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One thing is certain about all sorts of business lending, whether it be lines of credit, mortgages or business credit cards; without personal guarantee, absolutely no one is going to lend anything to you. This means that your business credit building strategy is going to have to have some way to show that you have a personal guarantee on what it is that you are doing. But this is not terribly difficult to do if you are a self-disciplined person and are willing to put in a little hard work.
Getting credit means that you have to have something big to back it. In order to attain that, you will need collateral, in the form of property holdings, stocks or other forms of personal wealth. Although this may technically sound like an invasion of your personal credit (and in many ways that is what business credit is), these kinds of collateral often mean the difference between getting a loan and not. Business credit loans also require a higher amount of downpayment than personal loans, so don’t be too surprised if the 5% loans you may be accustomed to have 20% counterparts in the business world.
The plus side is that business loans also give you access to some of the best loans that are available on the market. You will find many opportunities with business loans that you would never find elsewhere in the marketplace, so while it may be a pain in the butt that it is hard to find business credit cards without personal guarantee, you will find that the hard work it takes to guarantee a loan is almost certainly going to be well worth it.
