Due to the current economic uncertainty, many small and start-up business owners are having a harder time gaining access to capital for their businesses.
As a result, nearly a third of these businesses use credit cards as their primary means of financing. Owners with high credit scores will be able to secure the best interest rates on new loans.
"You should know your own credit history, because lenders and investors are going to take a close look at it," Yuri Schmidt, an account manager with NYC Business Solutions, told The Entrepreneur.
Business owners need to have a credit score of more than 700 if they wish to start a company, the news source says. However, those who are below this credit level can check their credit reports for errors and other inconsistencies. By successfully disputing these claims, small business owners can gain access to major lenders rather than credit unions and microloan providers, many of whom have tight credit restrictions.
Those who fall victim to other kinds of unfair credit reporting may be in need of a credit fix. By contacting a credit lawyer, these small businesses could find ways to successfully dispute errors and get the credit score help they need to flourish in a weak economy.