Personal credit score for small companies and businesses is a key consideration to the types of loans and leases you have access to. Other things being equal, the higher your score, the lower the interest rate you will pay on everything. Remember, lenders often won’t know what a great person you are; they can only go by the record you’ve created. Your FICO score, calculated by Fair Isaac and Company, is determined by 3 main factors, which you should be aware of.
Small tip – if you’re in a cash crunch and forced to make late payments, pay the larger debts, e.g. mortgage, and delay paying the smaller accounts. Late-pays on mortgages and larger debt will easily knock down your score by 50+ points overnight and is a red flag for lenders who will instantly decline you.
Officers in larger companies won’t be as concerned with their FICO score in regards to their company’s financing ability but we should all manage our personal scores as closely as possible.