Reading And Understanding A Business Credit Application Form

When applying for business credit, you will be required to fill out a business credit application form. The application may be a paper form or an online web form; but the process is the same for both application formats. The following is a quick guide to help you understand the information that will be required on the application form:

Step 1 - Basic Business Information

You will need to enter information about your business, such as: business name, address, number of years in business and the type of business you are engaged in.

Step 2- Your Business History and Details

Most business credit applications will require that you to enter some basic sales and revenue information about your business. You may be required to list amounts of annual sales or revenue and may be required to answer information about average bank balances that your business maintains. While the information required will vary depending upon the application, you should make sure that you understand the requirements and the figures they are asking for.

Step 3- Your Personal Information

Almost all business credit applications require at least some information about the owner of the business. Some business applicant credit applications will require that you enter your Social Security Number. If this is the case, there's a good chance that the credit application may require a personal guarantee. If you're not willing to personally guarantee the credit line, you should ask the creditor before you proceed with the credit application.