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The primary credit score utilized in the business world is known as a Paydex score provided by Dun and Bradstreet. This number assesses a business' lending risk much the exact same as a consumer credit score reflects a consumer's individual credit risk. Paydex is essentially the company similar of your individual credit score. The precise definition from Dunn & Bradstreet, or D&B is: The D&B PAYDEX? Score is D&B's unique dollar-weighted numerical indicator of just how a firm paid its bills over the past year, based on trade experiences reported to D&B by various vendors. There are many BIG differences from a business Paydex credit score and also an individual FICO consumer credit score. Consumer FICO credit scores vary from 350- 850. The Paydex Score ranges from 0-100 with 100 being the highest score we can obtain. Individual credit scores are calculated based on a number of factors. The Paydex score is calculated based on just one single factor; whether or not a business makes prompt payments to its suppliers and lenders within the agreed upon terms of payment. Many lenders and suppliers are searching for a score of 70 and higher. Having a score of 80 as well as above is very good. Here is a breakdown of how the Paydex credit score is calculated: Expect payment can come early 100 Payments generally come in early payment discount period 90 Payment is prompt 80 Payment comes 14 days beyond terms 70 Payment comes 21 days beyond terms 60 Payment comes 30 days beyond terms 50 Payment comes 60 days beyond terms 40 Payment comes 90 days beyond terms 30 Payment comes 120 days beyond terms 20 Unavailable UN If you own a business, your own Paydex score is essential in establishing new credit and also continuing to build credit limits exceeding $100,000. It only takes 60 days to establish a positive Paydex credit score. To begin you will first like to apply for a DUNS Number, a nine-digit business identifying amount, with Dun and also Bradstreet. As soon as the DUNS number is established you'll next need to find a merchant that will extend we credit and also then report that credit to Dun and Bradstreet. When you have positive business credit report to Dun as well as Bradstreet you'll have a positive Paydex score established. You will need to then apply for more business credit and use it regularly. Make sure we pay all payments back early to raise the scores to 80 or perhaps higher. You can easily and also quickly establish a positive Paydex credit score. As you continue to pay your own bills timely your own scores will continue to raise giving we the ability to be considered for credit in your own business name. Eric Counts is currently the CEO of Complete Credit Care and http://www.BusinessCreditNerds.com where he specializes in helping business owners establish excellent business credit scores and then leverage those scores to access cash and credit for their businesses. Mr. Counts is also the mastermind behind the release of the exclusive Business Funding Suite. The BusinessCreditNerds.com Funding Suite is the leading business cash and credit access system in the world today. For more info on obtaining business credit, visit http://www.BusinessCreditNerds.com .
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Business credit, business funding, business loan, credit cards, Paydex, dun and bradstreet, DUNS,
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