Learn how to build an excellent paydex business credit score in less than 60 days and more on Dun and Bradstreet.

1. How to Build an Excellent Paydex
Business Credit Score
in Less than 60 Days

2. Ty Crandall, CEO
(877) 600-2487
www.CreditSuite.com
info@creditsuite.com
Grab Your Free Guide to Building Business Credit
www.CreditSuite.com/ein

3. Dun & Bradstreet
• D&B is the biggest, and major business credit
reporting agency
• Created in 1841
• Hold the largest supply of worldwide business
information with over 230 million records

4. Dun & Bradstreet’s Paydex Score
• The main credit score used in the business
world is known as a Paydex score, provided by
Dun and Bradstreet
• From D&B… “The D&B PAYDEX® Score is D&B’s
unique dollar-weighted numerical indicator of
how a firm paid its bills over the past year,
based on trade experiences reported to D&B
by various vendors”

5. Dun & Bradstreet’s Paydex Score
• “Dollar-weighted” means that D&B gives more
“weight” to accounts with higher limits than
ones with lower limits
• “How a firm paid its bills over the past year”,
means this score is based on past
performance as the main driver
• It’s simply based on how you paid your bills

6. Business Credit Scores
• The Paydex score, like all other business Credit
Scores, is for a business and is in the Business
Name
• With business credit the Business builds its
own credit profile and credit score
• With an established credit profile and score,
the business will then qualify for greater credit

7. Business Credit
• A business credit score is a mathematical model that
is used to depict a business’s risk of going 90 days
late on an account within the next 12 months
• Business credit scores access a business’s ability to
pay, not the business owners
• Since the business qualifies for the credit, in most
cases there is no personal credit check required from
the business owner

8. Business Credit
• The business can use its credit scores to qualify for
revolving store credit cards like Staples, Lowes,
Sam’s Club, Costco, BP, Walmart, even MasterCard,
Visa, and AMEX
• The business can also qualify for credit lines and
loans
• These business credit scores are always reviewed
when you apply for a business loan, credit card, or
any other type of business financing

9. Paydex Score
• The Paydex score ranges from 0-100, with 100
being the best score a business can obtain
• A score of 80 or higher is considered “good” or
healthy credit
• A business can obtain a good business Paydex
credit score by ensuring payments are made
promptly to suppliers and vendors

10. Personal Credit Scoring
• Personal credit scores take time to build as
they are based on 5 factors
– Payment History 35%
– Utilization 30%
– Length of Credit History 15%
– Accumulation of New Credit 10%
– Credit Mix 10%

11. D&B Paydex Score
• Business credit scores are based only on whether the
business pays its bills on time
– Expect payment may come early 100
– Payments comes within early 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

12. The Basics of Setting Up Your Business
• You cannot use a home address, P.O. box, or UPS
box when applying for credit or you’ll often get
denied
• So consider a virtual address instead from a place
like Regus
• This address should be the same on all your
documents

13. The Basics of Setting Up Your Business
• One of the first real step of building business
credit is to setup your business entity
• This can be a corporation, LLC, partnership, sole
proprietorship, etc.
• You can do this at your Secretary of State
website
• Price to do this depends on your state

14. The Basics of Setting Up Your Business
• The first step to setup your business is to think
of your company name, and setup your entity
with the Secretary of State in your state
• This is usually a very fast process
• First look to see if your desired name is
available, and if so register for that name

15. Getting Your Business Started
• Next Setup your EIN number for FREE from
irs.gov website
• Then use the corporation papers and the EIN
to setup your business bank account
• You will need to use your SSN when getting
your EIN… and you might need to use
a real physical address, not a virtual
address

16. Getting Your Business Started
• Then use the corporation papers and the EIN
to setup your business bank account
• It usually only takes $25-50 to setup your bank
account
• Even if you’ve had issues in the past with your
bank, your business won’t be affected

17. Getting Your Business Started
• Get any required licensing for your industry,
state, county, and Federal government
• Setup your website and email address with Go
Daddy and a site like
www.MonsterTemplate.com

18. Getting Your Business Started
• Setup your phone number with a company
like Ring Central
• Get a local number
• Get a toll-free number
• Get a fax number
• These can be all-in-one
• Setup your local number with 411

19. Getting Your Business Started
• 411 is essential, because initial credit issuers
want verification your business is legit
• There are also a ton of other places you can
have your business listed as well… all of which
make you easy to find and show you’re
credible

20. D-U-N-S Number
• Obtaining a DUNS number is the first step
towards getting a business credit score with
D&B
• The Data Universal Numbering System
(D-U-N-S) is a business identifier code
provided by Dun and Bradstreet
• This business identifier code was developed in
1963 to support Dun and Bradstreet’s credit
reporting practices

21. D-U-N-S Number
• The D-U-N-S number is a nine-digit number
issued by Dun & Bradstreet and assigned to
each business location in the D&B database,
each having a unique, separate, and distinct
operation for the purpose
• Every business must first have a D-U-N-S
number before Dun & Bradstreet will assign a
Paydex business credit score

22. D-U-N-S Number
• The DUNS number is the preferred method
worldwide of identifying businesses
• Unlike national Employment Identification Number
(EIN), a DUNS number may be issued to any business
worldwide
• It is used by many foreign governments including the
US and Australia, European Commission, and even
the United Nations
• More than 50 global, industry, and trade
associations recognize, recommend, or require
DUNS

23. D-U-N-S Number
• You can get a D-U-N-S number for free, even
though D&B Credibility does also offer it as
part of their Credit Builder package
• First, you’ll need to see if you have a D-U-N-S
number already by checking iUpdate
• Next, go through the simple online process
with D&B to get your D-U-N-S number
http://www.dnb.com/get-a-duns-
number.html

24. D-U-N-S Number
• When you complete your information online,
D&B Credibility will call you to try and sell you
their Credit Builder package
• This is NOT needed to get your D-U-N-S
number, Paydex score, or to activate your
profile with D&B
• Also keep in mind D&B Credibility is a separate
entity from D&B themselves

25. D-U-N-S Number
• For your free D-U-N-S number you’ll need to
wait 30 days for it to be delivered by mail
• You can expedite this, but to do so you’ll need
to pay for the D&B Credibility Credit Builder
https://www.dandb.com/credit-builder/
• This will cost you as little as $1,399 annually or
$139 monthly
• Again, you do NOT need to buy this

26. Credit Builder
• The Credit Builder includes credit monitoring
• It also includes a way for you to add some of
your existing vendors to your D&B report
• Keep in mind, most vendors you might want
to add are not allowed to be added by D&B

27. Credit Builder
• “Some trade references may not qualify for a variety of reasons, including
the following:
• D&B works together with thousands of nationwide vendors that report
payment experiences on a regular basis. These data providers have requested
to remain anonymous and cannot be added by a customer for trade
reference.
• Some types of companies do not respond to D&B’s requests for information
within a reasonable time frame. D&B will make 6 attempts to contact a
company that has been selected to provide trade reference, and will accept
inbound references at any time. However, a customer may resubmit
references at any time, after which D&B will make 6 more attempts.
• Certain companies have proven, over time, to be
less trustworthy. Accordingly, D&B has identified
certain characteristics associated with companies
and maintains policies related to the eligibility of
that company to provide a reference.”
• https://www.dandb.com/glossary/trade-
references/

28. Credit Builder
• “The following kinds of trade references are amongst those that are
not accepted by D&B:
– Payments that have not yet been made but are anticipated
– Payments to businesses that have shared principals or some other type
of legal ownership relationship
– Financial services: banks, credit unions, and insurance
– Bank references
– Utilities and gas companies
– Credit card companies
– Landlords
– Virtual offices
– Credit counseling or registered agents
– International companies
– Businesses with an unknown SIC”
• https://www.dandb.com/glossary/trade-references/

29. Credit Monitoring
• The Credit Builder includes credit monitoring
• It also includes a way for you to add some of
your existing vendors to your D&B report
• Keep in mind, most vendors you might want
to add are not allowed to be added by D&B

30. Credit Monitoring
• As you build your credit, it’s essential you
monitor your progress
• For this reason you should setup monitoring
with D&B and Experian
• Equifax isn’t essential, but you will want to
monitor this from time to time
• www.creditsuite.com/reports

31. Getting Vendor Accounts
• WARNING… this info might change!!!
• You must start building business credit using
vendor accounts
• These are accounts who offer terms such as Net
30… instead of revolving
• You must only work with credit issuers who will…
– Give you credit when you have
none
– Report that credit to the business
CRAs

32. Getting Vendor Accounts
• Do NOT put your SSN on the application when
applying for ANY type of business credit
• If you do you are supplying a personal
guarantee, and your personal credit will be
pulled and used to make the approval decision
• A “real” business credit card for your EIN
doesn’t need your SSN to qualify

33. Getting Vendor Accounts
• ONLY apply if you’ve taken the prior steps
• Apply at places like…
• Uline
• Quill
• Gemplers
• Monopolize Your Marketplace
• Make sure any other sources you try to report
to the business CRAs

34. Getting Vendor Accounts
• Use your credit to purchase $50 or more
worth of items
• Pay that bill QUICKLY…
• Remember, the Paydex is all about TIMELY
PAYMENTS
• So the key is to pay your bill as soon as you
can

35. Getting Vendor Accounts
• If you continue to pay your bills early, your scores
will be 85-100
• If you pay on time you’ll have an 80 score
• I takes 60 days on average for accounts to report
AFTER you use the credit and pay the bill

36. Getting Vendor Accounts
• Monitor you reports until you see them report
• Continue to use that credit each month during
that time
• You must have 5 payment experiences to apply
for store credit
• That means you must have 5 reporting's of credit,
even if one account reports to two agencies

37. Getting Vendor Accounts
• It will take at least 3 accounts reporting to get
your Paydex score
• Once you have that Paydex score and 5
accounts, you are okay to get store credit
• This is because many stores want to see a
good Paydex of 80 or higher to approve you
for revolving store credit

38. Getting Store Credit
• With 5 reported accounts, now you can apply
for store credit
• Most retail stores will issue business credit
without a PG, but some do have stricter
requirements than others

39. Getting Cash Credit
• With a total of 10 payment experiences, you
can then start to apply for cash credit
• These will come from Visa and MasterCard..
Without a PG
• AMEX offers one as well, but it’s tough to get
without a PG unless you have a lot of
established credit

40. Keep it up!
• Keep continuing this process…
• Apply and get more store credit
• Apply and get more cash credit
• Use your credit
• Pay your bills timely
• Your limits will grow and grow and your ability
to get financing will as well

41. You’re Not Alone!
• We can help you build your business credit
• You get access to the best technology through a step-
by-step process
• Get access to Business Advisors who help you each
step of the way
• Plenty of vendor, store, and cash credit sources
• Free D-U-N-S, Experian Smart Business, 411 listing
($2,100 value)
• Get access to financing and Finance Officers

42. You’re Not Alone!
• And you can pay with one-payment… or choose
monthly payments
• As part of your attendance to this live event… you
also get an AWESOME discount… through
tomorrow only

43. Ty Crandall, CEO
(877) 600-2487
www.CreditSuite.com
info@creditsuite.com
Grab Your Free Guide to Building Business Credit
www.CreditSuite.com/ein