For business owners planning for their future, credit cards carry significant advantages over cash or checks. Unlike cash, you have a number of business credit card offers to choose from and there are business credit card deals that cover a wide range of rates and fees. You can compare business credit cards easily online, without leaving your home or office. You do not even need to leave your desk, and with a few clicks you are on your way to comparing business credit cards, reviewing terms and conditions and comparing business card deals. As simple as it sounds, doing business through credit cards opens up a world of financial opportunities, benefits and flexibility for all types of small businesses and helps business owners manage their finances more effectively.
However, business owners should also realize that business credit without a DUNS number is useless for most small business. A DUNS number is an eight digit number provided by the business issuer. It is used as an identification number to give to the business credit card company for reporting business credit activity. Therefore, the use of a business credit without a DUNS number is highly restricted.
A DUNS number is important because it provides a record of the business's credit history to potential lenders. That's why if you apply for a business credit card, it is imperative that you have a DUNS number to ensure approval. It also shows your creditors that you have a legitimate business that can be trusted to handle business expenses. If you don't have a DUNS number or have been previously denied credit, you can still apply for a business credit card but chances of approval are far from great.
Most business credit cards, even those without a DUNS number, provide business owners with the ability to build up business credit quickly. Business credit cards offer business owners a variety of ways to increase their credit limits quickly. The most common way to increase a business credit limit is to transfer existing balances to the new credit card. You need to be aware that most business credit card companies do not provide incentives to keep existing balances when you transfer them. This means that the only way to increase your business credit limit is to pay off the balance and then continue to make your payments on time.
Another way you can increase your business credit card limit is by paying it off in full. Most business credit cards will allow you to pay down a percentage of your business credit card balance at any time. This means that by paying off your business credit card balance, you'll be able to take advantage of the promotional offers that many business credit cards offer. Just make sure that you pay off the balance in full each month.
One way to increase your business credit card limit without having to go through a DUNS number process is to find a business line of credit that allows you to choose the limits you need. These lines of credit typically have a higher interest rate than a typical credit card, but they also have a lower fee and interest payment for the privilege of using them. If you are able to find one of these business lines of credit, it will allow you to make larger purchases or pay down debt much more easily.
There are a few things to consider before you apply for business credit cards. For example, you want to make sure that the . . . . . . business credit card you get doesn't have any fees attached to it. Fees are what can put a business into debt, so you want to avoid any business credit card with extra fees. In addition, you also want to make sure that the credit card has a low interest rate, as high interest rates can cost you a lot of money if you aren't careful.
So there you have it – three different ways you can increase your business credit without having to use a DUNS number. Make sure you take the time to compare business credit cards before you choose the best one for your business. When you do this, you can start to build a good credit history for your business that will help you in the future, even if you never have to use a DUNS number.