also very hard to qualify for, requiring good credit, good time in business, and good financials. But there are other credit cards and lines that few people know about that are available for start-ups, poor credit, as well as if you have absolutely no financials.

Try the SBA During a Business Contraction

A lot of credit line types that most business owners imagine come from conventional banks and traditional banks use SBA loans as their prime loan product for small business owners. This is because SBA guarantees as much as 90% of the loan in the event of a default. These credit lines are the most difficult to qualify for because you must qualify with SBA and the bank.

Get a Credit Line for Your Business with SBA Loans and CAPLines, Even During a Business Contraction

There are two fundamental sorts of SBA loans you can normally get. One form is CAPLines. There are actually 4 types of CAPLines that can work for your small business.

You can also get a lower loan amount more rapidly using the SBA Express program. A lot of these programs offer BOTH loans and revolving lines of credit. 

From the SBA … “CAPLines is the umbrella program under which SBA helps business owners meet short-term and cyclical working capital needs”. Loan amounts are offered up to and including $5 million. Loan qualification prerequisites are the same as with other SBA programs.

Seasonal Line

This one advances against expected inventory and accounts receivables. It was developed in order to help seasonal businesses. Loan or revolving are available. 

Contract Line

This one finances the direct labor and material costs of executing assignable contracts. Loan or revolving types are offered.

Builders Line

This one was made for general contractors or builders constructing or renovating commercial or residential buildings. This line is for finance direct labor-and material costs, where the building project serves as the collateral. Loan or revolving kinds are available.

Working Capital

Borrowers must use the loan proceeds for short term working capital/operating needs. If the proceeds are used to acquire fixed assets, lender must refinance the portion of the line used to acquire the fixed asset into an appropriate term facility no later than 90 days after lender discovers the line was used to finance a fixed asset.

SBA Express

You can get approval for as much as $350,000. Interest rates differ, with SBA enabling banks to charge as high as 6.5% over their base rate. Loans above $25,000 will need collateral.

Approval Details

To get approval you’ll need good personal and business credit. Plus the SBA states you should not have any blemishes on your report. An acceptable bank score requires you have at least $10,000 in your account over the very last 90 days. 

You’ll likewise need a resume showing you have industry experience and a well put together business plan. You will need three years of business and personal tax returns, and your business returns should show a profit. And, you’ll need a recent balance sheet and income statement, therefore showing you have the cash to repay the loan.

Collateral

To get approval you’ll need account receivables, but only if you have them. As for the collateral to counterbalance the risk, usually all business assets will function as collateral, and some personal assets including your home. It’s not unusual to need collateral equivalent to 50% or more of the loan amount. You also need articles of incorporation, business licenses, and contracts with all third parties, and your lease.

Get a Credit Line for Your Business from Private Investors and Alternative Lenders During a Business Contraction

Recession Business Credit Lines Credit SuitePrivate investors and alternative lenders also grant credit lines. These are a lot easier to qualify for than conventional SBA loans. They also call for much less documentation for approval. These alternative SBA credit lines ordinarily demand good personal credit for approval.

Unlike with SBA, many of them don’t demand good bank or business credit approval. Almost all of these types of programs call for two years’ of tax returns. Tax returns have to show a profit. Rates can vary from 7% or greater and loan amounts range from $25,000 into the millions. Loan amounts are generally based upon the revenues and/or profits on tax returns. At times lenders may ask for other financials including a profit and loss statement, balance sheets, and income statements.

Business Contraction Recession Credit Suite

Check out how our reliable process will help your business get the best business credit cards and lines, even during a recession.

Merchant Cash Advances in a Business Contraction

Merchant cash advances have quickly become the most popular way to get financing, in large part because of the effortless qualification process. Businesses with $10,000 in profits can get approval, with the business owner having scores as low as 500. 

Some sources have now even begun to offer credit lines that accompany their loans. You must have at least $10,000 in revenue for approval. You ought to be in business for at minimum one year, however three years is better. Lenders commonly want to see a credit score of 650 or higher for approval.

Loan amounts are ordinarily around $20,000. Lenders frequently do pull your business credit, so you must have some credit already and sometimes lenders will want to see tax returns. 

Rates vary, due to the risk for this program, and there aren’t a lot of funding sources who offer it.

Securities as Collateral for Financing

You can get financing regardless of personal credit if you have some type of stocks or bonds. You can also get approval if you have someone wishing to use their stocks or bonds as collateral for financing. 

Personal credit quality doesn’t matter as there are no consumer credit criteria for approval. You can get approval for as much as 90% of the value of your stocks or bonds. Rates are commonly below 2%, making this one of the lowest rate credit lines you’ll ever see. You can still earn interest as you typically do on your stocks and bonds.

Credit Cards and Lines are Very Similar

Credit cards often offer 0% intro rates for up to two years. This is also extremely valuable for startups in particular. And credit lines let you take out more cash at a much cheaper rate than do cards. These are the main two differences that will affect you between credit cards and credit line. 

Investopedia even says that “lines of credit are potentially useful hybrids of credit cards.”

Both cards and lines are revolving credit. Credit lines are harder to qualify for as card approvals are generally very quick, many times automated, while line require an in-depth underwriting review. Lines usually offer lower rates, per Bankrate card rates average 13% while lines average 4%.

Business Contraction Recession Credit Suite

Check out how our reliable process will help your business get the best business credit cards and lines, even during a recession.

Unsecured Business Credit Cards During a Business Contraction

A lot of these cards report to the consumer credit reporting agencies. They all call for a personal guarantee from you. You can get approval typically for one card max as they discontinue approving you when you have two or more inquiries on your report.

Most credit card companies furnish business credit cards including Capital One, Chase, and American Express. These have rates similar to consumer rates and limits are also similar. 

Some of them report to the consumer reporting agencies, some report to the business bureaus. Approval requirements resemble consumer credit card accounts.

Inquiries

Typically, when you apply for a credit card you put an inquiry on your consumer report. When other lenders see these, they will not approve you for more credit since they have no idea how much other new credit you have recently obtained. 

So they’ll only approve you if you have no more than two inquiries on your report within the most recent six months. Any more will get you declined.

Grab Our Hybrid Credit Line During a Business Contraction

Check out our credit line hybrid. It’s available for all business owners. Get the benefit of 0% rates cards offer, and the cash out capability of a credit line. Get approvals to $150,000. Pay 0% rates for 6 – 18 months, with normal card rates afterwards. No documentation, no tax returns or bank statements are necessary. This program is ideal for startups, high-risk industries, and those who desire low payments. It also works if you don’t want to supply financials.

Our credit line hybrid is a superb choice during this time of economic uncertainty.

With this form of business financing, you work with a lender who concentrates on securing business credit cards. This is a very unusual, very few know about program which few lending sources offer. They can in most cases get you three to five times the approvals that you can get on your own.

This is because they are familiar with the sources to apply for, the order to apply, and can time their applications so the card issuers won’t decline you for the other card inquiries. Individual approvals frequently range from $2,000 – 50,000.

The end result of their services is that you frequently get up to five cards that simulate the credit limits of your highest limit accounts now. Multiple cards create competition, and this means they will raise your limits, generally within 6 months or less of first approval.

Approvals

Approvals can go up to $150,000 per entity such as a corporation. They actually get you three to five business credit cards that report solely to the business credit reporting agencies. This is huge, something most lenders don’t offer or advertise. Not only will you get cash, but you build your business credit as well so in three to four months, you can then use your new company credit to get even more money.

Details

You get credit with no security, assets, or collateral. Lender has no collateral to collect in case of default. Because there is no collateral, and they don’t look or care about your cash flow, the only thing that matters is your personal credit.

With a 650 you will get just personal cards. But with a 680 credit score, you will get both company and personal cards.

Rates

The lender can also get you low introductory rates, usually 0% for 6-18 months. You’ll then pay normal rates after that, typically 5-21% APR with 20-25% APR for cash advances. And they’ll also get you the best cards for points. So this means you get the best rewards.

Like with anything, there are substantial benefits in working with a source who specializes in this area. The results will be far better than if you try to go at it on your own.

Business Contraction Recession Credit Suite

Check out how our reliable process will help your business get the best business credit cards and lines, even during a recession.

Qualifications

You need to have excellent personal credit now, ideally 685 or better scores, the same as with all business credit cards. You shouldn’t have any negative credit on your report to get approval. And you must also have open revolving credit on your consumer reports right now.

Balance/Limit Ratios

They consider your balance/limit ratios on existing revolving accounts. The lower the ratio, the higher the amount of approval. A 30% ratio is a requirement. This looks at overall percentage, and individual percentage on each account.

Credit inquiries are a big factor tying into approval. More than six inquires in six months will be too much. Lenders do not want to see the person is applying for new credit, especially no other revolving accounts.

Guarantors Welcome

Use a guarantor or a credit partner to boost the numbers. Generally these people want a piece of the business in trade for their help. Creditors want to know you’ll pay them back. Most sources will charge 9 to 12% success-based fees. Only pay the fee off what you secure.

Fees

All lenders in this space charge a 9-15% success based fee and you only pay the cost off of what you secure. Bear in mind, you get a number of additional benefits and about three to five times more cash using this program than you can get on your own, which is why there’s a fee, the same as all other lending programs.

You can get approval using a guarantor and you can even use a number of guarantors to get even more money. There are also other cards you can get making use of this very same program but these cards only report to the consumer reporting agencies, not the business reporting agencies. They are consumer credit cards versus business credit cards.

Benefits

They furnish similar benefits including 0% intro annual percentage rates and five times the amount of approval of a single card but they’re a lot easier to qualify for. 

You can get approval with a 650 score and seven inquiries (or fewer) in the most recent six months and you can have a bankruptcy on your credit and other derogatory items. These are a lot easier to get approval for than company credit cards.

With all preceding cards above, you must have good consumer credit in order to get approval but what if your personal credit is not good, and you don’t have a guarantor? 

This is when building company credit makes a ton of sense even when you have good personal credit, setting up your company credit helps you get even more money, and in the absence of a personal guarantee.

Establishing Company Credit During a Business Contraction

Business credit is credit in a business name, in association with the business’s EIN number, and not the owner’s Social Security Number. When carried out properly, you can obtain company credit without any personal credit check and no personal guarantee. This is a thing all other cards above can’t provide.

You can get three types of business credit cards. First is vendor credit, which offers net 30 terms to launch a business credit profile. Then is retail credit, where you will get credit cards with high limits at most shops. 

Next is fleet credit. It’s credit to fuel, service, and maintain business vehicles. And then there’s cash credit, which includes Visa, MasterCard, and American Express cards that you can use anywhere. You can obtain these without any credit check or guarantee. Limits are regularly $5,000 – $10,000 to begin, and can exceed $50,000.

Credit Lines in a Business Contraction: Takeaways

You can get a credit line for your business, if you know where to look. Learn more here and get started toward building company credit, even during a business contraction. The COVID-19 situation will not last forever.

The post Get a Credit Line for Your Business During a Business Contraction appeared first on Credit Suite.

Six Ways to Creatively Fund a Startup Without Using Equity During a Recession Cycle

Creative Recession Cycle Funding For New Businesses

As an entrepreneur, raising money for your new startup business can seem hard to execute. You’ve probably seen dozens of competition funds out there, so you have chances to secure funding. Ultimately, you want funding for your startup to come from investors. But getting investors can be impossible for a new startup. Recession cycle funding for startups can happen.

Using your equity might seem like the best idea to fund your business as you wait for investors to come. Most new startup business owners, fall prey to taking out the equity to fund the business before the revenue starts rolling in. You don’t have to take out equity to fund your startup. It’s not necessary. The success of your business solely comes from decisions you make as the business owner.

Here are some ways to creatively make money for your new startup without taking out of your equity.

Recession Era Funding

The number of United States financial institutions as well as thrifts has been decreasing progressively for a quarter of a century. This is from consolidation in the marketplace along with deregulation in the 1990s, decreasing barriers to interstate banking. See: https://www.fundera.com/blog/happened-americas-small-businesses-financial-crisis-six-years-start-crisis-look-back-10-charts

Assets focused in ever‐larger financial institutions is problematic for small business proprietors. Big banks are a lot less likely to make small loans. Economic recessions mean banks become extra mindful with lending. The good news is, business credit does not depend on financial institutions.

Recession Cycle Funding: Crowdfunding

Use Kickstarter. There’s a method to the madness in using Kickstart to fund your startup. First, do your research before pitching your idea to Kickstarter. Find out if there’s another project they have approved like your startup. So if they deny your idea, refer to similar projects they have approved. And when you ask for money from Kickstarter, be realistic and ask for money to help you survive for a few months. Don’t forget to spread the word to your friends and family asking them to help fund your start up.

Recession Cycle Funding: Bootstrap

Put your Money in First. When you first start out, tap into your own saving accounts, home equity, retirement accounts, etc. This might seem a bit risky, but you should invest in your own startup venture before you expect other investors to put money into it. Most investors will want to see the owners of the business have invested some of their own cash in the business to show confidence.

But there can be some issues with bootstrapping your business.

Still, here are some ways to bootstrap to build more financial resources.  

Share and Save on Services and Equipment

Share office services and equipment. You’ll probably need to get a co-work space where you can share the office space and equipment with other business owners. This will help you cut the cost of renting an office space and paying the high monthly rent.

Use the computers and servers you have. Don’t go out and buy new equipment when you start your startup. Use the computers, software, and desks, etc., you already have. Don’t spend extra money renting new equipment.

Recession Cycle Funding: Grants

Pursue non-dilutive capital. Look for government grants to get more money for your startup. Cities and states have grant programs offering low-interest rates on loans. Having access to these resources give startups the ability to qualify for large sums of money.

Recession Cycle Funding: Startup Business Credit Cards

Business credit cards can be a great way to get a startup off the ground.

We looked at a number of business credit cards, and did the research for you. So here are our picks.

Per the SBA, business credit card limits are a whopping 10 – 100 times that of personal cards!

You can get a lot more money with business credit. And you can still have personal credit cards at stores. So you would now have an added card at the same stores for your company.

You don’t need collateral, cash flow, or financials to get business credit. This is still true during a recession cycle.

Benefits can vary. So, make certain to choose the benefit you would prefer from this assortment of alternatives.

Dependable Credit Cards for Fair to Poor Credit, Not Calling for a Personal Guarantee

Brex Card for Startups

Look into the Brex Card for Startups. It has no annual fee.

You will not need to provide your Social Security number to apply. And you will not need to supply a personal guarantee. They will take your EIN.

Nonetheless, they do not accept every industry.

Likewise, there are some industries they will not work with, as well as others where they want added documentation. For a list, go here: https://brex.com/legal/prohibited_activities/.

To determine creditworthiness, Brex checks a business’s cash balance, spending patterns, and investors.

You can get 7x points on rideshare. Get 4x on Brex Travel. Also, get triple points on restaurants. And get double points on recurring software payments. Get 1x points on everything else.

You can have poor credit scores (even a 300 FICO) to qualify.

Find it here: https://brex.com/lp/startups-higher-limits/

Secure Business Credit Cards for Fair Credit

Capital One® Spark® Classic for Business

Take a look at the Capital One® Spark® Classic for Business. It has no yearly fee. There is no introductory APR offer. The regular APR is a variable 24.49%. You can earn unlimited 1% cash back on every purchase for your company, without any minimum to redeem.

While this card is within reach if you have fair credit scores, beware of the APR. But if you can pay on schedule, and in full, then it’s a bargain.

Find it here: https://www.capitalone.com/small-business/credit-cards/spark-classic/

Recession Cycle

Establish business credit fast and beat the recession with our research-backed guide to 12 business credit cards and lines.

Exceptional Business Credit Cards with No Yearly Fee

No Yearly Fee/Flat Rate Cash Back

Ink Business Unlimited℠ Credit Card

Check out the Ink Business Unlimited℠ Credit Card. Past no yearly fee, get an introductory 0% APR for the first one year. After that, the APR is a variable 14.74 – 20.74%.

You can get unlimited 1.5% Cash Back rewards on every purchase made for your company. And get $500 bonus cash back after spending $3,000 in the first 3 months from account opening. You can redeem your rewards for cash back, gift cards, travel and more through Chase Ultimate Rewards®. You will need excellent credit to get approval for this card.

Find it here: https://creditcards.chase.com/business-credit-cards/ink/unlimited

Recession Cycle

Establish business credit fast and beat the recession with our research-backed guide to 12 business credit cards and lines.

Company Credit Cards with a 0% Introductory APR – Pay Zero!

Blue Business® Plus Credit Card from American Express

Take a look at the Blue Business® Plus Credit Card from American Express. It has no yearly fee. There is a 0% introductory APR for the first 12 months. After that, the APR is a variable 14.74 – 20.74%.

Get double Membership Rewards® points on everyday company purchases like office supplies or client dinners for the first $50,000 spent annually. Get 1 point per dollar afterwards.

You will need great to outstanding credit scores to qualify.

Find it here: https://creditcard.americanexpress.com/d/bluebusinessplus-credit-card/

American Express® Blue Business Cash Card

Also have a look at the American Express® Blue Business Cash Card. Note: the American Express® Blue Business Cash Card is identical to the Blue Business® Plus Credit Card from American Express. But its rewards are in cash instead of points.

Get 2% cash back on all eligible purchases on up to $50,000 per calendar year. After that get 1%.

It has no yearly fee. There is a 0% introductory APR for the first one year. Afterwards, the APR is a variable 14.74 – 20.74%.

You will need good to excellent credit scores to qualify.

Find it here: https://creditcard.americanexpress.com/d/business-bluecash-credit-card/

Terrific Cards for Cash Back

Flat-Rate Rewards

Capital One ® Spark® Cash for Business

Check out the Capital One® Spark® Cash for Business. It has an introductory $0 yearly fee for the first year. After that, this card costs $95 each year. There is no introductory APR deal. The regular APR is a variable 18.49%.

You can get a $500 one-time cash bonus after spending $4,000 in the initial three months from account opening. Get unlimited 2% cash back. Redeem at any time without minimums.

You will need great to excellent credit scores to qualify.

Find it here: https://www.capitalone.com/small-business/credit-cards/spark-cash/

Flat-Rate Rewards and No Yearly Cost

Discover it® Business Card

Check out the Discover it® Business Card. It has no annual fee. There is an introductory APR of 0% on purchases for 12 months. After that the regular APR is a variable 14.49 – 22.49%.

Get unlimited 1.5% cash back on all purchases, with no category restrictions or bonuses. They double the 1.5% Cashback Match™ at the end of the first year. There is no minimal spend requirement.

You can download transactions| quickly to Quicken, QuickBooks, and Excel. Note: you will need great to superb credit to receive this card.

https://www.discover.com/credit-cards/business/

Bonus Categories

Ink Business Cash℠ Credit Card

Take a look at the Ink Business Cash℠ Credit Card. It has no annual fee. There is a 0% introductory APR for the first year. After that, the APR is a variable 14.74 – 20.74%. You can get a $500 one-time cash bonus after spending $3,000 in the initial 3 months from account opening.

You can get 5% cash back on the initial $25,000 spent in combined purchases at office supply stores and on net, cable, and phone services each account anniversary year.

Get 2% cash back on the first $25,000 spent in combined purchases at gasoline stations and restaurants each account anniversary year. Get 1% cash back on all other purchases. There is no limit to the amount you can earn.

You will need superb credit to get approval for this card.

Find it here: https://creditcards.chase.com/business-credit-cards/ink/cash?iCELL=61GF

Boosted Cash Back Categories

Bank of America® Business Advantage Cash Rewards MasterCard® credit card

Take a look at the Bank of America® Business Advantage Cash Rewards MasterCard® credit card. Get an 0% introductory APR for the first 9 billing cycles of the account. Afterwards, the APR is 13.74% – 23.74% variable. There is no yearly fee. You can get a $300 statement credit offer.

Get 3% cash back in the category of your choice. So these are gasoline stations (default), office supply stores, travel, TV/telecom & wireless, computer services or business consulting services. Earn 2% cash back on dining. So this is for the initial $50,000 in combined choice category/dining purchases each calendar year. After that get 1% after, with no limits.

You will need outstanding credit scores to qualify.

Find it here: https://promo.bankofamerica.com/smallbusinesscards2/

Flexible Financing Credit Cards – Take A Look at Your Alternatives!

The Plum Card® from American Express

Check out the Plum Card® from American Express. It has an introductory yearly fee of $0 for the first year. Afterwards, pay $250 per year.

Get a 1.5% early pay discount cash back bonus when you pay within 10 days. You can take up to 60 days to pay without interest when you pay the minimum due by the payment due date.

You will need good to exceptional credit scores to qualify.

Find it here: https://creditcard.americanexpress.com/d/the-plum-card-business-charge-card/

Unbeatable Cards for Jackpot Rewards That Never Expire

Capital One® Spark® Cash Select for Business

Have a look at the Capital One® Spark® Cash Select for Business. It has no annual fee. You can get 1.5% cash back on every purchase. There is no limit on the cash back you can get. Also earn a one-time $200 cash bonus when you spend $3,000 on purchases in the first 3 months. Rewards never expire.

Pay a 0% introductory APR for 9 months. Then pay 14.49% – 22.49% variable APR afterwards.

You will need good to outstanding credit to qualify.

Find it here: https://www.capitalone.com/small-business/credit-cards/spark-cash-select/

Recession Cycle

Establish business credit fast and beat the recession with our research-backed guide to 12 business credit cards and lines.

The Recession Cycle Funding for You

Your absolute best business credit cards hinge on your credit history and scores.

Only you can pick which features you want and need. So be sure to do your homework. What is outstanding for you could be catastrophic for somebody else.

And, as always, make sure to establish credit in the recommended order for the best, fastest benefits.

Recession Cycle Funding: Takeaways

Raising money during a recession cycle might feel a little overwhelming. It takes time to build up funds to start a new business. But you don’t have to feel you have to use your equity to fund your new business. There are so many other ways you can find money to help your business grow. Don’t get focused on making quick money. Think about the long-term growth of your company, and how your decisions today will affect its finances in the future. Develop a plan to find money from different resources before using company equity. And yes, you can even do this during a recession cycle.

The post Six Ways to Creatively Fund a Startup Without Using Equity During a Recession Cycle appeared first on Credit Suite.

How to Successfully Reinvent Your Career & Personal Growth During and Post-Pandemic

With unemployment rates soaring in the US, the fallout from the pandemic has left many families struggling with the question: What do we do next? Both moms and dads lie awake at night, wondering what …

The post How to Successfully Reinvent Your Career & Personal Growth During and Post-Pandemic appeared first on Paper.li blog.

How to Successfully Reinvent Your Career & Personal Growth During and Post-Pandemic

With unemployment rates soaring in the US, the fallout from the pandemic has left many families struggling with the question: What do we do next? Both moms and dads lie awake at night, wondering what … The post How to Successfully Reinvent Your Career & Personal Growth During and Post-Pandemic appeared first on Paper.li blog.

How to Successfully Reinvent Your Career & Personal Growth During and Post-Pandemic

With unemployment rates soaring in the US, the fallout from the pandemic has left many families struggling with the question: What do we do next? Both moms and dads lie awake at night, wondering what …

The post How to Successfully Reinvent Your Career & Personal Growth During and Post-Pandemic appeared first on Paper.li blog.