Getting Business Credit For Homebased Business

I get this question a lot. Can I get business credit if I am a home business? The answer is yes. Home Based Businesses can receive credit as any other business. It is a little more difficult to get the type of limits that a Business that is operating out of an office. The trick is making sure that your business is set up correctly from the start. Also being in the right industry. For instance, if you are in the operating a real estate business from home the chances are you may not get approved for as much credit. Verses operating a solar company from home. The fact that real estate market crashed and all the fraud that went on hardly any company will lend money/credit without collateral. It’s all about your industry and your file.
Another myth is that if you have a paydex score of 80 you can get funding.Again it is about your file and industry. If you have a paydex score of 80 with an empty file you will not get credit. Meaning a file with an 80 paydex with no taxes,bank account,payment history,assets,or any third-party verifiable information. The days of 3 net thirties and boom 5000.00 credit limit has been over for a while. Anybody promising this is probably scamming or using out dated information.
Now if you have a home base business and would like to learn how to get funding I know a place where you can go. The information is current and up to date. His name is Gboogie and the website is http://gboogie.net/default.aspx . They don’t do for you but there is step by step instructions on how to set up your business and credit file. Whether a home base business,startup,or established business. If you would like a discount on membership click here. It is a lifetime membership and you get all the products free for life.I have been doing business credit for 10 years and the information and tactics he provides are priceless. It used to be free membership until some of the people began abusing the information. But it is still very affordable at $55. Far cry from a $5000.00 boot camp and half the information. But with that said feel free to comment on this blog and I will answer any questions you may have. Until the next time fellow business men and women!

Creditboards with Gboogie

The weirdest thing happened the other day. One of my people found a post on creditboards where the resident “know it all”(greywolf) called my youtube videos annoying. I found that very funny. The thing with these so-called gurus is that none of them do this for a living. They take a scenario that worked for them way back when and pretend to be experts on the subject. When in reality they are scam artists. Question… If you don’t build and sell shelf corporations for a living, how(or why)would you just hang around a blog all day to make yourself feel important?. These are the types of people who have nothing to do all day but criticize. If you don’t build corps all day long how would you know what works and what doesn’t? How would you know what tiers go where and so on? I guess based on everyone else’s input huh? What reason would you have to still be hanging around? Well i have an idea. Some people need an external source of self-worth. Instead of investigating the info so you can give your readers something positive people like that immediately shoot it down. It kills me to read things like..”well this is what i just got approved for”. I’m like…”why would you need all of these corps?” Besides all of that, that’s not even your website that you’re riding so hard. Get off of creditboards teabags and get your own site. Anyway…i gues im through venting, it’s just so easy to tell when people don’t know anything. The guy acknowledged that he say my videos. Why would a business credit “expert” be looking at my videos? Why would he be searching the internet for info if he already knows everything? this is very puzzling. I never search the web for information on how to build business credit because i already know how. I get sent links from associates every time they see my name mentioned somewhere. Thats the only time i even entertain what was said. besides that….i have too much to do like actually building corps and showing others how to do it. SO….. This is a request for anyone who has gotten any useful information from our youtube videos,ustream videos,mogulus(livestream)videos,stickam videos, or the videos or ebooks from our website. Go to creditboards and let everyone know this. After viewing our information, please go there and view theirs(if you can find anything relevent). Leave a post with our website name and let people know where they can go to learn a little bit more(assuming they learned anything from there). I think information should be available to everyone and one know it all(greywolf) should not stop people from being successful because of an ego problem. Thanks im sure this will help everyone. For everyone that goes over there and leaves a post. If you send us the posted link we will give you a special discount on membership.

gboogieamerica@yahoo.com

Business Credit for Beginners

Technique for beginners
This is strictly for informational purposes.
This technique was designed for businesses that start on a shoestring. Meaning very little money.I will personally share with you one of my best kept trade secrets on how to build business credit with little or no resources. I will take through what I do for some of my clients and explain what is going on in a story form.

An individual comes to me and says “I have a business, and I need to build credit” for whatever reason. They have tax ID, no landline phone, and they are not incorporated. Also they only have about $500 to go towards this endeavor. They say that they have at least 60 days or so until they need the financing for whatever. It also happens to be the 13th of the month. That’s perfect timing! The last reporting period has just ended, and I get to start at the beginning of the next one.

First thing I do is incorporate the business. In that particular state, it cost $100. Leaving me with $400 as my budget. Next i called embarq and had a business land line put in. Embarq does not charge a deposit for new businesses, and they report very fast on your business credit file. After the Articles of Incorporation are received in the mail, I go to OfficeMax. In the copy section of the store(copymax), I request a corporate package consisting of a corporate binder and seal. The binder holds all the stock and other corporate documents, and the seal is to stamp all documents with relating to the corporation. This package ended costing $65. leaving me $335 to work with. (when i receive the binder i have a shareholders and set salaries etc… )

By now It’s the 16th of the month, And I have already applied for and received my d&b number. I have already applied for an eupdate password, and have already updated my dun and bradstreet file. Today I place orders. Knowing that I need at least need 3 trade lines in order to get a paydex score, and also knowing that embarq will report on my file, I still need to place at least three net account orders. I go with my top three; Uline,grainger,and seton. keeping my orders right at $50.00 a piece. Once those orders are paid. I will have roughly $185.00 left as a budget.

Now it’s the 17th, and I take $85 down To a bank in their town add open a corporate bank account. Even though it’s not much, believe me, just having a bank account helps you build credit. That leaves me with $100, and pretty much nothing else to buy at the moment. Now I will register at the home depot, staples, and office depot websites and request catalogs. Also, I register their business with all of the online directories including mapquest. With the $100 I have left, I make several small online purchases from staples and office depot over the course of the next two weeks. The reason I do this is because I really need those two revolving accounts next. Registering and making multiple orders over time gives me a customer rewards card from both. It shows that I am a current customer which will be what I need when i’m ready to apply for credit.

Normally, by the 15th or so of the next month, I see embarq, seton,and uline on my credit report, giving me a paydex score of 80. Because I did not buy the credit builder I will have to wait another month for grainger to appear. With that 80 paydex, and combined credit of $150, I apply for office depot and staples. I usually get approved for anywhere from $1500-$2000 with staples. Between $1000-$2000 with office depot. For the sake of argument we will say approved for $2000 for both. I Then sign the business up for a merchant account so the company can accept credit cards. No money is needed up front, Just a percentage of what is processed goes to them.

So far a month has gone by, and it’s time for the next step. I go down to staples and office depot and purchase $2000 worth of vanilla visa cards, and american express gift cards from each store. I then go home and load them into my credit card machine that happens to be connected to the business’ bank account. Minus the transaction fees, I am left with the change. Lets say roughly $3,700.Leaving $3,785 in the account. I would then purchase a 90 CD from that bank for the amount of $1000. Next I would request a secured credit card for $1000. Then a secured loan against the CD for $500.00. Still leaving $1,785. I would then place $500 into a corporate savings account. Leaving $1,285 in the corporate checking account.

You have 30 days before the staples and office depot bill arrives, You may as well use that same 30 days to build credit with their money. The minimum payment on $2000 will be roughly $80 give or take. So lets say $160 a month for both. I would set $500 to the side for three months worth of payments. Leaving us with $785 in the account and a three month cushion.

There are so many different ways I could go from here but I will just leave the creativity up to you. This is as much of my trade secret I am prepared to give away. The rest is up to you. Just apply one of these concepts to your own experiences. Pleas take advantage of the forums so we may better answer questions that you have.

thank you for listening.
gboogie “king of business credit“

Business Credit Score

Most people think that when you get a Paydex score of 80 you can get approved for credit. This is far from true. receiving credit for your business involves more tan and 80 paydex score. It has to do with your file as a whole. A paydex is just a small piece of the puzzle. Your file has to do with your financial risk score,industry,how lendable that industry is and several other things. For example if you are in the industry of real estate you will probably not qualify as easy for credit. This industry is high risk right now because of the whole subprime mortgage scandal. With that example you can get a picture of what I mean.
So this is why building a strong business credit file is important; regardless of industry. But it is a good idea to stay away from high risk industries. This can be googled out. Also you can pull your file not your dun and Bradstreet update to take a look at the dollar amount that the credit Agencies says you qualify for. Hope this clears up the myth of the 80 paydex. For information on how to build up your file correctly and more business credit products visit http://gboogie.net/default.aspx . Gboogie the King of Business Credit will help you for an affordable price.

What Happened

Here’s a sobering thought: Fifteen years ago, the six largest banks in the United States produced 17 percent of country’s Gross Domestic Product (GDP); today, the six biggest banks produce 63 percent of GDP. That means that these six banks (Bank of America , JP Morgan Chase, Citigroup, Wells Fargo, Goldman Sachs, and Morgan Stanley) produce nearly two-thirds of the finished goods and services in the U.S. More than our waning manufacturing industry plus all of our software or music or film or any industry that you think of as substantial, combined. 

What caused this exponential explosion of bank profits? During the Clinton Administration, bank regulations, which had been in place since 1933 (to curtail abuses that led to the Great Depression), were rescinded. This opened the barn door and allowed mega bankers to freely roam, eating up smaller banks, developing synthetic (meaning they really are nothing but a bet) investment products, drastically reducing the amount of capital required to ensure bank ‘stability’, and evolving into institutions with questionable financial practices. As we learned during the Goldman Sachs’ hearings before the Senate Subcommittee on Investigations, substantial profits resulted from risky bets made using esoteric financial products.

Major banks with investment divisions sold overvalued investment products to customers, knowing they would plunge in value. Simultaneously, they bought the same products ‘short’, which means they were betting on their failure, while selling these products as if they were reputable and reliable investments.

These financial institutions went blithely forth, leaving mayhem from their customers in their wake. They seemed to hold no regard for the pension funds, college accounts, and other critical investments they wiped out. It appears that a greed culture developed in this largely unregulated banking environment. The behemoth banks, and peripheral enterprises, engaged in practices that financially gouged businesses and consumers. Their actions demonstrated they need to be reined in and governed by sound financial principles. 

When the federal government bailed out the big banks in 2008, they accepted billions of dollars. Instead of using that money to invest in small businesses and make loans to consumers in communities around the country, as the Bush Administration promised they would, the banks primarily hoarded the cash or used it to further increase the size of their institutions through acquisitions of smaller banks. Simultaneously, numerous viable businesses with superior credit folded or shrunk in size because their banks cut off their lines of credit, which they depended on to buy inventory and for other essential operating expenses. As a qualified borrower, you probably don’t want the nation’s major financial institutions to hold the power to dictate your financial solvency by cutting off your access to funds, when your performance has been exemplary. That is what banks did, and can do, today.

The Restoring American Financial Stability Act of 2010, has received much biased publicity. Of course, the legislation is not perfect. There are no perfect bills because the process of making laws involves compromise among legislators with disparate views. Now that the Republicans have allowed the bill to move to the Senate Floor for debate and to add amendments, it will change significantly. No one knows what regulations will be included in the final bill. If you’re interested, the Library of Congress keeps the most up-to-date versions. However, they constantly change the URLs for their pages so you’ll need to enter the name of the bill in the search box. When the page opens, click on the box labeled Text of Legislation to read the document. Like most major bills, it’s a tome. After it passes the Senate, it will go to a Conference Committee, which will include Members from the House and the Senate. They will hammer out differences between House and Senate versions, and more compromises will occur as a final version of the legislation is honed.

The bill that reports out of the Conference Committee will not be stringent enough for some of us, who had a close-up view of egregious practices in the mortgage industry. We know banks should never be permitted to offer mortgage brokers a commission rate that is three times the normal loan commission for products that carry the greatest risk for borrowers. The country faces the prospect of millions more foreclosures during the next two years. Many of these are the direct result of unscrupulous banking practices.

Some will think any restrictions are too much. They preach: Let the market ‘fix’ itself. How na?ve to believe the banks that led us to the brink of a severe depression will magnanimously forgo billions to ‘fix’ the problems. A recent ABC News poll indicates that two-thirds of the country backs financial industry reform. When we look at the widespread devastation wrought as a result of banking practices, strong support makes sense. 

http://gboogie.net/default.aspx

Paydex Score with www.gboogie.net

There is a serious myth floating around the internet concerning the dun and bradstreet paydex score, and business credit. For some reason there are websites helping to perpetuate this myth. I get asked questions everyday about what to do once you get a paydex score. The paydex score is mostly for the public. Its a false sense of security when it comes to business credit. A paydex score simplymeans that you have successfully made 3 business transactions that were recorded and placed on your report. Even if these were 3 cash purchases you would still get a paydex score. It does not speak for your company’s lendability at all. When wondering whether or not your company is ready to move past the net account phase you must consider other variables. You must pull your credit report and look at the suggested credit limit that the bureau has asessed for you. You must look at the other scores that make up your report other than the paydex. There is a score based on what industry you are in. its calculated based on other businesses in the same field as well as their success rate. There are scores based on your financials,assets,and employees. inquiries are also calculated in. In short there are many other variables to consider and the paydex score isnt one of them. See more at gboogie.net