Build Business Credit forSBA Loan Success

Transform your business credit score from startup to SBA loan-ready. Our proven system helps businesses improve credit scores by 20-50+ points in 6-12 months.

92%
SBA lenders check business credit
680+
Minimum personal credit for SBA loans
75+
Target business credit score
6-12
Months to build strong credit

Business Credit Score Ranges

Understanding where your business credit stands and what lenders look for in SBA loan applications.

80-100
Excellent
Qualifies for best SBA loan rates and terms
70-79
Good
Strong SBA loan approval chances with competitive rates
60-69
Fair
May qualify for SBA loans with higher rates
50-59
Poor
Limited SBA loan options, improvement needed
0-49
Very Poor
SBA loan approval unlikely, focus on credit repair first

What Affects Your Business Credit Score

The five key factors that determine your business credit score and how to optimize each one.

Payment History

35%

Pay all business bills on time, every time

  • Set up automatic payments
  • Pay invoices early when possible
  • Never miss vendor payments

Credit Utilization

30%

Keep business credit card balances low

  • Use less than 30% of available credit
  • Pay down balances monthly
  • Request credit limit increases

Credit Age

15%

Maintain older business accounts

  • Keep old accounts open
  • Use older accounts regularly
  • Build long-term vendor relationships

Credit Mix

10%

Diversify types of business credit

  • Business credit cards
  • Trade credit lines
  • Equipment financing accounts

New Credit

10%

Manage new credit applications carefully

  • Space out credit applications
  • Only apply for needed credit
  • Monitor credit inquiries

4-Step Business Credit Building Plan

Follow this proven timeline to build business credit from zero to SBA loan-ready in 6-12 months.

1

Establish Business Credit Foundation

1-2 months
  • Get Federal EIN (Employer Identification Number)
  • Open business bank account with EIN
  • Register business with Dun & Bradstreet
  • Set up business phone and address
2

Build Initial Trade Credit

2-3 months
  • Apply for net-30 vendor accounts
  • Start with easy approvals (office supplies, fuel)
  • Make small purchases and pay early
  • Request credit reporting to bureaus
3

Secure Business Credit Cards

3-4 months
  • Apply for secured business credit cards
  • Graduate to unsecured cards as credit improves
  • Keep utilization below 30%
  • Pay balances in full monthly
4

Diversify Credit Types

6-12 months
  • Add equipment financing or lease
  • Establish business line of credit
  • Build relationships with multiple lenders
  • Monitor credit reports monthly

Credit Mistakes That Kill SBA Loan Approval

Avoid these common mistakes that can destroy your business credit and hurt your chances of SBA loan approval.

Mixing Personal & Business Credit

Hurts both personal and business scores

Keep business expenses on business accounts only

Missing Vendor Payments

Severely damages payment history (35% of score)

Set up automatic payments for all business bills

Maxing Out Business Credit Cards

High utilization destroys credit score

Keep balances below 30% of credit limits

Not Monitoring Business Credit

Miss errors and fraudulent activity

Check business credit reports monthly

Applying for Too Much Credit at Once

Multiple inquiries lower credit score

Space credit applications 3-6 months apart

Closing Old Business Accounts

Reduces credit history length

Keep old accounts open and use occasionally

Ready for an SBA Loan?

Once your business credit score is 70+, you're ready to explore SBA financing options. Calculate your potential loan amount and monthly payments.

Business Credit Score FAQs

What's the minimum business credit score for SBA loans?

While there's no official minimum, most SBA lenders prefer business credit scores of 75+ for the best rates. Scores of 60-74 may qualify but with higher rates. Below 60, approval becomes very difficult.

How long does it take to build business credit from scratch?

Building business credit takes 6-12 months minimum. You can establish basic credit in 3-4 months, but building a strong score (75+) typically takes 12-18 months of consistent payment history.

Can I get an SBA loan with bad business credit?

It's very difficult. SBA lenders typically require both good personal credit (680+) and business credit (60+). Focus on improving your credit first, then apply for SBA financing.

Do SBA loans help build business credit?

Yes! SBA loans are excellent for building business credit because they report to all major business credit bureaus. Making on-time payments significantly improves your business credit profile.

What's the difference between personal and business credit scores?

Personal credit scores range 300-850 and track your individual credit history. Business credit scores range 0-100 and track your company's credit history. Both are important for SBA loan approval.

Start Building Business Credit Today

Don't wait to start building business credit. The sooner you begin, the sooner you'll qualify for SBA financing to grow your business.