Creating a business is a challenge in and of itself. There are a myriad details required to get a business up and running – the development of high quality products or services that are likely to be well received by consumers, the procurement of an adequate location in which to offer those goods and service, and the hiring of staff to support superior customer service. But without the money to accomplish these goals, a new business does not make it too far out of the gate. Most new business owners – grants aside – turn to loans offered through financial institutions in order to have the line of credit to make their entrepreneurial dream a reality.

Like any other loan, a business loan is only given to qualified applicants. And the way that lenders determine if applicants are qualified to be given a loan is through the examination of the applicant’s credit report. Every person who has a financial history has a credit report – a comprehensive credit history held by three separate credit bureaus – Equifax, Experian, and TransUnion. By requesting a credit report from any or all of the credit bureaus, lenders are able to examine details such as past and present debt, on time or late payments, and any loan defaults that may have occurred.

In order to make sure that they are as prepared as they can be, applicants for business loans would do well to request a free credit report. Once within every twelve month period consumers are able to request a free credit report that details the information held by the three credit bureaus.

By requesting free credit reports, consumers are taking control of their financial situation and ensuring that all is as it should be in preparation for a prospective business loan. Applicants can assure – ahead of time – that they are in good enough standing to confidently apply for a business loan so that their business venture can get off the ground.

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