Starting a business can lead to financial challenges even with hard work and industry experience. Many entrepreneurs overlook the importance of establishing a credit history. A lack of credit can result in difficulties accessing loans and trade credit. This entrepreneur found themselves cash-strapped despite having accounts receivable. Realizing that lenders need data to trust borrowers, they began to build their credit step by step by applying for credit cards and paying bills consistently on time.
I figured my work ethic and expertise would carry the day. And for a while, they did. But what no one tells you - what I learned the hard way - is that you can be doing everything right, and still be broke.
I assumed I'd be able to get trade credit from vendors - no luck there either. I had no credit history. Not bad credit. No credit.
The problem wasn't personal - it was systemic. Lenders and vendors weren't being unfair. They just had no data to go on.
I started building my credit history, step by step. I applied for credit cards. I opened small lines of credit. I paid everything on time, every time.
Collection
[
|
...
]