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Hi,
I am having much difficulty finding any information. I just opened a small business and have obtained a Federal ID number. My question is,with it being a new account with no credit history I think that getting credit will be problematic.
I want to know if I can take positive credit from my personal credit history and add it onto my business credit? Like piggy backing myself, and can this only be done with credit cards, I have payed off bank loans and have a very good personal credit history.
Personal and busioness credit
Hi Min,
No, you cannot piggyback your own credit onto your another credit. In fact piggybacking is not a legal concept. Moreover, your business and personal credit are two very different things and they cannot be merged.
Thanks,
Aaron
Actually many small business men do apply there own credit to their business loans but it is dangerous. you have no protection if the business goes under.
your good personal credit is helping your business already, it is just a slow start.
You can use personal credit but it is very unwise
Subject: Adding personal credit to business credit
Do not mix your personal with your business credit. Keep them separate always. Here is a tip look for vendors that report to business credit and buy periodically from them using the business EIN #. That will build business credit. Open a business bank account and apply for a small secured loan, that will do the same (as you pay it off). Building business credit is a complete process and is more rewarding than personal credit. Piggbacking does not work like it used to.
piggybacking
Ok. Hey, are you the same Aimanzul from the Aimanzul Blog on wordpress. Are you the same person ? That blog has some real interesting information on personal and business credit