There is a number one rule in building business credit and that is to pay your bills on time. This shows other businesses, particularly investors and suppliers that the process of business is being carried out the way it should be. But even more importantly it allows banks and financial institutions to see for themselves whether or not the business is operating under good financial parameters.
When a bank or other lending institution receives a request for a business loan one of the first things they do is check the business credit score with either Experian Business, Equifax Business or Dun and Bradstreet. The reports a creditor can buy from these companies will immediately identify any outstanding business liabilities as well as showing how well a company has been doing to pay their bills and keep their suppliers happy.
The other important factor in building business credit is to for the owners or principals of a business to look after their own personal finances. When a bank lends money in the form of a business loan or business line of credit they have to satisfy themselves that the corporate officers of the business are themselves creditworthy. In fact under the Small Business Administration guidelines this is one prerequisite for banks to access funds under the Small Business Act.
Another element in building business credit is to keep good financial records and have a solid accounting system that not only tracks accounts payable and accounts receivable, but is also capable of making forecasts and projections about financing and cash flow problems before they arise. One of the major reasons that small businesses fail is that they do not properly track their financial situation so even if a business never has to borrow money, it will need to be financially well organized just to survive.
A final way in building business credit is to create a business credit track record. A business can do this by borrowing small amounts of money or arranging limited financing using personal guarantees. This shows the banks that a business is not afraid to invest in itself and is prepared to back that up with their own personal monies. Just like getting a car loan and making all twenty four payments on time at the bank will improve your personal credit so too will meeting your financial commitments in a business arrangement improve and build your business credit.
Building business credit is a process that will evolve over a period of time. Just staying in business past the first two years will improve your business credit outlook. So too will keeping your suppliers happy and ensuring that your financial recording systems are accurate and up to date. The longer that you pay your bills on time the greater your business credit will grow. Look after the small things in your business and building your business line of credit will look after itself.
You have just meant a new girlfriend, boyfriend, client, or made a friend and you really want to build a relationship with them. If the person is a potential partner you will want him or her to fall in love with you. In addition, you may even just want to know some effective phone skills to build any relationship. This article will share with you the number rule to telephone communication skills.
The telephone is a different medium to traditional face-to-face communication. What does this mean to you? Rules change and tips can be adapted from normal face-to-face communication to help you build your relationship.
What does not change is the fundamental human psychology within the two people at both ends of the phone line. Because of this, you will see how these golden rule of phone skills I am about to share with you can be adapted to your everyday conversations.
The absolute golden rule over the phone is you must ensure the person you are talking to over the phone is receptive to what you are saying. No matter what you say or how you say it will matter if the person is not receptive. If the person had his or her family taken away by little green Martians or a young child is howling louder than a wolf, the person will not be receptive to what you say. Your messages will go no further than out the other end of the phone and not reach the person's mind.
It is a good habit to always ask upfront if the person has time to talk. After the greetings, simply say, "Do you have time to talk?" Saying this makes you courteous and unobtrusive on the person's space. When we do not have the time to talk, the only thoughts we have in our mind are wondering "How long will it be until this damn person shuts up because I've got things to do!" When someone is rushing there is no room for them to love you.
The first type of this rule ensured the person is receptive at the start of the call and the second rule will make sure the person is receptive during the conversation. While talking on the phone, interruptions arise. Some can be undetectable to the other person yet others can be heard over the phone.
When you hear a baby howling, a door bell ring, or a loud bang for example, don't ignore it! Say what sound you heard and ask if the person needs to attend it. The empathy you communicate through acknowledging potential interruptions will make the person see you in a more favourable light and ensure the person is tuned in to what you say.
Follow this golden rule of telephone communication skills and you'll be on your to having better relationships.
Both David Gass & Joshua Uebergang are contributors for EditorialToday. The above articles have been edited for relevancy and timeliness. All write-ups, reviews, tips and guides published by EditorialToday.com and its partners or affiliates are for informational purposes only. They should not be used for any legal or any other type of advice. We do not endorse any author, contributor, writer or article posted by our team.
David Gass has sinced written about articles on various topics from Accounting Guide, Finances and Network Marketing. David Gass is President of Business Credit Services, Inc. His company publishes a on Small Business Consulting at their web site. David Gass's top article generates over 246000 views. to your Favourites.
Joshua Uebergang has sinced written about articles on various topics from Sociology, Parental Care and Marketing and Communications. Joshua Uebergang can teach you more at his website EarthlingCommunication.com. You can sign-up to his free communication skills. Joshua Uebergang's top article generates over 40500 views. to your Favourites.