With Business Partners Limited’s quarterly SME Index regularly listing funding as one of the key challenges faced by small business owners, most entrepreneurs will at some point most likely have to put in an application for small business funding or a line of credit. While you might be well aware of the importance of maintaining a healthy relationship with creditors in your personal capacity, it’s important to know that a small business’ credit score can be just as much of a ‘make or break’ factor when it comes to maintaining its financial viability in the long run.
What is a commercial credit score?
Ben Bierman, managing director at Business Partners
When entrepreneurs apply for funding, financial institutions may reference the personal credit score of the SME owner for businesses in their first few years. However, as the business begins to gain traction and develop a history with its creditors, it will obtain a commercial credit…