All Forum Posts by: Dee W.

Depending on your scores, you may be able to qualify for a business credit card.  The catch is finding out which business credit cards report to the business credit bureaus such as D&B, Business Experian/Equifax.  That is the quickest way to begin building business credit.  Keep in mind that a personal guarantee will be required for most business cash credit cards.  At the same time, you can also begin applying for vendor credit solely in the name of your company without a personal guarantee.  

Due to the changes in how one can present opportunities to raise equity or debt through private placement offerings, depending on "who" you target you can solicit funds through solicitations (including online forums such as bigger pockets and social media).  I would advise you to conduct your own due diligence before diving off into the deep end first however.  You definitely should have experience or have the intention of hiring a management team that has experience.  Multifamily is not for the faint of heart and is definitely not "childs play." But back to subject at hand, here is a little information regarding raising capital through private placement that I pulled from my own stash:

Rule 506(b) offerings, which cannot use general solicitation but in which non-accredited investors can participate so long as they are provided with extensive information about the issuer of the securities, usually in the form of a private placement memorandum or PPM; and • Rule 506(c) offerings, which can use general solicitation, but must be sold to accredited investors only, in which the market will let investors dictate the type of information that they need in order to make informed investment decisions.

Hope this helps.....

Business credit and personal credit are different as in a personal credit requires a personal guarantee meaning that your SSN is attached and can be negatively impacted in the event that you default. "True" business credit does not require a personal guarantee ,however like someone mentioned, if you are not a publicly traded company then you will have to personally guarantee some forms of business credit which includes business credit cards, business lines of credit, etc. Although there are less than a handful of business credit (cash) cards that do not require a personal guarantee, fortunately with a good payment history that reports to the business credit bureaus (D&B, Business Equifax, and Business Experian), over time you should be able to request that the personal guarantee be removed from your business credit cards or LOC's to become fully corporate guaranteed.