Building Business Credit

By: Micah

Tier 1:

During this phase, you will pour the foundation of your business credit profile. No; pouring the foundation is not as fun as putting on the finishing touches but it is a necessary step. You start with small dollar store cards during this phase. Apply and get approved for 2-3 of these. Use the accounts for 2 months and move onto tier 2 accounts.

Tier 2:

Once your tier 1 accounts have reported for 2 months, apply for 2-3 tier 2 accounts. Use these for 2 months and move onto tier 3.

Tier 3:

These accounts are harder to get approved for than the first two tiers. You will get denials. Do not let this discourage you. If you get declined, wait another 2 months and reapply. Get approved for and use them for 2-3 months and move on to tier 4.

Tier 4:

Why is this section blank? Because this is where it gets tricky. A one-size-fits-all solution does not exist with tier 4 credit. Tier 4 is bank credit cards and other bank financing. This tier will require a personal guarantee. There are a lot of factors that come into play. Factors such as:

  1. Which credit bureau will the lender inquire credit from?
  2. Will the account you’re applying for report to your personal credit?
  3. Will the amount of inquiries you already have automatically get you declined?
  4. Is the bank you’re applying with a true commercial bank?
  5. Will the account you’re applying for have any benefit to your business credit?

There proper technique that leads to success in this tier is different in every state in the United States. American Business Funders specializes in guiding clients through the mine field of tier 4 financing. Apply today to see if you qualify to have us set up your tier 4 accounts!


To inquire about building additional business credit, 




Don’t want to wait? To submit a secure prequalification and get a free consultation, 

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