Is there a company or credit bureau that a small new private lending business can use or become a member of in order to report credit history to the three major bureaus?

Answer 1

Small business owners have a tendency to suppress the high balances on credit cards and/or vendor accounts. It is time to use the high balances to an advantage. First, and most importantly, the terminology must change. Account Payable (AP) replaces high balances, debts, bills, payments, or revolving lines. When lenders, investors, and other financial institutions review the credibility of a company the AP is taken into consideration. In other words, before lending out money the banks want to see that others have trusted the business with their money. As an example, it is typically easier to get a mortgage on a 3rd property than on a 2nd because the bank sees that you are responsible with the payments (assuming that income supports it and all other variables are acceptable). A business which already has a few APs showing on its books must utilize the moment. Each AP must be reported to a business credit reporting agency. Since Dun & Bradstreet is the largest business credit reporting agency it would be wise to start with them. It is the responsibility of a small business owner to ensure that each highest balance is reporting correctly. Be aware that such reporting is very time consuming and if 10 hours per week cannot be devoted then it is recommended to contact a professional service. Search for "strong business credit" (just like that in quotes) using Google and to find a few companies of choice. On the other hand, if the small business does not have any high balanced accounts it is a good time to plan ahead. In order to get large high balances the lenders must first see financial institutions reporting activity.