Important Information Present On Your Credit Report
September 18th 2018 at 3:32pm Published by sharpshooteradmin
In this world of credit, your ability to get some credit as a business is heavily dependent on the kind of credit report you have. You seriously cannot build and maintain a quality credit report, without knowing the metrics that go into identifying the credit standing you have.
As a business, the credit report is an important document for you. You should run your eyes over the facts and figures to identify just where you can improve and what is required for improving your credit standing in the time to come. Any discrepancy in the credit report as such can stop you from growing in the nearby future and can act as a hindrance of sorts.
Here we mention some of the important information present inside your credit report, which can play a role in your ability to get small business funding:
Business Identity
First off, your credit report will include the identity of your business, including the name, address, phone number and the website you have. This identity is really important for your business, and can help dictate numerous factors including the volume, employee size and other information related to your business.
The business identity section acts as an introduction of sorts to the overall credit report and helps build the platform for the information that is to come your way soon.
Payment History
Once the identity of the business has been cleared, your credit report will give you details of your payment history. The credit report you have will tell you just what the outstanding balances you owe are and what are the terms that you should decide with your vendors and creditors.
Your payment history will include everything going from the payment terms that you had set with your creditors, and how you have managed to follow those terms. This is one of the most major influencers when it comes to deciding your actual credit score, which is why you should look to maintain it.
Credit History
Your credit report will also obviously include your credit history, and what credit options you have gone for in the past. This will let you know the payment details you have followed and the credit utilization you have maintained in the past and are maintaining to date.
Credit utilization is best kept low, as you should only be using 30 to 40 percent of your available credit.
Public Records
Any negative records associated with your business including judgments, liens and bankruptcies will also be included as part of this report. These records can impact your total credit score in ways more than one, leading to a poor future in funding. Hence you should maintain a clean slate as far as law is concerned.