Free Resource

Business Credit Builder

Strong business credit unlocks better loan rates, higher grant eligibility, and more funding options. Follow these steps to build yours from scratch.

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Understanding Your Business Credit Score (Paydex)

80–100

Excellent

Best loan rates, most grant eligibility

50–79

Good

Most SBA loans available

25–49

Fair

Microloans and CDFIs available

0–24

Building

Start with secured cards and trade lines

6 Steps to Build Business Credit

Follow these in order. Most businesses see measurable improvement within 90 days.

Step 1Week 1

Get Your Free Business Credit Report

Check your current business credit score with Dun & Bradstreet (D-U-N-S number), Experian Business, and Equifax Business. Identify any errors and dispute them immediately.

Get your D-U-N-S number free at dnb.com
Step 2Week 1–2

Open a Dedicated Business Bank Account

Separate your personal and business finances. Lenders and grant reviewers look for this. A business checking account establishes your business as a legitimate entity.

Open a free business checking account
Step 3Month 1

Get a Business Credit Card

Apply for a secured business credit card or a starter card like the Capital One Spark Classic. Use it for small recurring expenses and pay the full balance every month.

Compare business credit cards
Step 4Month 1–2

Establish Trade Lines with Vendors

Open net-30 accounts with vendors like Uline, Quill, or Grainger. These report your payment history to business credit bureaus and build your score quickly.

Apply for a Uline net-30 account
Step 5Ongoing

Pay All Bills Early or On Time

Business credit bureaus reward early payment. Paying net-30 invoices in 10–15 days (net-10) gives you a higher Paydex score from D&B, which is critical for loan approval.

Set up automatic bill payments
Step 6Month 1

Register Your Business Properly

Form an LLC or corporation, get an EIN from the IRS, register with your state, and get a business license. Lenders and grant programs require this documentation.

Get your free EIN from the IRS

Common Mistakes to Avoid

  • Using your personal credit card for business expenses — always keep them separate
  • Missing payment deadlines — even one late payment can drop your score significantly
  • Applying for too many credit accounts at once — space applications 3–6 months apart
  • Not monitoring your credit — errors are common and can hurt your score for years

Ready to Find Funding?

Once your credit is on track, explore grants and loans matched to your business — no credit check required for most grants.