Financial Empowerment for Returning Citizens

Build Business Credit Without Personal Credit

Access $50,000-$300,000+ in business capital regardless of your personal credit history or criminal record. Business credit is completely separate—your past doesn't define your business future.

Why Business Credit Matters for Returning Citizens

Business credit offers unique advantages that personal credit cannot provide

Complete Separation

Business credit is independent of your personal credit history and criminal record

Higher Limits

Access $50K-$300K+ per business entity, far exceeding personal credit limits

Asset Protection

Business debts stay separate from personal finances when structured properly

Professional Credibility

Established business credit demonstrates legitimacy to suppliers and partners

Step 1: Weeks 1-4

Establish Your Business Foundation

Before accessing business credit, you need to establish your business as a legitimate legal entity

Form an LLC (Limited Liability Company)

An LLC provides the strongest separation between your personal and business finances. This legal structure establishes your company as an independent entity that can build credit in its own name.

How to Form an LLC:

  • Choose a unique business name
  • File Articles of Organization with your state ($50-$500 filing fee)
  • Create an Operating Agreement (defines ownership and management)
  • Obtain necessary business licenses and permits
D.C. Residents: Register online through the Department of Consumer and Regulatory Affairs (DCRA) at dcra.dc.gov

Get Your EIN (Employer Identification Number)

Your EIN is like a Social Security number for your business. It's a unique nine-digit identifier issued by the IRS.

How to Get an EIN:

  • Visit IRS.gov/EIN
  • Complete the online application (takes about 10 minutes)
  • Receive your EIN immediately upon completion
  • Cost: FREE

Register for a DUNS Number

A DUNS number is a unique nine-digit identifier for businesses issued by Dun & Bradstreet, one of the major business credit bureaus.

Why You Need It:

The DUNS number allows D&B to create and maintain your business credit file, which lenders and suppliers will check when evaluating your creditworthiness.

How to Get It:

  • Visit dnb.com/duns-number
  • Complete online application with business information
  • Verification typically takes 1-2 business days
  • Cost: FREE

Open a Dedicated Business Bank Account

A business bank account creates clear financial boundaries between your personal and business finances.

What You'll Need:

  • EIN (Employer Identification Number)
  • Business formation documents (LLC Articles of Organization)
  • Personal identification (driver's license or state ID)
  • Initial deposit (typically $25-$100)

Recommended Banks:

  • Local credit unions: Often more flexible with returning citizens
  • Online banks: Lower fees, easier approval (Novo, Relay, Bluevine)
  • Traditional banks: Chase, Bank of America, Wells Fargo
Step 2: Months 2-6

Build Your Business Credit Profile

Strategic relationships and financial activities that establish your business creditworthiness

Start with Vendor Credit (Tradelines)

Vendor credit is one of the most accessible ways to start building business credit. Many suppliers offer "Net 30" payment terms (pay within 30 days) without requiring personal guarantees.

Tier 1 Vendors (No Personal Guarantee Required):

  • Uline: Industrial supplies, shipping materials
  • Quill: Office supplies
  • Grainger: Industrial equipment and supplies
  • Summa Office Supplies: Office products

How It Works:

  1. Apply for a Net 30 account with the vendor
  2. Make small purchases ($50-$200)
  3. Pay the invoice in full before the due date
  4. Vendor reports your positive payment history to business credit bureaus
  5. Repeat monthly to build payment history
Pro Tip: Start with 3-5 vendor accounts and make consistent small purchases. After 3-6 months of perfect payment history, your business credit score will begin to establish.

Get a Business Credit Card Without Personal Guarantee

Modern fintech companies offer business credit cards based solely on your business's financial activity—no personal credit check required.

No Personal Guarantee Options:

  • Brex: Evaluates based on business bank account balance and cash flow
  • Ramp: No personal credit check, based on business financials
  • BILL Divvy: No personal guarantee for qualified businesses

Qualification Factors (Instead of Personal Credit):

  • Business bank account balance
  • Monthly revenue and cash flow
  • Time in business (typically 3+ months)
  • Business structure (LLC or Corporation)

How to Use Strategically:

  1. Use the card for regular business expenses (supplies, software, advertising)
  2. Keep utilization below 30% of your credit limit
  3. Pay the balance in full each month
  4. Card issuer reports your payment activity to business credit bureaus
Step 3: Month 6+

Advanced Business Credit Strategies

Once you've established a foundation, access significantly larger amounts of capital

The Multiple LLC Strategy

Create multiple LLCs to multiply your access to business credit. Each LLC can access $50,000-$150,000 independently.

How It Works:

  1. Create a holding company LLC: This LLC owns your other businesses
  2. Create 2-3 operating company LLCs: These LLCs run your actual business operations
  3. Each LLC can access $50,000-$150,000 in business credit independently
  4. Total potential: $150,000-$450,000+ in business credit across all entities

Example Structure:

DMV Enterprises Holdings LLC (Holding Company)

  • → Owns: DMV Recovery Consulting LLC (Operating Company #1)
  • → Owns: DMV Training Services LLC (Operating Company #2)
  • → Owns: DMV Community Resources LLC (Operating Company #3)
Important: Each LLC needs its own EIN, bank account, and DUNS number. Each LLC must have legitimate business operations. Consult with a business attorney to ensure proper structure.

Accessing $300K+ Through Fintech Lenders

Modern financial technology companies offer business financing based on business performance rather than personal credit scores.

Fintech Financing Options:

  • Revenue-based financing: Borrow based on monthly revenue (typically 1-3x monthly revenue)
  • Invoice factoring: Get immediate cash for unpaid customer invoices
  • Equipment financing: Finance equipment purchases with equipment as collateral
  • Business lines of credit: Access revolving credit up to $300,000+

Fintech Lenders (No Personal Credit Check):

  • Fundbox: Lines of credit up to $150,000
  • BlueVine: Lines of credit up to $250,000
  • OnDeck: Term loans and lines of credit up to $500,000
  • Kabbage (American Express): Lines of credit up to $250,000

Qualification Factors:

  • 6+ months in business
  • $50,000+ in annual revenue
  • Business bank account with consistent deposits
  • LLC or Corporation structure

Trust Structures for Privacy Protection

Placing your LLCs in a trust provides an additional layer of privacy and asset protection.

Benefits of Trust Structures:

  • Your personal name doesn't appear in public business records
  • Additional protection from lawsuits and creditors
  • Estate planning advantages
  • Professional appearance

How to Set Up a Trust:

  1. Work with an attorney to create a business trust or land trust
  2. Transfer ownership of your LLCs to the trust
  3. You serve as the trustee, maintaining control
  4. The trust owns the business, providing privacy and protection
Cost: Typically $1,000-$3,000 for attorney fees to establish a trust structure

Your 90-Day Business Credit Action Plan

Follow this step-by-step plan to establish business credit and access capital

Days 1-30

Establish Foundation

  • Form your LLC
  • Apply for EIN (free, immediate)
  • Register for DUNS number
  • Open business bank account
  • Deposit initial capital ($500-$1,000)
Days 31-60

Build Credit Profile

  • Apply for 3-5 vendor Net 30 accounts
  • Make small purchases ($50-$100)
  • Pay all invoices early
  • Apply for business credit card (Brex/Ramp)
  • Set up automated payments
Days 61-90

Expand & Strengthen

  • Add 2-3 additional vendor accounts
  • Continue perfect payment history
  • Check business credit reports
  • Research loan/financing options
  • Connect with SCORE mentor

Additional Resources for Returning Citizens

Organizations and programs that provide support, financing, and guidance

Entre Capital

Business loans exclusively for people with criminal records. Flexible terms, fair rates, mentorship included.

Inmates to Entrepreneurs

Free 8-week business training program. No cost, no prerequisites. Proven track record with returning citizens.

SCORE Mentoring

Free one-on-one business mentoring from experienced professionals. Help with business plans, financing, and strategy.

Small Business Administration (SBA)

Free resources, business planning tools, and access to SBA microloans and programs for small businesses.

Ready to Build Your Business Credit?

Your past doesn't define your business future. Start building business credit today and access the capital you need to succeed.