5 Credit Traps that Ensnare Entrepreneurs

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Each year in the U.S., entrepreneurs start six million small businesses. Bad credit is one thing that hits would-be business starters with a double-whammy when it comes to funding their dream businesses.

Good credit is like a good relationship. You work on it for years and it doesn’t happen in one day, or even one year.

Deal with Debt
Evaluate what you owe. Figure out your budget for daily life. Make a plan and stick with it. Negotiate with your creditors.

Charge with Caution
Don’t spend more than you can pay back. Don’t have a zillion credit card accounts, and don’t open and close a bunch of them quickly.

Promptly Pay Bills
Pay your bills on time! If you can’t pay because you’re truly out of money, talk to the person or company you’re dealing with.

Be Skeptical and Cautious
Plan to work hard and make sacrifices. If it’s too good to be true, fall for the hucksters who try to convince otherwise.

Maintain Good Habits
Read the fine print and do plenty of research. Spend less money than you earn. Start saving now and set goals for yourself.