may be beneficial for them to establish for their particular
company.
Many business owners believe that they must build a Dun
and Bradstreet profile before first, before they can get access
to the top tier corporate credit instruments.
By utilizing our network of lenders and high level banking
associates, our clients are able to get approved for top tier
credit quickly, even with brand new businesses.
Real estate investors may not see much of a need for Tier1
through Tier3 credit.
Having a $30,000 Staples card, for example, or a $10,000
line of credit from a local shoe store may not help a real
estate investor finance rehab expenses.
Our business credit program gives clients access to capital
they can use for any business expense without affecting their
personal credit profile.
As an added bonus for coming through our funding pro-
gram, clients are provided with a step-by-step PDF, which
shows them how to establish their Tier 1 through Tier3 credit
on their own, at no additional charge.
PM411: You mentioned that there is more than one
business credit bureau. What are they?
Malone: There are three main credit bureaus of which small
business owners should be aware:
The first one is almost synonymous with business cred-
it—it’s what everybody talks about because it is the easiest
for businesses to get access to, but, it might not be the most
helpful for a real estate investor. And that’s Dun and Brad-
street.
Dun and Bradstreet allows businesses to get a D&B Profile
number for free. After paying a quarterly fee for their credit
builder program, businesses can begin reporting their Tier
1-4 accounts. This reporting is what helps establish the D&B
Paydex score.
The next two business credit bureaus are Corporate Expe-
rian and Equifax Commercial. These reports are primarily
used by local, regional, and large big-box retail banks.
Just as it is important for an and individual to have a strong
Experian and Equifax credit profile, a business should also
have a strong Corporate Experian and Equifax Commercial
report.
Helping our clients build their business credit profiles with
these business credit bureaus also allows our clients to get
additional perks from other major lenders in the future, as
their profile ages.
PM411: Bill, what type of terms are available with your
program?
Malone: We help our clients establish revolving lines of
credit. This means the accounts can be charged up and paid
off as often as the client wishes. These accounts come with a
0% interest introductory period for 6-12 months.
Instead of applying and re-applying for new loans to invest
Realty411Guide.com
in real estate, our clients only need to apply one time to have
ongoing access to capital through our revolving line of credit
program.
For example, an investor purchases a property, and uses
our revolving accounts to finance rehab expenses. Once the
property is flipped and sold, the investor can pay off the bal-
ances on their revolving lines, and have capital immediately
available to finance their next project.
A majority of our real estate investors take advantage of
their 0% introductory periods and can expect to receive addi-
tional 0% interest offers on their accounts, after responsibly
managing them for six months.
PM411: What if my investing company is brand new?
Can I still get capital?
Malone: Absolutely! A majority of our clients have brand
new businesses. As long as our clients have an existing
business and a strong personal credit profile, we can get
them approved for real estate capital.
PM411: Do you require financials on the business or
individual?
Malone: Our program is completed on a stated income appli-
cation. For clients, this means they do not need business tax
returns or collateral to get approved.
PM411: How fast can clients get capital from you?
Malone: Clients will be able to find out if they qualify within
one business day. If the client qualifies and decides to pro-
ceed with the approval process, they can expect to have their
approved capital in hand within three weeks.
PM411. What can the capital be used for?
Malone: The capital can be used for any business related
expenses. Many clients use their approved lines to cover ev-
erything from accountant payments, rehab costs, materials,
education, fuel, office supplies, etc.
PM411: How important is it for a real estate investor to
establish business credit?
Malone: I believe it is imperative. Getting and establishing
working capital is essential for any small business, especial-
ly real estate investors.
Over 200,000 new businesses are formed each year in the
United States with half of them failing within their first five
years. The U.S. Small Business Administration states the
top two reasons for failure are: 1. Poor management and 2.
Lack of working capital.
Ensuring the success rate of any business requires reliable
and obtainable financing, REICredit arms our clients with
the working capital they need to succeed.
PM411: Thank you for taking the time to speak with us.
Malone: It’s a pleasure. Thank you for the opportunity.
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