How to Acquire Corporate Credit

Some business owners choose to use their personal credit rating when applying for business loans and credit cards. While this method can help you acquire business financing, it does nothing to establish credit in your business's name or give your corporation a separate identity. Over time, your business will build its own credit score and history, which lets you apply for loans without using your personal information.

Instructions

1

Acquire a business license and register your business name. If you're establishing a new business or corporation, visit your local city hall to apply for a license and register your name. Business license fees vary.

2

Request a tax identification number. Rather than use your Social Security number to file business taxes, begin separating your business from your personal identity by applying for a free tax identification number. Request a number from the Internal Revenue Service's website (IRS.gov).

3

Get a bank account in your corporation's name. After registering your business name, visit your bank or credit union and open a business account.

4

Open a secured business credit card with your bank. Once you have opened a business account with your bank, you're eligible for a secured business credit card in your corporation's name. Talk with the bank representative and inquire about security deposits and application fees for secured accounts.

5

Pay your business credit card on time. Getting a secured credit card for your business is only the first step to establishing corporate credit. Pay your credit card statement on time each month to establish a good payment history and slowly build a good rating.

6

Apply for small-business loans. Having more than one business credit line helps build your corporation's credit history. Apply for a small line of credit or loan with your bank. Use collateral such as a vehicle title or jewelry to secure the loan.