How to Obtain Credit Using an EIN

You may be familiar with your credit report and how your financial history is presented there. A score is assigned in your credit report based on how you handle your financial accounts, and your credit report and score serve as a statement of your ability to handle debt. In addition to a personal credit report, business owners can establish business credit. The credit agencies for businesses are: Dun and Bradstreet, Experian Business, Equifax Business and Business Credit USA. Accounts are reported as trade credit transactions. The accounts are reported using the business name and your federal tax identification number (FIN), also known as an Employer Identification Number (EIN). There are a few steps you can take to establish your business credit score and profile.

Instructions

1

Visit the IRS website (see Reference section). Read about the EIN number and when ready, apply for your EIN online.

2

Complete the application process. Make sure you double-check your entries for accuracy. Pay close attention to the spelling of the business name. At the completion of the application, you will be given your EIN number immediately. Print this information and keep it in your company records.

3

Register for a Dun and Bradstreet number. (See Reference section.) Once you are registered, your business will be listed in Dun & Bradstreet's database and will be visible to banks and lenders.

4

Register for any business licenses you may need for your state. Contact your local government offices to determine if you are required to obtain any specific licenses for your company.

5

Open a bank account in your business name. You will need to take your EIN number as well as copies of any licenses you obtained through your state.

6

Establish phone service in the business name. Even if you have a home business, you need to open a phone line in the business name. When you apply for business credit, this is often a requirement.

7

Apply for a secured credit card in the business name. Also, Staples, Office Depot and Dell computers are all companies known to give new business owners a small line of credit. Make all payments on time, and after six months, you will be able to apply for other business credit.