This Steps are very important to follow in order for you to secure funding for your business. Banks pay attention to each step from the formation of the LLC This are the steps you wanna take.
1.Get Your Business Phone Number
LOCAL NUMBERS ARE BETTER
THAN TOLL FREE NUMBERS.
If you want to clear six figures in business credit, your local lenders are where you want to be.
Nationwide banks are not nearly as generous as your local Credit Unions, Community banks and National Banks.
You can acquire a local number via the app store on your smart phone to separate your personal number from your business number.
List Your Official Business Phone Number On Yellow Pages
2.THIS STEP IS VERY IMPORTANT.
You can have two addresses, one physical and one mailing.
You Can Use Your Home Address
I personally use my home address and have had no issues.
I have experienced issues with Davinci, iPostal and Opus.
(Be sure to add “Suite A” To the end of your residential address to differentiate it to your business IF you have multiple companies registered under the same home address)
For Example:
Home Address: 123 ABC Street
Business Address: 123 ABC Street Suite A
If you cannot find a virtual office near you or afford it, Home address with a suite added is fine. PLENTY of people have used their home address with a Suite and have obtained business funding. Its 2021 and many businesses are ran from home especially after the COVID-19 Pandemic.
UPS Store and Mailboxes will also get your business flagged and most likely auto-denied.
PO BOXES ARE NOT allowed.
Not doing this step correctly can lead to denial of NET 30 accounts and other credit applications.
We need to locate a Virtual Office(Or use home address) for all your Business mail to be sent to. PREFERABLY Somewhere close to your home so you don’t have to drive far.
Virtual Offices come with lots of benefits and can be as cheap as $20 a month.
Finding A Virtual Office
1. Google: “Your City, Your State Virtual Office”
OR
2. Craigslist Search “Virtual Office” under your State and City.
GET YOUR VIRTUAL OFFICE BEFORE MOVING ON.
DON’T SPEND MORE THAN AN HOUR. PICK ONE, APPLY FOR IT AND MOVE ON!
THINGS TO KNOW:
If your business shares an address with another business, DO NOT USE THE SAME ADDRESS. This is a red flag for business creditors and you’ll be autodenied. If you share the same address simply put “Suite A, B Etc…” At the end of the address line to differentiate the two business.
HOW TO CHANGE BUSINESS ADDRESS
IRS FORM 8822-B takes 4-6 weeks
or
Call and get it done FAST! IRS Business support
800-829-4933 (Option 1, Option 1, Option 3)
Ask them to verify what address you have on file and update it if its incorrect.
Also request an UPDATED EIN Confirmation letter with your new address by email or fax.
ENSURE YOUR EIN LETTER matches your current business address.
3. Pick a Name
Goto DNB or your SoS website and ensure it’s available.
4. Purchase Domain
BLUEHOST offers a domain name for free and business email with purchase of their $2.95/mo hosting package.
Other Option
Goto Godaddy.com and purchase your domain for $4.99 with a discount code GDD1dom. Godaddy provides email for $1.99 a month, Zoho has it for $1 a month!
THIS SHOULD NOT TAKE MORE THAN 2 HOURS TOTAL.
BUSINESS FAVORS SPEED.
REMEMBER DONE IS BETTER THAN PERFECT.
JUST GET IT DONE. You Can always Update it later and make it better!!!!
IF YOU ALREADY HAVE AN LLC THAT IS FINE.
Business Entity
Register an Official Business Entity for your Business. There are (3) Entities to choose from, C-Corp, S-Corp or LLC.
The best entity for you will vary, if you are unsure go with LLC as it is the most versatile. If you have a CPA consult him.
I also recommend filing with INCFILE as its free and you only pay state fees, it also comes with (1) year of free registered agent if desired
(out of state incorporation).
If you file in your state you are the registered agent.
If you want to file in another state because of tax advantages you may do so and will take the free registered agent for (1) year.
***KEEP IN MIND***
90% of business bank accounts must be opened in person, for this reason it is MUCH easier to set up your corporation in your state. If you want to leverage tax advantages: Set up your holding/funding corp in your state, set up your operating corporation in another state.
ENSURE You use the Address, Phone Number and E-mail that we’ve acquired up until now throughout the whole application.
Don’t Pay for Anything Except State Fees.
**BE CAREFUL NOT TO CLAIM A HIGH RISK BUSINESS**
When choosing the Entity’s name and SIC Code, keep it neutral. If you choose a risky name or SIC code, you will be auto denied later on for business credit.
- Choosing the wrong code can mean a funding denial
- A loan or a business credit card can be denied based on classification
- Some SIC codes can trigger automatic turn-downs, higher premiums, and reduce credit limits for a business.
- The business owner chooses the SIC code and must be honest about the classification.
Employer Identification Number
Go to the IRS Website to get your EIN for FREE.
*Keep in Mind*
Monday – Friday 7am to 10pm
Save your EIN Letter and Articles Of Formation Letter (from the last step) To The Desktop of your Computer.
These (2) Letters will be used to apply for our Business Bank account.