I first want to thank you for taking the time to read this free report about building business credit, we provide this report to anyone without requiring you to sign up for anything. No need to join our newsletter, no need to speak to a sales representative, no need to do anything. We feel that this information is so important that you should have it without condition. We hope this information will help you choose a company and more importantly stay away from companies that put your company and your hard earned money at risk.Before you choose a company we recommend that you do your homework. We did just that with several companies and we were shocked with the results.PANDERINGThe first issue that came up is that most of the companies in our opinion pander to their potential customer. This means that they will say anything in order to make the sale. For example; If you call some of the popular companies and tell them that you would like to build credit on your company and that your company operates from home would that be okay? A truthful answer would be that you can build credit but will be extremely limited in how much credit you will achieve. If you just take a moment to think about it, a bank will not give a home based business nearly as much credit as they would a company working out of an office or even a virtual office. These companies will pander to you and tell you “Yes, you can build business credit working from home” that’s it!! They leave out the limitations because they don’t want to scare you off.It is our opinion that our customers are seeking large credit lines and don’t want to be mislead into thinking they can have something when in fact they cannot. We feel that it is important for our customers to make educated decisions. We will never sugar coat our recommendations, we will give you our recommendations and provide you with other options that are available, we will then explain those options and what type of results you can expect from them. With us you will always have the ability to make an educated decision. We will not let you make an uneducated decision that can cause permanent harm to your companies long term goals.FRAUD, MISREPRESENTATION, and FALSE ADVERTISINGThe bigger and scarier issue that we uncovered while researching these companies is what we consider Fraud, misrepresentation, and false advertising.We found one company that charged about $20,000 to build a company with credit. We had some hope in them as they seemed to be the only company that utilized an advanced methodology when building business credit. Unfortunately, when we searched further we found that the owner of this company is a defendant in a $100,000,000 lawsuit and has had newspaper articles written in major newspapers that highlighted his companies questionable practices. These articles have caused major credit bureaus to key in on his business practices, will DnB be one of them? Do you really want to be associated with a company that can lose everything in a lawsuit who has a target on their back for questionable practices?We found another company that claimed to have a patent on building business credit. They even have a patent number on their website with a link to the US patent office. I followed the link and typed in the patent number they had touted all over their website and wouldn’t you know it the patent has been long denied. This company is actually counting on customers not checking the references they have on their website. If they are willing to blatantly lie about a patent what else are they willing to do?We also found several companies claiming to be partnered with the IRS, This seems like an endorsement but if you did a little research you will find that the IRS does have a partnership program. This “partnership” program allows the partner to link to tax educational articles on the IRS website. Yes this is a partnership but it is NOT an IRS endorsement in any way, shape or form which several of these companies seem to imply. They are betting on you being naive and not checking. To me this is misrepresentation and fraud.Good for the GooseI feel that this issue is the most amusing. There are several companies that offer to build your credit which means they should at least be able to get you set up with Dun and Bradstreet and ultimately get you credit on your company. Well, would you believe that many of these companies do not even have a DnB file in existence. That’s right they tell you how important it is to build business credit but they don’t even have a DnB file themselves. They also tell you to get your phone number listed in a national telephone directory and they are not listed, is it only important for you to look legitimate? You can go to http://www.dnb.com and search for our company and others and see who has a DnB file. You can also go to http://www.superpages.com and look up our company “TD Financial Products Inc.” Land O Lakes, Florida and see our listing as well as their’s, if they have one. This is most likely just an oversight on their part but I just find it amusing.Overview of Background informationWe ask that you do your homework on any company you are considering doing business with….including us!!To do your homework at least do the following1.Search the company name on Google and look for problems 2.Search the owner names on Google and look for problems 3.Search Dun and Bradstreet and see if they have a file 4.Search superpages and see if they have a listing 5.Look for unresolved complaints with the BBB (The BBB will keep records even if a company is not a member company) 6.Look for complains on fraud websites (eg. http://www.ripoffreport.com )Now that you have done some basic homework on a company now you can call them. When you call them have the following list of questions ready. But before you start asking them questions ask yourself some.What do I want in a business credit consultant? Do I want One on One Consultation or am I okay with just email communication and/or reading books and listening to CD’s? Do I want to pay a lot of upfront money? Do I want large “bank” credit lines or am I okay with just “trade” (store) credit Do I want someone to do all the work for me, ending up with a company that has good credit, but, not knowing exactly how it achieved good credit and how I could repeat the process and get even more credit on the next company Do I want a company to answer “Yes” to every inquiry I have even though the “Yes” really is a “Yes, but…..” Am I 100% confident that my personal credit score meets the underwriters guidelines (score is not all they look for)Now that you have answered what it is you want you can now ask the hard questions of your credit consultantAre you providing me with personal coaching or will I be reading books and listening to pre-recorded material?We used to provide you with the option of purchasing a book with audio CD’s but we have found that nearly 90% of people who purchase these items end up coming back to us for personal coaching. The figure is so high because, if you think about it, EVERY business is different and it is IMPOSSIBLE to account for every specific situation in a book. The process of establishing business credit is so specific to your company and your type of business that books and CD’s rarely answer all possible questions. Books and CD’s are very good at providing you with basic information but books get outdated as soon as they are published. Underwriting guidelines change weekly and it would be impossible to keep a book updated.Will your company ever call me to upsell me into a better business credit coaching product?Companies that are going to upsell you will not provide you with all the information you need with your first purchase. If you are comparing our pricing with a company that will ultimately upsell you make sure you compare pricing based on the highest level of coaching they provide. Our business credit coaching package is out best package available. We don’t sell any other coaching packages no less and no more, we provide all of our coaching in one package. Our belief is who wants to pay for a job halfway done. What if your doctor said he will only charge you $500 to start brain surgery and while you are on the table he says it will be another $50,000 to finish up. Do you really have a choice? Business credit consultants know that if you invested a certain amount in their basic course the chances of you leaving them for another company and “losing your investment” is very low. They take advantage of this and offer you an “option” to upgrade later.Can I build credit on a S Corp or as a Sole Proprietorship?This is a question that will let you know if the business credit consultant is being honest with you or just “pandering”. The answer to this question should be “Yes, BUT, you won’t be able to get any REAL credit or TOTAL CORPORATE SEPARATION”. Lenders look at S-Corps and Sole Proprietors as small time businesses and WILL NOT lend large amounts of money to these types of companies. Even with perfect personal credit you will rarely get credit lines in excess of $10,000 and you will never be able to waive a personal guarantee. If your “Consultant” tells you otherwise they are just trying to “SELL” you. We walk you through the process of analyzing your current profile to make sure there are no RED FLAGS that will stop you from getting the large credit lines you are seeking. If you have an S Corp or Sole Proprietorship we will show you how to convert it to the desired structure without losing the valuable age associated with it.How much credit can I get?You will have to listen to this answer very carefully. Most unscrupulous consultants will provide you with a large number like $250,000. What they “conveniently” leave out is that most, if not all, of the credit you get is TRADE credit. This means you will have $250,000 in credit but you have to buy products from specific vendors. Do you need access to $50,000 in office supplies? Trade credit does have its place but most of our customers are building credit so they can get unsecured “BANK” credit. Bank credit is a line of credit or credit card that you can use to purchase whatever you want. Don’t be fooled by high dollar promises. Our process of building credit includes trade credit so that we can quickly get you an 80 PayDex score. Once you have this score you will be ready to get unsecured bank credit.My company is not yet 2 years old, does that matter?This is another question that is usually answered unscrupulously. Most “BANK” credit requires you to be in business 2 years. You will be able to develop credit with a younger company but you won’t get the “Bank” credit you desire. Our program has 2 ways that will allow you meet the banks 2 year requirement. One is the use of optional aged shelf corporations and the other is by creating a company history.Does my personal credit score matter?The answer to this question is based on what you are trying to do. If you are trying to get unsecured bank credit you will need to have good personal credit. If you are okay with just trade credit then you can get hundreds of thousands in trade credit without a personal guarantee. Our programs will show you how to get the unsecured bank credit without your personal guarantee **Full Disclosure** You will need somebody to act as personal guarantor in the first several years of your business. We will also provide you with free personal credit coaching so you can bring your credit scores up if that is what you need.I have a 700 credit score, can you guarantee that I get $XX,XXX in cash credit lines?If a business credit consultant tell you yes to this question without further qualifying you they are lying. ALL loans rely on more than just your credit score. They rely on your debt to limit ratios on your existing credit and recent inquiries. They also rely on several other items and shouldn’t even be answered by a business credit consultant. These type of qualification questions should be only answered by a lender or a business loan brokerAre any of the trade references you help me get/provide large trade references?When most credit consultants work on your business credit they will provide you with a list of 25-50 companies and have you apply for as many as you can. The average credit line you will be approved for is $500 – $5,000. When you ultimately go to apply for a loan with a bank to get your large credit lines you will quickly find out that they will deny you because you have no history on your credit file of paying of a high credit loan. We have the availability to provide you with at least 3 unsecured trade references that will report a Trade line of up to $100,000What is your pricing?When comparing pricing you want to make sure you are comparing apples to apples – I can easily sell you books and materials for a few hundred dollars and compare it to full blown one on one coaching. Obviously the books and materials will seem cheaper. They, however, won’t get you the same results. We recommend deciding on the method of service you would like.Do you want books and materials only, personal one on one coaching, or a completed product handed to you? Once you decide on the general product then you can compare costs. Just make sure you add in the extras if they are applicable like aged corporations, large credit lines, personal credit coaching etc.Can I pay the bulk of your fees with the credit lines you will help me get?Most companies will not offer this option. Is it because they fail to provide actual “cash” credit lines? Will they not take your $10,000 Staples card as payment? We are so confident in our product that we let you pay the bulk of it only after you achieve success. We even finance the initial deposit for you. Is there another company that will do any one on one personal coaching (even using outdated basic methodology) with you and allow you to pay just $299.00 upfront? The short answer is NOAre there any other third party expenses?This is also another tricky one that most companies will try to avoid. We feel that some of these third party expenses can add up quickly and must be disclosed so you can make an informed decision. The types of expenses you will incur in the building credit process are as followsCompliance Costs – Sometimes you will have to pay state fees to get compliant (eg. Licenses, permits, corporation fees etc) Legitimacy Costs – Banks want you to be a legitimate business, you can’t be a legitimate business if you work out of the back of your truck. You will have expenses related to becoming “legitimate” Credit Building Costs – To build credit you typically have to buy stuff, buying stuff costs money. You also may have to pay third party fees to the credit bureaus so they can build your credit fileThe actual costs for these items range greatly based on your specific situation, type of business, state you are operating in, types of credit lines you want and items you buy. With every step we will offer you options that range from low cost and free to high cost. With each option we explain the positives and negatives and allow you to make an educated decision based on your needs and budget.Will you be my coach?Are you talking to a professional salesman or to the person who will be coaching you? Remember every company and situation is going to be different. How will someone who is not a coach be able to tell you that their coaching will work for you. These salesman do NOT know how to build credit, they are working on commission and their only goal is to “SELL” you. We talk to everyone before they decide to use our services. If we relied on salespeople that might “conveniently” leave things out we would be dealing with customer service issues all the time. Since our coaches are the ones that speak to you right from the start there will never be any broken promises and/or finger pointing.Shelf Corporations – If you are using another service to provide you with a shelf corporation make sure you ask this questionWill you guarantee that Dun and Bradstreet will not re-age this company when I try to build business credit on it and basically turn my aged shelf corporation into a brand new company?Dun and Bradstreet will re-age your aged shelf corporation if they see a transfer in ownership in the public records. We create our aged shelf corporations in a way that avoids re-aging. If you purchase an aged shelf corporation from us and let us help you build business credit on it we will warrant that if your company is re-aged by Dun and Bradstreet we will create a new company for you.Trade lines – If you are using another service to provide you with Trade lines make sure you ask these questionsWhat type of Trade line are you selling me?Authorized User – Authorized user accounts are temporary in nature, they usually last on your credit report for about 6 months and that is IF it ever makes it to your credit report to begin with. You must also be aware that many authorized user Trade line companies have gone out of business and there are several still out there selling a dream. You also want to keep in mind that lenders know about the authorized user loophole and have effectively closed it. If you are using the authorized user account to get credit you may be surprised to know that the lender will most likely rescore your credit file to remove the benefit you received from the authorized user trade line.Primary Account – A primary account is okay only if it is a NEW account and you are making payments, If you are added to an old “seasoned” account you are committing fraud if and when you apply for a loan. Worse yet the lenders have fraud departments that are looking for companies who provide “fake” credentials. One company in particular was opened by a ex-mortgage broker and is on the radar of the credit bureaus and underwriting departments. Imagine if you actually get a loan and have one of these “fraudulent” accounts on your credit and several years go by and you find yourself in financial distress and wind up defaulting on the loan. Do not think for a second that the lender you defaulted one will not come after you for fraud it happens everyday with people who provide fake paystubs, fake bank statements, and yes it can happen if you provide a fake trade reference. The company that is being sued for $100,000,000 issued and are still issuing seasoned primary trade lines.Our primary trade accounts are legit accounts. You are provided a NEW account, it is serviced my a fortune 100 servicing company, and you make monthly payments, if you are late you are reported late, if you are on time you are reported on time.Who do they report to?On personal credit you want your Trade line to report to at least 2 credit bureaus. In business credit you want it to report to at least Dun and Bradstreet. Our primary Trade lines report to 2 personal credit bureaus or 2 business credit bureausWe hope this information was found to be valuable to you and we hope you ultimately choose to do business with us. If you ultimately choose someone else and they fail you we will give you $100 off our service if you share your story with us.
Investing is such a complicated field that there are literally tens of thousands of books written on the subject. Investing can be quite difficult, depending on the strategy, though it and can also be simple and straightforward if done properly. One of the best pieces of investment advice ever given is to diversify your portfolio into several different investment vehicles. This can help you spread out the risk and achieve a steady return on your investment capital. This is the goal of most investors. This type of investing can be categorized broadly as value investing and with a diversified investment strategy that holds a goal of long term positive returns.Value Investing
On the whole, value investing is generally defined as investing that focuses on buying investments that have good value. This is a fundamentally safe and secure type of investment strategy. The goal is for steady appreciation and consistent yields on capital invested. Value investing is a fundamental and lies at the base of a solid financial investment plan. Buying investments because they are a good value is a mark of a solid investment plan. If you buy companies because they are good value, then chances are you will be in a position to enjoy capital appreciation in the years to come.Stock Market Investing
Stock market investing is one of the fundamentals of value investing. By diversifying investments into the stock market it is possible to spread out investment funds into a wide variety of different companies and their stocks. It is certainly very difficult to choose specific stocks that are going to go up in value immensely in the years to come. The Walmart-like stocks are few and far between and taking them at their outset is almost impossible. This certainly does not mean that you should not try. Buying fundamentally sound stock market investments can be a goal and ticket to a fruitful financial future ahead.Penny Stock Investments
Penny stocks are those that bear their own name. These stocks are often valued very lowly and the costs are often quite low-often times ranging from a few pennies per share up to a couple dollars per share at the most. Some investors believe that there is great potential return in penny stock investments because you can buy for such a low cost a large amount of shares and if there is any appreciation in value this year value will likewise increase. An increase in the share value will yield an increase in the investment return as well.Bonds Investing
Bonds are another core element of a diversified investment strategy. Bonds typically have slow and steady growth patterns and consistent yields year after year. This makes them the ideal investment for slow and steady capital appreciation. There are several different types of bonds available ranging from government-backed bonds to higher risk corporate bonds. Bonds remain one of the best ways of diversifying a portfolio with safe and secure investment returns. Talk with an investment adviser about the different kinds of bond ratings and how the different types of bonds will play an important part in your overall investment portfolio.Mutual Funds Investing
Mutual funds are yet another way of diversifying investment risk and return. Some mutual funds specialize in high risk/high yield type investments, while others mirror segments of the stock market (as in Spider Funds, which buy the exact companies that appear on certain stock indices). Mutual funds are run by a board of directors and a management team in most cases. These individuals have the responsibility of making the investment choices for the entire fund.Mutual funds are traditionally one of the most popular investments options and routes to take. Mutual funds are easier to become involved with than almost any other investment. They are often times the starting place for investors who are looking to have the potential for return while also curving the risks in spreading out the potential downside. One of the challenges with mutual funds, however, is the fact that there are so many and they can be difficult to choose between them. Out of thousands of different mutual funds, finding one that meets your investment requirements can be tricky. It also should be noted that just because a mutual fund has done well in the past that does not mean that it will continue to do well in the future. Very few mutual funds maintain a steady track record over time.Commodities Investing
Commodities are another option for a diversified investment portfolio. Commodities represent certain items like corn, oil, gold, silver, and other such natural items classified as commodities. Commodities can often be used as a ‘hedge’ investment and have a safe and secure track record. Investing in commodities should be done with the help of an experienced investment adviser only or with much experience under your belt. They are not typical investments and should not be viewed as ones that are as easy to invest in as bonds or mutual funds. Typically, commodities investments can be used as a counter-trend type of investment, or in other words, as a protection against loss when other types of investments seem to be falling. Commodities will typically hold their value contrary to the stock market as a whole.All of these different types of investment options should be discussed with a qualified investment adviser or broker. To venture into these investments on your own can be dangerous. It should be mentioned that with any investment there is the potential for loss. Anytime you have the potential for substantial gain, likewise you have the potential for substantial loss. Some of these investments are more secure than others. You should discuss your options and your long-term strategy with your investment adviser to determine the best plan moving forward. You’ll want to create a diversified plan that creates a steady return while minimizing risks.
Despite an economic downturn, poor sales, extensive unemployment and a banking emergency, this actually may be an excellent time to think about buying a business. The reason is really very simple: it’s currently a buyer’s market, which means the time is perfect for buying a business.Buy business trends are on the upswing, with sellers relaxing their purchase business terms because there are fewer qualified buyers, third-party financing becoming near impossible, and opportunities to negotiate a really good deal for a business for sale aplenty.However, the receptive climate for purchasing a business doesn’t mean that you should advance without having key buy business essentials in place. It’s very easy for enthusiastic, yet inexperienced buyers, to pay too much for a business for sale that has no chance for survival, even in good times.First and foremost, it’s important to know the purchase business climate before even considering whether to own a business. Currently, the buying a business market is being crippled by the economy and there is a lack of small business lending. Consumer confidence that the economy will turn around anytime soon is very low and many businesses are seeing multi-month declines. For these reasons, it’s necessary when considering a business for sale to negotiate a deal that will protect you now and in the future if the economy doesn’t improve in the near-term.Before deciding whether to own a business during these tumultuous times, there are six basic buy business steps to follow. By following smart purchase business philosophies, you will position your new business to succeed regardless of the economic climate.Here is a look at the six important steps to buying a business:1. Request Several Previous 12-Month Profit & Loss Statements. Normally, a seller would provide year-end financial statements, any interim statements and tax returns for buy business inquiries. But considering the current economic conditions, you need to see the business for sale financials from the current date and back to the past 12 months, as well as financials from the prior 12 months and the 12-month period before that. This will give you a better picture of the overall health of the business for sale.2. Be On The Lookout For Hidden Expense Cuts. With a business for sale, many sellers try to make the company look better by making cuts to enhance profits. When reviewing the financials, look at expenses for marketing, advertising and payroll by doing an item-by-item comparison over several periods and comparing the number to sales or income. Furthermore, a review of the balance sheet will show whether inventory has been cut or if shareholders or owners contributed their own money to improve the company’s bottom line.3. Review The Customer Base. When purchasing a business, a thorough understanding of the current customer base is crucial. Although a business may be performing well, sales might show problems. If you decide to buy a business where sales are declining, make sure that you modify the purchase price accordingly and establish a new sales and marketing plan.4. Negotiate Earnouts. These are purchase business terms based on performance. Linked to the purchase price, earnouts are assurances that the business for sale can survive in the current economic climate and grow in the near future. Once you’ve completed a thorough analysis of the books, set an asking price that’s directly related to the present performance of the business and its sustainability for possible future declines. It is critical to negotiate a performance-based deal, especially if the purchase business evaluation indicates a loss or no recent stability or growth. With an earnout structure, the seller receives the balance of the purchase price when certain targets are met in the future. Earnouts can be based on profitability, sales, or retention of customers.5. Insist on Seller Financing. As far as lenders are concerned, this is not a buy business climate. So chances of you receiving financing for buying a business are slim, especially if you have little collateral or no business ownership experience. As such, it’s important that the seller finance the entire purchase business price or a large portion of it.6. Don’t Be Intimidated By Business Brokers. They represent the seller, so it’s their job to present a positive buy business environment. As such, you need to take control of the deal.When buying a business, it is essential to obtain all the key financial and performance data related to the business for sale. This information is your bargaining tool when meeting with the seller. You can own a business and be successful at it if you make well informed purchase business deals with the seller to limit your risk. Despite the present business climate, it’s exhilarating to own a business and there isn’t anything that should get in your way of realizing your dream.