As entrepreneurs, we have a lot on our plate. It’s very easy to let things slip through the cracks—no one is going to argue that. However, the fact remains, that much of our upward mobility and potential to explode our business growth is dependent upon our ability to secure funding to increase our growth.
Our ability to secure funding is almost always going to be connected to how we manage our personal credit. Until you own a successful $100 million business, with incredibly strong corporate credit, your personal credit will be an important factor in securing funding.
This means that unequivocally, we need to focus in and MAKE OUR DAMN PAYMENTS! We’re not living in 1985. We’re not missing a small $50 payments because the check got lost in the mail. We have technology. There is no excuse, like the check getting lost in the mail, for us to make late payments.
Nearly every creditor out there allows you to set up automatic minimum monthly payments. Which means, unless we legitimately run out of money to pay our bills, we should always make our payments on time. Missing one of those small payments can result in your credit score going down, which will reduce the number of money lenders that will give you money, drastically.
One of the saddest parts about this, and why I yell, scream, and cuss about this topic, is because for a late payment to show up on your personal credit report with Experian, Equifax and Transunion, you have to be at least 30 days late on your payment. That means you can legitimately be 29 days late and still make your payment on time and avoid a late hit to your credit.
If you have bad credit and want to rebuild your credit, get started by applying at Fundwiseto learn how to get your credit higher.
It is shocking that I see dozens of entrepreneurs every single day who have financial stability and yet, out of sheer lack of focus, fail to make a $25 or $45 monthly payment. Too often, this doesn’t happen to them once, but twice in the last 24 months.
Those two late payments alone, significantly drop their credit score and in most cases, make it impossible for them to qualify for the funding they so desperately need. The solution is simple!
Set up automatic minimum monthly payments & track payments in a spreadsheet
Check your payments twice a month to make sure they are being made.
These accounts have affordable monthly payments and can be used and paid down over and over again.
It only takes a 680 or better credit score to qualify, if you lack the credit score, find a partner with a 680+ score, or apply and we’ll try to guide you to the best options for improving your score so you can qualify in the future.