Building credit is essential if you want to accelerate the growth of your business. I preach debt freedom for your personal life. You really don’t need credit to survive despite all the advertisement that says you do. Credit and debt is a two edge sword. It can help you become wealthy and help you become broke. It accelerates failure and success. According to statistics 68% of businesses fail. Failed businesses are still liable for the debt they take on.
I recommend that entrepreneurs build their businesses with cash from sales. Boot strapping is a slower way to build. It takes courageous patience to build that way. Boot Strapping also gives you the chance to learn your business. To build up a customer base and steady sales without the lender calling for his payments. Some businesses require debt. Real Estate, leasing equipment, and inventory are prime examples. Just remember credit doesn’t make you successful in business. It comes down to sales. Sales solves every problem.
Building Credit Infographic
Here is an infographic from Bank of America Small Business. I have a credit line of $10,000 with BoFa. I used $20k of credit to build my affiliate marketing business. I used the information in this infographic to build my credit. This has accelerate the growth and income of my business according to my current sales all my credit cards will be bad off by December 2016. Understand I have 4 years of experience in my industry and I have consistent sales. I could have saved $20k which would have taken over a year. After weighing the pros and cons I decided to take on $20k worth of debt.
Credit is a game changer when it comes to your business. Just understand the pitfalls. Enjoy this information from BoFa.
Copyright 2016 Charles Fitzgerald Butler