Business Credit Score

Gone was the day when all you need to start a business is with the four C's (Character, Cash flow, Credit history, Collateral). Today, with the introduction of FICO and credit scores, chances in applying for bank financing is nil, especially if you don't have a good business credit score which most starter entrepreneurs won't have.

That's why you should forget big banks as your fundamental source of funding and find your path somewhere else. They might get you a business loan regardless of your business credit score. Houses are the best business collateral since they allow huge sums of cash.Furthermore, applying for home equity plans aren't based on business credit score, they are more particular on the ability to pay and the value of the collateral since it is a secured deal.

Are you familiar with Adi Dassler's story, who founded the Shoe Giant adidas? If not, then you should know that Adi Dassler co-owned Dassler Shoes (forerunner of present day adidas) with his brother Rudolph Dassler. Shares play an important value to every big time business but it is not unheard of for starter business to have stocks and shares, especially ambitious business. An SBA backed loan has more probability for success than without.