How to Use Business Credit As a Startup: Where to Find It

The truth is, even as a startup you can benefit from business credit. Generally, the mindset is that you have to have credit to get credit. Unfortunately, this is more true with business credit than personal. However, it is possible to get credit for your business as a startup.  With inflation on the rise, it’s more important now than ever. So, here’s how to use business credit to fight inflation as a startup.

First, starting this process as early as the startup phase has many benefits. In fact, the earlier you start the better. Still, it isn’t easy to find companies that will extend credit to a startup.

Business Credit Options for the First 30 Days

In the first 30 days most businesses can get accounts with:

• Uline
• Brex
• Grainger

Uline

Uline sells shipping, packing and industrial supplies. To get a Net 30 account with them you need to meet the general requirements for a FundableFoundation. In addition, they may require that you make a few prepaid orders before they offer net terms.

Now, how do you use business credit with Uline to fight inflation as a startup? Use your Uline account to buy things you need for your business now, before prices rise anymore. Imagine, even if you buy things you will not use for later, you are probably saving money in the long run. Due to inflation, the price may very well go up before you actually need to buy them again.

Some examples of things you can buy include:

• Office furniture
• Office supplies
• Warehouse equipment
• Shipping supplies
• PPE
• Items needed for retail setup

Brex Net Daily

To start, open a Brex cash account. Everyone with a cash account gets a corporate card that works like a debit card. However, as you buy things on it, they report to Dun & Bradstreet like you are making payments on a credit  account. Even though this doesn’t include extra funding, it can still be helpful. This is because it can help build your business credit score faster.

Grainger Industrial Supply

Grainger sells hardware, power tools, pumps and more. In addition, they offer fleet maintenance. The account reports to Dun & Bradstreet. To qualify, you need to meet the standard Fundable Foundation requirements, plus be registered with the Secretary of State for at least 60 days.

Furthermore, if you have no established credit, more documents may be necessary. These may include:

• Accounts payable
• Income statement
• Balance sheet

How to Use Business Credit With Grainger to Survive Inflation

You can use your Grainger account to buy:

• Constructions supplies
• Cleaning supplies
• Tools
• And more!

Just like with Uline, you can buy now to lock in lower prices before inflation causes them to rise.

Business Credit Options for the First 60 to 90 Days of Operations

In the first 60 to 90 days many will qualify for accounts with:

• United Rental
• Tiger Direct
• Amazon

United Rental

United Rental is the largest equipment rental company in the world. To qualify for a credit account with them, you need to have a FundableFoundation. There is no minimum time in business and they do not require a minimum purchase to report payments.

Use this account to rent tools and equipment, which can help you manage your cash flow better.

Tiger Direct

Tiger Direct is an online provider of electronic products. They offer pretty much anything you can think of when it comes to electronics, including:

• Computers
• Hard drives
• Keyboards and more

Use your account to buy things you need, run your company more efficiently, manage cash flow, and build business credit.

Amazon

Everyone knows Amazon is an online retailer of virtually everything. However, they also report payments on business credit accounts to D&B and Equifax.

So, wondering how to use business credit with Amazon to help your company make it through inflation? Like the others, use it to buy things you need for your business while the prices are lower. Then, when you have the cash to pay later, you will not have to worry about the rising prices.

Keep Building Business Credit

That’s how to use business credit as a startup. Leverage the few credit accounts you can get as a startup, and grow your business credit score through the startup phase. Truly, credit for your company can be an excellent life raft to help you get through the sea of inflation. After that, you can continue to grow your business and thrive well past startup.

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