Tier 3 Checklist

All right, welcome to this module, the tier three account blueprint. So at this point, we’re going to start taking immediate action and applying for tier three accounts. So a few things I’m going to cover before we actually get to the applications and the account recommendations in this module. So the first thing I’m going to do is the third tier options, and essentially why we’re going to use these to further enhance our credit, how to improve your credit lines, select utilities, that report to the credit bureaus. Ideally lease agreements, build up your business financials in this particular set, and then apply for unsecured and secured revolving credit cards, really ideally secured revolving credit accounts. And then we’re gonna apply for at least three to six new third tier or tier three accounts. And then the tier three vendor lists at the bottom.

So there’s going to be several tier three vendors for you to choose from. You ideally want to choose the one that’s going to be suited best for you. And obviously making sure that you’re reporting to at least Dun and Bradstreet and Experian, and then Dun and Bradstreet, Experian and Equifax, ideally all three. Okay. So one thing you want to do to further enhance your credit file, is fast tracking and going through the steps that I’ve identified. But when you start to get everything in your tier three accounts, you’re going to start showing a Paydex score on time payment history, and then you might potentially start getting pre-approved for unsecured lines of revolving credit, including credit cards without a personal guarantee. But that’s the reason why we’re doing it this way. So one thing, one really simple way for you to really improve your credit lines is this basically once you’ve already made a few payments on time with your existing tier one and tier two vendors, you can reach out to them and actually, Hey look, can I apply for a higher limit and, or a revolving line of credit with, with that same lender or vendor?

Okay. You can also request a limit increase on any of your existing accounts. You can request a better type of card from one of the second tier retailers that may be able to offer that, right? So these are three things that you want to be proactively doing and going after. Another thing is, as your company grows, it may require any utilities. So at this stage of credit worthiness, your credit might be eligible to get utility credit without a personal guarantee. And essentially most of them are probably going to require a personal, instead of doing a personal guarantee to check your personal credit. They’ll probably ask you to do a cash deposit, but that’s fine. You want to get, you want to do the cash deposit so that way they can report that line to the actual bureaus and not your personal credit for your, when I say bureaus, the business bureaus.

So utilities providers that are going to report to the business bureau is going to be a really great idea. Another one is lease agreements. So, company leases are a great way for building up credit and they come in three categories. Number one, if you have office space, not like the one that we recommended to get the commercial address, but if you actually have office space, some may report to the bureaus. If you have equipment again, if you’re going down that road and then company cars. So you may be at a place where you could potentially get a lease in your company’s name, depending upon where you are in your business. Now at this stage, if someone says, Hey, look, we need you to personally guarantee the lease and they won’t move forward. Then I would recommend that you move forward with a different vendor and lender that’s not going to expect the personal guarantee. And then if you’re trying to lease a car at this point, you’re only trying to do it on the corporate credit side. Now, if you really let the car though, and it’s not gonna report on your personal credit, you can request it. You know, but again, that’s just what I’m communicating to you is the whole goal was to not personally guaranteed, if you don’t have to, but again, if you liked the car and you want to get it, as long as it’s building your business credit, which it will, it just won’t report on your personal credit. If you personally guarantee in some scenarios. Now, the other thing we’ll want to do is put up our business finances. So I’ve already said, it’s so important to make sure you have your business banking account. I already walked through tools to track your cash flow, the profit first model, all that good stuff, but also you want to be considering whether you’re in the high-income skillset phase or scalable business phase.

What you can do to start getting more customers to increase your cash flow for your business. Again, I cannot recommend enough how powerful having a high income skill set is and how powerful it is to use the internet and direct response marketing to attract customers. So, but what you’ll be able to do is once you verify your revenue and assets with the Dun and Bradstreet profile, this will in some scenarios might be enough to get a verification from, with a separate Paydex score from, well, let me say it this way, getting your business financials and your stuff inside of the dun and Bradstreet may be enough to improve your DUNS rating without having to use the personal guarantee. And then a few other hacks that you can do if you have free cash is again getting different types of credit. So one way to do that and get more business credit without a personal guarantee is secured cards.

And a secured card essentially means you’re putting up your cash in exchange for a line of credit. So BBVA visa, Metro Savings Visa, Wells Fargo Visa, even though I don’t like Wells Fargo, you can still set up one of those secure cards. You may have to set up one of those smaller, checking accounts, WEX fleet cards. So you can go back to that WEX fleet card, assuming you did that, ExxonMobil, Quicktrip and Quicktrip will also allow you to do revolving credit as well. My Tool Store credit, My Tool Store, Discounts Supply, Upgrade USA, Estrella’s and then Branders. So all of these are going to offer some type of secured revolving business card that’s going to report to the business bureaus. Now you don’t have to get all of these. Maybe you get a BBVA visa and a Wells Fargo, or maybe you just get a BBVA visa and a Metro savings visa.

And essentially you do this, you put up the cash, you were going to already spend the cash anyways. So the way you want to be looking at this is if I was already going to spend the cash on, let’s just say gas. If I was already projected to spend $750, because I did my cash flow on gas, it would make sense to put up $750 on an Exxon visa, because I’m already spending that money anyways. And then I’m going to get that. I’m going to pay it off at the end of the month, because I’m already used to spending it, in that example. And then for as long as Sears is open, they still may have an option as well. So our goal is to apply for three to six new third tier accounts. And what we’re looking for is lines between 2000 and 10,000 without a personal guarantee requirement, preferably on revolving terms.

Now, the first one I just explained will be secured. This is going to be revolving. Now, if you find net term accounts with a high limit, that’s good too. Meaning if they won’t offer your revolving line of credit, but they’re offering you net terms, that’s fine as well. Because what we want to do is still get the higher limit with that net term because it’s up to this point, the difference is you have to pay it within that 30 day timeframe or whatever the net terms are. Revolving, you still have to pay the balance off, but it’s a revolving line, so you can continue to use it. So, one of the things you want to understand is if you’re getting denied for credit everywhere, give it a little bit more time and let the other options work. If you’re getting denied, then you want to figure out, okay, well, what happened?

Why did I get denied? Figure out what exactly they’re denying you for. And then let them know. You’re really interested in doing business with them. And then often when you take that particular scenario, very likely you can reapply and then try to get that card in about a month or two. Okay. So the vendor list right below is the one I’m going to recommend. So Office Depot is going to be a really good account to apply for. Then you have Amazon, which is going to have a net 30 net 55 account. And I recently applied for this one and they had two options, one to do the personal guarantee and one, without a personal guarantee. So assuming you’ve done everything up to this point, you should be able to get away with not doing the personal guarantee, but they’re going to say, Hey, look, it’s going to increase your chances of being approved if you don’t do the personal guarantee, right?

But you can create an Amazon business account for business credit. We’ll include the link below. All right, you can also do Newegg. It’s a net 30 account. And then right below this video, what you’ll see is a list of these vendors. So you’ll see a list of the vendors for the actual, BBVA visa secured cards. And then you’ll see the tier three account blueprint. And then essentially this tier three account blueprint is everything I was just explaining in the slides, with these tier three accounts right here with the direct links to apply for them. And then you’ll see the actual tier three vendor list. Now there’s vendor lists that have, a few other, tier three accounts that you can apply for. And I’ve shown us this before, and this will be a really solid thing for you to go through and I’m showing which ones are reporting to all three. So 1, 2, 3, 4, all of these are reporting to all three accounts, which is really, really cool. And then I say all three accounts. What I mean is all three bureaus. Okay. So this is a really, really helpful tool. So take immediate action, identify the accounts, and take action. See you in the next video.