Frequently Asked Questions
Q: What services does HSM provide?
A: We teach business owners how to build corporate credit for their businesses through our one-on-one consulting/mentor-ship program which includes access to high limit credit products with no personal credit check.
Q: What is corporate or business credit?
A: Business or corporate credit is credit that is earned and assigned to a corporation or business rather than an individual person. This credit is essential in establishing and maintaining business or banking relationships with potential creditors, vendors, business partners, or even clients.
The “credit profile and rating” established by the business credit reporting agencies are primarily based on your companies past and current payment history, among other significant factors. This profile and rating system is used by potential creditors, vendors, clients, or business partners to gauge business reliability and to determine the risk associated with extending credit to your company.
This relationship can be loaning operating capital to your company or corporation, leasing property and supplying equipment. Establishing and maintaining business credit is important to the health and longevity of your business, and it also has a major impact on the way your company is viewed in the business world.
Q: What is the benefit of building business credit?
A: The advantages of established business credit range from simple operational issues all the way up to allow your company to withstand scrutiny from a potential client. From an operational perspective, establishing business credit allows you to purchase supplies, pay debts, maintain facilities, hire additional staff, and compensate for a downswing or upswing in business without depleting vital liquid assets. If you establish business credit you’ll be assured that your business has the ability to respond rapidly to market demands or growth.
For example, while an increase in orders or business is usually a good thing, having the proper credit facilities to allow your company to respond to such demands is important. Facilitating the increase in operational capacity without having to “front the cash” will go a long way to ensuring a much better response to the increase. Also, many lending institutions and lease providers base their interest rates on what the business credit profile and rating is for your company. Having established credit can lead to substantial savings in interest rates and more favorable lease and loan terms.
Q: What do I need to start building business credit?
A: You’ll need to incorporate your business and obtain a Federal Tax Identification Number. As a corporation, your company is treated as a separate being with its own tax registration with the IRS and state agencies. It files its own tax returns and it can also create its own credit files completely separate from that of its owners.
Q: Why should I choose High Score Mentor to secure business financing?
A: There are three primary reasons you should use us to assist you in securing business capital. They are as follows:
Lending Compliance: Our entire process is based on lending compliance and ensuring that your company is bank-ready (or ‘fundable’). Our business credit mentors work with you directly to ensure your company meets the underwriting guidelines set by each of our funding sources. It’s important to understand why businesses are being denied for funding and how to avoid these pitfalls when applying for business financing.
Access to Capital: We are proud to have access to more than 400 sources of credit. This means our clients have a much better chance to secure more capital. When business owners are denied at their local bank or credit union, many of them have no other resources. We have been incredibly successful at getting our clients financing via the hundreds of funding sources that we have to choose from.
Proven Results: Many small businesses have already successfully utilized our platform to build business credit and secure funding shows our ability to help you.
Q: What criteria will I need to meet in order to be eligible for funding?
A. We’re able to help our clients secure “No-doc” funding which requires NO income, asset or financial documentation at all.
However, when seeking capital in excess of $100K to $150K most funding sources may want to review the following documents: 1. Business bank statements 2. Profit and loss statement 3. Business plan (in some instances) and 4. An executive summary (in some instances).
High-level loans in excess of $ 100K, in some cases, may require a personal credit check. If you credit is poor, strong business credit will often result in approval.
Q: Do I need to initially use my personal credit to secure business credit?
A: One of the primary reasons for building business credit is to avoid the use of personal credit and the need to provide a personal guarantee.