Great Vendors to Start Building Business Credit

Five Vendors blog

5 Vendors That Help with Business Credit Building

2018-10-04 10:06:07
Tracy Becker

Many companies learn the hard way when it comes to business credit scores and indexes, they don’t pay attention to their company credit until it stands in the way of opportunities. Some are not aware that they can lose partnerships and new business due to poor or less-than-competitive credit scores/indexes.

On the other hand, business owners/managers who do consider their business credit scores may hit a wall when it comes to building them. Many vendors do not report payment information at all to the business credit bureaus – you could be using a great vendor for 10 years and have no idea that they have never reported your payment history. To find business credit vendors who do report, you must go through the timely process of researching their procedures toward reporting payment data.

To help open the door for you, below are 5 starter vendors who will report your payment information.

Before you start, make sure to follow all the steps to business credit building and establishing. There is more to having strong business credit than paying on time.

  • Incorporate your business: To build credit your business must be a legal entity.
  • Set up your EIN and DUNs numbers.
  • Open business bank accounts.
  • Establish a location and toll-free number for your business.
  • Start a website and develop your online presence.
  • Have a business email address rather than a generic free email.

Vendors and creditors often prefer doing business with companies that have a physical address – PO Boxes can increase the risk of fraud. They also like to see that a business has online exposure.

We offer a Do-It-Yourself Program with a complete list of starter vendors, credit cards, and lenders who automatically report - only $325 for access to this software! Separately, we have a business credit building Concierge Program that is done in-house and includes access to thousands of starter and secondary vendors and creditors who report.

It’s important to understand that when you start building business credit your credit history will be very young, and it is crucial that you pay all the accounts at or before terms. You want to make sure that you’re building strong credit scores and if you fall delinquent on these immature accounts they will have a significant negative impact.

  1. Staples

    An office supplies retailer, they provide multiple types of business accounts that are catered to the size, capacity, and region of the business. Wells Fargo underwrites and finances every line of credit for Staples – if you have business credit they will look at Dun & Bradstreet and check basic information like the company’s online presence, tax information, and location. For smaller companies with limited credit history, Staples will usually offer a $1000 Net 30 line of credit for starters. They report back to Dun & Bradstreet.

  2. Uline

    A distributor of industrial goods and packaging supplies, you can establish Net-30 payment terms with Uline by filling out their Credit Application, it will ask for your DUNs number and business bank account information. They will check credit (if you have any) from Dun & Bradstreet. If they find that your credit history is too limited to determine the line amount – they may ask you to prepay for the first order or have their credit department work with you to get approved. They report back to Dun & Bradstreet & Experian.

  3. Quill

    A retail supplier of office supplies, they pull credit information from Dun & Bradstreet. If your business has no or limited credit, they will request that you pre-pay for 90-days before establishing payment terms. After those 90-days they will review your credit again and set up Net 30 terms with a credit line based on your expenditure over those preliminary 90 days. They also offer an “Installment Payment Program” that allows you to pay your invoice in 6 payments with 0% interest. They report back to Dun & Bradstreet.

  4. Grainger

    An industrial goods supplier, they sell products including but not limited to – paint, safety equipment, lighting, and plumbing. They offer an open line of credit to customers and report payment information automatically to one of the largest business credit bureaus. For new companies with limited credit history they will often offer a $1000 line of credit to start, then increase it upon request and with a demonstrated history of good payment habits. They report back to Dun & Bradstreet.

  5. Strategic Network Solutions

    An information technology service company, they report credit information to two of the major credit bureaus and are another great vendor to start building credit with. They provide an online credit application for businesses – it will ask for both company information and personal information on the principal(s). They report back to Experian & CreditSafe.

Keep your personal credit safe

There are many advantages to having business credit, one being that you can eventually avoid using your personal credit to guarantee loans. Keeping your personal credit separate means you can limit personal liability on business expenses – which should be of great concern to business owners. Business credit building will benefit you both professionally and as a consumer by separating transactions and accounts.

The world of business credit reporting has a separate landscape from personal credit; it’s best to speak with a professional about your business credit. If you have been an active company for 10 years and have never paid attention or noticed your business credit we can help you find out whether you have scores and guide you on the best way to proceed. If you just started your company and are looking to be proactive we can also provide you with resources and services that can help to steer the new business by making you more attractive to partners, new accounts, lenders, vendors, and creditors.

5 Vendors That Help with Business Credit Building
5 (100%) 19 votes

6 Responses

  1. Dolores

    I have applied to gemplers got approved for net 30 but found out they only report to cortera credit bureau.. would this still help me

    1. Tracy Becker

      Dolores, Gemplers is a starter vendor that many companies use, they used to report to Dun & Bradstreet, but last fall switched to Cortera. Cortera is a smaller business credit bureau, so working with Gemplers will help your Cortera report but will not help build your other profiles (D&B, Experian, Equifax, PayNet, Ansonia…). All the business credit bureaus report information separately, so it’s important to have vendors who will help grow each profile. If you’re looking for financing, a line of credit, or loan for your business you can also speak to your lender and see what they will be looking at. I sent you an email as well, feel free to reach out with any other questions, we offer two business credit building programs.

  2. william

    besides the 5 above are there any other vendors who will lend to a start up company that report to the top 3 major bureaus?

    1. Tracy Becker

      Hi William,

      We also just emailed you to address your question. There are other vendors who report to the major bureaus – we have done extensive research into vendors to find out which ones report (since most do not) and would be happy to review the program with you. Please give our office a call at 914-524-8300.

  3. Allen

    Have anyone have any concerns that you are being “relined” because of the location of your business? and because of the new law that requires owners to provide their personal information on the credit application. It just seems that I’m being denied business credit and given smaller credit increases because of “relining.”

    There are cases were some groups of business owners have experienced credit discrimination. I feel I’m experiencing this practice in my efforts to build business credit. For example, I’ve had a vendor for 2 years now with a good payment history on a revolving account. However, when I requested a credit increase, it’s not granted unless I practically beg for it. Other vendors seem to overlook or just don’t consider the credit history strong enough to grant credit approvals given the fact that I have 15 D & B payment experiences; 8 Experian trades reporting, and 10 Equifax trade lines reporting. I believe I should be in the stage of being able to qualify for business credit cards without a PG and vehicle financing with EIN only. But the truth is, I still don’t qualify. Minority businesses seem to have a hard time getting the credit approval that their counterparts with equal credit history.

    1. Tracy Becker

      Hi Allen,
      Thanks for commenting. Without understanding the financials of your business, it’s hard to weigh in on your situation. When it comes to business credit cards, they always request a personal guarantor, but you can find cards who will only report payment data to the business credit bureaus (but, if you default they will report to personal).

      There are many programs available to minority business owners, have you looked into any of these options? We also know of a great educational program for minority business owners through Goldman Sachs 10,000 Small Businesses (https://www.goldmansachs.com/citizenship/10000-small-businesses/US/). It’s a free program, you just need to apply.

      If you have any further questions about your business credit and would like a free consultation, we would be happy to review the reports and see whether anything else might be hurting your scores.

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