Business Credit Workshop’s Official Business Credit Building Checklist

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As an entrepreneur looking to build credit for your small business, you’ve probably realized how important it is to establish creditworthiness. Building credit for your business is crucial to secure start-up funds, get financed for operating costs, or expand your offer. 

Establishing business credit can be challenging, but by following this checklist, you can get your business on the right track. Here’s a comprehensive business credit checklist with nine essential steps to help you build and maintain business credit. From getting your personal credit in check to applying for business credit, we’ll walk you through each step to help you establish a strong credit profile for your small business.

Here’s everything covered in this checklist:

Now, let’s get to it! 

1. Get Your Personal Credit In Check

Before you start building business credit, you need to get your personal credit in check. It doesn’t necessarily have to be perfect, but most business credit lenders require a “personal guarantee” (PG). This means your personal credit can impact your ability to obtain funds for your business. 

If you don’t know without a doubt that your personal credit is excellent, here’s what you need to do: 

  1. Obtain a copy of your credit report from each of the three major credit bureaus – Equifax, Experian, and TransUnion — You can do this through AnnualCreditReport.com or individual credit bureaus’ websites.
  2. Review your credit reports carefully and dispute any errors or inaccuracies with the credit bureau(s) reporting it.
  3. Pay down any outstanding balances on loans, credit cards, or lines of credit to decrease the size of outstanding debt in proportion to your available credit. This will lower your credit utilization ratio, which can boost your credit score over time.
  4. Make timely payments on all current and prior debt obligations and avoid negative marks by paying your bills on time.
  5. Try to increase the average length of your credit history by keeping your oldest credit card account(s) open and active (closing them can reduce your credit history and negatively affect your credit score).
  6. Avoid opening multiple new credit card accounts or loans at once, as it can impact your credit score negatively in the short term.
  7. Monitor your credit reports regularly to ensure that they reflect your current creditworthiness.

Your personal credit score can impact your ability to secure business credit, so it’s crucial to maintain healthy financial habits like making timely payments and keeping credit balances low. Improving and maintaining your personal credit score is an investment in the future of your business. 

Recommended: Credit Secrets Book Review: Can You Erase Bad Credit History? 

2. Establish Your Business for “Credit Readiness”

Whether your business is established or brand new, there are several items you need to be “credit ready.” Go through this list and make sure you’ve done everything you need to make your business seem credible to lenders. 

Note that you need to choose a consistent business name and address, and a start date, get a business phone number, and create a legal entity for your business. If your business has a physical location, determining an address is easy. If not, you can use a virtual address or shared office space. And, use a consistent date for your business start date.

Here’s how to properly set up and establish your business:  

  1. Register your business with the appropriate authorities and file state and federal paperwork as required.

See: Sole Proprietorship VS LLC: How to Choose Your Entity Wisely 

  1. Apply for an Employer Identification Number (EIN) from the IRS in the company’s name.
  2. Set up a dedicated business phone line and list it on 411 under the exact business name used on your registration. 
  3. Create a professional business website and email address.  
  4. Ensure credibility by meeting the following requirements for business credit approval:
    1. Use the full legal name, including DBAs, and ensure it matches the corporation records for the business name.
    2. Obtain necessary business licenses required by your industry and state.
    3. Make sure your EIN matches exactly with your state filing.
    4. Have a physical business address and avoid using P.O. box. If you use your home office address, establish a suite number.
    5. Use a real business or VOIP number instead of your mobile or home phone — for a free or low-cost option, look into Google Voice. 
    6. Have a business fax number — you can use an online service for this, if you don’t want to mess with a fax machine.
    7. Ensure there are no liens, judgments, or lis pendens exist against the business in public records.

By following these steps, your business can establish good business credit, which is necessary for obtaining business credit approval.

Recommended: Here’s How to [Actually] Get Business Credit With Just an EIN +More Options 

3. Open a Business Bank Account

You need a business bank account to get business credit because it helps lenders verify your financial stability and separate your business and personal finances. Without one, you may not be able to provide the necessary information to apply for business credit, and it can harm your chances of approval.

Here’s how to open a business bank account:

  1. Research and identify a suitable bank or credit union for your business needs. Small community banks and credit unions are often a great option for businesses.

See: 3 Best Credit Unions for Small Business Banking 

→ Interested in online banking? See our full write-ups on Novo Bank, Amex Business Checking, Bluevine, and NorthOne. 

  1. Gather your business’s legal documents such as your state and local business license, Articles of Incorporation or Organization, and the employer identification number (EIN) issued by the IRS.
  2. Schedule an appointment with the bank and bring the business documents, along with the personal identification documents of anyone authorized to make transactions on the account.
  3. Choose the type of account you need, such as a checking or savings account, and ensure that it meets the requirements of your business.
  4. Provide the bank with the business’s address, phone number, and tax/EIN number to set up the account.
  5. Ask about any fees, minimum balance requirements, and transaction limits associated with the account and make sure you understand the terms and conditions.
  6. Commit to using this account for all business expenses and avoid using it for personal expenses. Mixing business and personal transactions can make it difficult to track expenses, which can lead to complications come tax season.

Opening a business bank account is essential for establishing financial credibility for your business. By choosing the right account and keeping personal and business expenses separate, you can effectively manage your business finances, and build a positive relationship with your bank or credit union.

4. Establish Relationships at the Bank

Establishing a good relationship with your bank provides several benefits, including quicker loan processing, more flexibility, access to financing, personalized services, and financial expertise. It lays a strong foundation of mutual understanding, trust, and communication, which can help your business grow and succeed.

Here are some steps you can take to establish rapport at your bank:

  1. Schedule a meeting with a business banker at your bank to introduce yourself and your business. Use this opportunity to learn more about the bank’s lending policies and requirements.
  2. Use your bank account regularly for all business transactions. This can help you establish a positive payment history and build trust.
  3. Avoid overdrafts and NSFs from your bank account. 
  4. If your business needs a loan, consider applying for a small business loan through your bank rather than going to alternative lenders like online lenders or credit cards. This can help you establish a credit history with the bank and show that you are committed to building a relationship with them.
  5. Attend local business events and network with other entrepreneurs and business professionals. Building these relationships can help entrepreneurs gain referrals and make useful connections.
  6. Be open and honest with the bank about your business’s financial situation, plans, and goals. Honesty can help build trust.
  7. Regularly communicate with the bank to nurture the relationship and ensure that they are aware of your business’s successes and challenges.

Taking these steps can help you establish strong relationships with your bank and increase your odds of obtaining business credit. Building a relationship with your bank is important in establishing financial credibility and creating a successful business.

Recommended: This is How to Leverage Business Credit to Transform Your Life 

5. Make Sure You Have a DUNS Number

A business needs a DUNS number to establish a credit file, enhance credibility, access loans and credit, and increase visibility. It’s a unique identifier assigned by Dun & Bradstreet (the leading business credit bureau) that allows for easy tracking and reporting of credit history, and it’s free and easy to obtain online.

Here’s how to make sure your business has a DUNS number: 

  1. Check if your business is listed with the major business credit reporting agencies, including Dun & Bradstreet, Equifax, and Experian. You can search for your business on their website or through a free Nav account.
  2. Apply for a free D-U-N-S number from Dun & Bradstreet, which is required to create a business credit profile in their system. It can take 4-6 weeks to process.

When you take these steps, you can properly build business credit. It’s important to stay on top of your payments and ask others to report on your payments as well to ensure you build a positive credit history.

Recommended: Everything You Need to Know About a DUNS Number – and Why You Should Care 

6. Establish Your First Trade Lines of Credit

Establishing the first tradelines (credit accounts) for your business is crucial to building and improving your business credit score. It involves paying on time and generating a positive payment history with suppliers or vendors that report to credit reporting agencies. By doing this, you increase your chances of obtaining financing and credit on favorable terms for your business.

To obtain vendor credit, follow these steps:

  1. Locate 3-5 vendors who report to business credit reporting agencies.

See: Using 30-Day Net Vendors to Build Your Business Credit Score 

  1. Ask all vendors, suppliers, and service providers to report on your payments to improve your score — your CPA and attorney might be able to report on your payments as well. 
  2. Apply for vendor credit using your EIN without revealing your SSN.
  3. Purchase products from these vendors, following their reporting terms.
  4. Use the newly approved credit to buy over $50 worth of items.
  5. Pay your accounts on time, preferably early in the billing cycle.

You can build business credit and establish a positive payment history by following these steps — this will allow you to access credit and better financing options in the future.

Recommended: 41 Companies That Help Build Business Credit [Beyond Net 30 Vendors] 

7. Pay Your Accounts at the Right Time

Paying business tradeline accounts on time is crucial to maintain a positive payment history, improve your business credit score, and build positive supplier/vendor relationships. Late payments can harm your credit score, trigger fees, and damage your reputation, making it harder to obtain financing and business opportunities in the future.

Here’s how to build business credit by paying on time:

  1. Set up reminders, alerts, or auto payments to pay business accounts on time.
  2. Pay your bills early to further improve your credit score, (this also helps you take advantage of discounts with suppliers).
  3. Proactively contact suppliers to avoid late fees or negative reports if you can’t make a payment on schedule.
  4. Connect the tradeline to your business account and use it to pay the credit card bill to establish a good payment history.

*By connecting your tradeline to your business bank account and using it to pay your invoices, you establish a good payment history and keep cash flowing through your account.

Recommended: eCredable: A Deep Dive Into the Business Credit Reporting Platform 

8. Check and Monitor Your Business Credit

Reviewing business credit reports often, promptly correcting any errors, and taking action if fraudulent activity occurs can protect you from business credit fraud and identity theft. 

Here are some action steps to monitor your business credit effectively: 

  1. Understand the number of payment experiences required to qualify for different types of business credit — as a rule, you should gather at least 3 payment experiences on your business credit report.
  2. Obtain credit reports from business reporting agencies such as D&B, Experian, and Equifax by obtaining a DUNS number for free from D&B and enrolling for reporting agencies.
  3. Check credit reports every month to monitor for unfamiliar inquiries or accounts you didn’t authorize.
  4. Review reports from all agencies quarterly, correct errors promptly, and take action if any fraudulent activity occurs.
  5. Use a monitoring service to stay informed of any changes.

When you have three reporting payments, this gives you an 80 Paydex score, which is the ideal business credit score. However, specific lenders may have unique qualifying requirements.  

Recommended: Nav Review: A Tool that Helps Build Up Your Business Credit Score 

9. Apply for Business Credit 

When you have your perfect Paydex score (80), you’re ready to apply for business credit. You can start with store cards, revolving cash credit, or credit cards. Let’s take a quick look at each. 

How to apply for business store credit:

  1. To obtain revolving credit at popular stores like Best Buy, Amazon, Walmart, Target, and Staples, establish a business credit profile with at least a D&B and Experian score and at least five reported payment experiences.
  2. Contact the store directly to learn how to apply, research their approval requirements, and complete the application without including your social security number.
  3. Use your newly established business credit accounts to purchase products and timely pay bills while monitoring your credit reports.
  4. Establish at least ten reported payment experiences, including vendor and revolving credit, to start getting approved for more cash credit.

How to secure revolving cash credit:

  1. Establish a business credit profile with at least a D&B and Experian score and at least ten payment experiences, including at least one reported account with a $10,000 high limit.
  2. Locate cash credit sources and complete the business application form without including your social security number.
  3. Use your new credit to purchase items and timely pay bills to increase your business credit score.
  4. Monitor your credit reports to ensure your new accounts are reporting.

How to use a business credit card:

  1. Pay your business credit card on time to boost your business credit scores and improve overall creditworthiness.
  2. Note that some business credit cards may report to the owner’s personal credit reports with all activity or just negative activity in the case of unpaid bills.
  3. Before applying for a small business credit card, ensure you have good personal credit scores and sufficient income from all sources.
  4. Review credit card offers carefully as terms and rewards vary widely.
  5. Determine whether to issue business credit cards to employees to help with expense reporting and segregating business expenses.
  6. Connect the tradeline to your business account and use it to pay the credit card bill.

By following these steps, businesses can establish a credit profile and obtain business credit. Establishing payment experiences for revolving and cash credit, researching approval requirements, and monitoring credit reports regularly are key to building and maintaining business credit. Using a business credit card can also be an effective tool to manage expenses and improve credit scores.

Recommended: What are the Best Unsecured Business Credit Cards for Startups? 

Asking for Help is Not a Sign of Weakness

Building business credit can be complex and overwhelming, but it’s essential for the success of your business. Remember that asking for help is not a sign of weakness. Resources and experts are available to guide you through the process and help you establish strong credit for your business. With guidance from people with experience, you can navigate the complexities of building business credit and take your business to the next level.

If you want to learn how to obtain up to $100K in business credit in as few as 30 days, join Business Credit Workshop today.

Low-Risk NAICS Codes +Best SIC Codes for Business Credit in 2025

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low risk naics codesbest sic codes for business credit

If you register your business in a high-risk industry, it can cause all sorts of problems down the road: 

  • Limited access to credit and funding
  • Higher insurance costs
  • Increased regulatory scrutiny
  • Difficulty attracting investments
  • Challenges building partnerships

No matter what industry you’re in, choosing the right North American Industry Classification System (NAICS) codes and Standard Industrial Classification (SIC) codes can make all the difference.

Tony Hsieh once said, “Chase the vision, not the money; the money will end up following you.” I love this. 

But, how exactly can you chase your vision and ensure the money follows in a high-risk industry, never able to break even with no access to funding (and paying out your ears in insurance)?  — That’s where understanding low-risk NAICS codes and best SIC codes for business credit comes into play.

So, grab a cup of coffee, get comfortable, and let’s explore low-risk NAICS codes and the best SIC codes for business credit. 

Here’s what’s in store: 

Now, let’s dive in! 

NAICS Codes vs. SIC Codes: A Comparison

Best NAICS codes for small business

Let’s take a look at the key differences between NAICS codes and SIC codes.

First, the structure and scope vary. NAICS codes get a bit more detailed with their five to six-digit codes — this provides a more specific breakdown of industries. On the other hand, SIC codes keep it simple with three to four-digit numbers, offering less granularity in industry categories.

Next, their adoption and age differ. NAICS codes are the cool kids on the block, introduced in 1997 as a modern and flexible system. They all but replaced the old-timer SIC codes from the 1930s. NAICS codes are widely used these days. Meanwhile, SIC codes are still kicking around in some older databases (and history books). 

Furthermore, there are compatibility differences. NAICS codes like to play nice with international standards — this makes it easier to compare and analyze industries worldwide. SIC codes, on the other hand, are more focused on the home turf, primarily used within the U.S., and not always a match with international systems.

Finally, industry coverage deviates between systems. NAICS codes have a wider embrace, covering a broader range of industries to keep up with the modern business landscape. SIC codes, bless their old souls, might not have codes for some of the newer industry segments. NAICS codes are the more with-it choice if you want a comprehensive classification system.

In sum, NAICS codes are a fresh, versatile system, perfect for keeping up with the times and playing well with others. However, if you’re dealing with older databases, SIC codes can still be useful.

Even though they have been replaced by NAICS, government agencies and some funding companies continue to use SIC codes to classify companies based on their business activity.

Note: unless you’re a contractor for the government, you’re not required to enter a NAICS code when you register your business. However, you will need it when you file your taxes with the IRS. 

You might also like: What’s the Best Payment Processor for a Small Business? Really

Understanding NAICS Codes

As previously mentioned, NAICS stands for the North American Industry Classification System. It was developed by the statistical agencies of the United States, Canada, and Mexico to classify businesses and industries. 

NAICS codes are used to collect and analyze statistical data, facilitate comparability of data across countries, and assign businesses to specific industry categories.

The NAICS system is hierarchical and organized into sectors, sub-sectors, industry groups, industries, and national industries. At the most detailed level, there are six-digit NAICS codes. As of my knowledge cutoff in September 2021, there are over 1,000 six-digit NAICS codes covering a wide range of industries and business activities.

To select the appropriate NAICS code for your business, consider the primary activities and functions of your company. Start by identifying the core aspects of your business and the industry in which it operates. Then, find the code that best aligns with your business activities. You should select a code that accurately describes the primary nature of your business operations.

When applying for business credit, lenders consider the level of risk associated with the industry in which the business operates. Low-risk NAICS codes are less prone to economic volatility and have historically demonstrated stability. Having a low-risk NAICS code can positively influence lenders’ perception of your business, potentially increasing your chances of obtaining credit or better loan terms.

Let’s look at some examples of low-risk NAICS codes for different industries:

  • Real estate: 
    • 531110 – Lessors of Residential Buildings and Dwellings
    • 531120 – Lessors of Nonresidential Buildings (except mini warehouses)
    • 531190 – Lessors of Other Real Estate Property
  • Online retail:
    • 454110 – Electronic Shopping and Mail-Order Houses
    • 454210 – Vending Machine Operators
    • 454310 – Fuel Dealers
  • Consulting:
    • 541611 – Administrative Management and General Management Consulting Services
    • 541612 – Human Resources Consulting Services
    • 541618 – Other Management Consulting Services

For business credit purposes, I generally recommend new businesses choose an appropriate category that is very “general” (i.e. “business management”).

For comparison purposes, let’s peek at high-risk NAICS codes. 

Identifying High-Risk NAICS Codes

Certain NAICS codes are considered “high risk” due to various factors that impact business stability and profitability. 

Economic volatility, regulatory challenges, technological disruption, and environmental or safety hazards can contribute to the risk of certain NAICS codes. 

Now, here are some examples of NAICS codes that can be considered high-risk: 

  • Construction and Extraction:
    • 238910 – Site Preparation Contractors
    • 213112 – Support Activities for Oil and Gas Operations
    • 238990 – All Other Specialty Trade Contractors
  • Accommodation and Food Services:
    • 721110 – Hotels (except Casino Hotels) and Motels
    • 722310 – Food Service Contractors
    • 722511 – Full-Service Restaurants

Please note that the classification of high-risk NAICS codes can vary based on economic conditions and industry-specific circumstances. It is important to thoroughly research and analyze to assess the risk level of a particular industry and understand the potential challenges associated with specific codes.

Next, learn how choosing the right codes can impact your potential business funding.

Recommended: This is How to Leverage Business Credit to Transform Your Life 

What Industries Get the Most Funding? 

Low risk industries list

The industries that get the most funding seem to vary greatly based on the type of funding. 

For example, Kingscrowd — a sort of crowdfunding platform where venture capitalists and businesses can connect for investment opportunities — reported their top five industries for funding in 2020 as the following: 

  1. Alcohol, tobacco, and recreational drugs
  2. Food, beverage, and restaurants
  3. Consumer products, goods, and services
  4. Media, entertainment, and publishing
  5. Transportation, automotive, aviation, and aerospace

Meanwhile, WestTown Bank & Trust compiled an SBA financing report that same year, in which the highest volume industries were: 

  1. Full-service restaurants 
  2. Limited-service restaurants
  3. Offices and dentists
  4. General freight trucking
  5. Hotels and motels

Note that this list is based on the number of loans obtained, not funding amounts. 

Now, the SBA doesn’t allow some businesses to apply for funding through their programs — These include certain real estate investment firms, dealers of rare coins and stamps, banks and insurance companies, pyramid sales plans, businesses involved in illegal activities or gambling as the principal focus, non-profits, government-owned corporations, consumer and marketing cooperatives, and churches and organizations with religious objectives.

While some real estate investment firms can’t get SBA funding, $270 billion in SBA funds were allocated to commercial real estate in 2020. So, a lot of money is also poured into real estate. 

And, Crunchbase reported the six industries with the highest growth potential in 2020 in a completely separate arena than other sources: 

  1. Med/biotech
  2. Payments
  3. Cybersecurity
  4. Telehealth
  5. Remote meeting/collaboration
  6. Edtech

The answer to which industries get the most funding varies greatly, so it’s hard to say exactly. Generally, you need to look to the funding source for more information. 

Now, let’s look at how NAICS codes can affect business funding odds. 

How to Choose the Best NAICS Codes for Funding

Selecting the right NAICS codes can improve your chances of securing funding. 

First, many funding programs, grants, and loans are specifically designed for businesses in certain industries or sectors. By correctly identifying your NAICS code, you can narrow down your search for funding opportunities that are tailored to your industry, increasing your chance to find relevant funding sources.

Next, funding programs often have specific eligibility criteria based on NAICS codes. Certain programs may prioritize or exclusively support businesses in particular industries. By accurately aligning your NAICS code with your business activities, you ensure that you meet the eligibility requirements for relevant funding programs.

Furthermore, funding institutions or investors may prefer to support businesses within industries they are familiar with or have expertise in. By selecting the right NAICS code, you can better attract the attention of funders who specialize in or have a keen interest in your industry, potentially increasing their confidence in your business and improving your chances of securing funding.

Funding opportunities can vary depending on numerous factors, including economic conditions and specific funding initiatives. 

Here are a couple of examples of NAICS codes that have historically shown higher funding potential or are commonly associated with industries that receive funding support:

  • Information Technology:
    • 541511 – Custom Computer Programming Services
    • 541512 – Computer Systems Design Services
    • 518210 – Data Processing, Hosting, and Related Services
  • Healthcare and Biotechnology:
    • 621111 – Offices of Physicians
    • 621610 – Home Healthcare Services
    • 325414 – Biological Product (except Diagnostic) Manufacturing

Keep in mind that funding opportunities are subject to change. You need to conduct thorough research to identify specific funding programs, grants, or loans that are available for your industry and business needs. 

What NAICS Codes Get the Most Funding? 

According to the U.S. Department of Treasury’s Guide for Small, Minority-Owned, and Women-Owned Businesses, these are some of the NAICS codes that receive significant funding:

  • 541519 – Other Computer Related Services
  • 541512 – Computer Systems Design Services
  • 322121 – Paper (Except Newsprint) Mills
  • 517110 – Wired Telecommunications Carriers
  • 511210 – Software Publishers
  • 334111 – Electronic Computer Manufacturing
  • 541611 – Administrative Management and General Management Consulting Services
  • 541511 – Custom Computer Programming Services
  • 561720 – Janitorial Services
  • 561210 – Facilities Support Services

These NAICS codes represent industries that the Department of Treasury procures products and services from, and where a considerable amount of resources are spent. Small, minority-owned, and women-owned businesses are encouraged to market their capabilities within these industry codes to Treasury.

Let’s not forget to look at SIC codes — many lenders still rely on them. 

Exploring SIC Codes for Business Credit

SIC codes, or Standard Industrial Classification codes, were primarily used before NAICS codes to classify businesses based on their industry and activities. The US government developed them to collect, analyze, and compare data across industries.

SIC codes were last updated in 1987 and can provide insights into a business’s operations, industry risks, and historical performance (yes, even today) — These are all relevant factors to assess creditworthiness.

As with NAICS codes, to choose the best SIC code for your business, you should always do your research. Consider the primary activities and functions of your business and select an SIC code that accurately represents the industry in which your business operates. 

The best SIC code is the one that aligns closely with your business activities and industry classification and is considered low-risk by the lender you’re targeting.

With that said, here are a few SIC codes that are generally considered to have lower-risk profiles:

  • Real estate:
    • SIC 6512 – Operators of Nonresidential Buildings
    • SIC 6531 – Real Estate Agents and Managers
  • Online retail:
    • SIC 5961 – Catalog and Mail-Order Houses
    • SIC 5941 – Sporting Goods Stores
  • General business: 
    • SIC 8741 – Management Services

Of course, these examples are not exhaustive, and the relevance of specific SIC codes for obtaining business credit can depend on various factors, including the lender’s assessment criteria and industry-specific considerations. 

It’s a good idea to consult with lenders and business credit consultants to identify the most appropriate SIC codes for your business and to understand the requirements for funding. 

Recommended: Here’s How to [Actually] Get Business Credit With Just an EIN +More Options 

Frequently Asked Questions

How many NAICS codes should I use?

The number of NAICS codes you should use depends on your analysis needs. Consider factors like specificity, focus, and resource constraints. There is no fixed number; choose based on your objectives and available resources.

How might NAICS codes be most helpful?

NAICS codes are helpful for industry classification, market research, data analysis, business planning, government analysis, and business credit/funding.

What is the SIC code for financing?

The Standard Industrial Classification (SIC) code for financing is 6199.

What is the best NAICS code for a holding company?

The most suitable NAICS code for a holding company would be 551112 – Offices of Other Holding Companies.

Final Thoughts

Understanding NAICS codes and leveraging SIC codes can help you take actionable steps to secure funding and credit for your business. Identify high-risk industries, choose the best codes for funding, and stay updated on changes in coding systems. By using these codes effectively, you can unlock the doors to financial success for your business.

Want to learn how to obtain up to $100K in business credit in as few as 30 days? Join Business Credit Workshop today.

Is a Floor & Decor Business Credit Card Still Worth It? 

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Floor & Decor business credit card

Just a couple of years ago, Floor & Decor offered one of the best no personal guarantee (no PG), high-limit, credit cards that reported on-time payments to business credit bureaus — Some business owners were obtaining lines of credit up to $15K on their Floor & Decor business credit cards in as little as 7 days after opening their businesses! 

It was a great card for real estate investors using the BRRRR method, and other business owners with relevant needs. 

A while back, I started noticing some under-the-radar, so-called business credit gurus teaching people how to unethically liquidate these cards…Right away, I knew a monkey had thrown a wrench into the works. Pretty soon, as expected, it happened: Floor & Decor wised up and reworked their policy on offering high-limit, no PG cards to business owners.

So, what’s up now? 

Here, I’m going to tell you what I know about Floor & Decor’s business credit offer and about the company behind the offer. I’ll try to answer every question you might have. 

This is what’s in store: 

And…action! 

Floor & Decor Company Overview 

Floor & Decor is a Georgia-based, Fortune 500 flooring and home improvement store that was founded in 2000. When the company’s 2022 Investor Relations Report was published, there were 191 operational Floor & Decor warehouse stores (the biggest is a 70K square foot store in Burlingame, California that opened in 2018). 

Floor & Decor credit card login

Thomas V. Taylor is the CEO and board member of Floor & Decor since December 2012. Prior to that, he had an extensive career at Home Depot, holding various executive positions, including Executive Vice President of Operations and Executive Vice President of Merchandising and Marketing. He also has board experience with other companies in the retail industry.

Trevor S. Lang is the President of Floor & Decor. He joined the company in 2011 as Chief Financial Officer and was later promoted to Executive Vice President of Professional Services. In 2022, Lang became President and took on additional responsibilities for Store Operations, Marketing, eCommerce, and Technology. He has prior experience as a CFO for Zumiez Inc. and Carter’s, Inc., and has a background in finance and accounting.

And, according to Stock Circle Berkshire Hathaway owns 4.67% of Floor & Decor stock. 

Floor & Decor’s closest competitors are probably Onx Homes, Blains Farm & Fleet, and Alameda.

Where is Floor & Decor located?

Floor & Decor Headquarters in Smyrna, Georgia, photo by Felipe Torraalba. 

Now, let’s find out what this all means for you. 

Floor & Decor Business Credit Cards

For business owners considering Floor & Decor financing, they offer tailored options to maximize buying power and capitalize on business opportunities. Whether one is a professional or a commercial business in the construction industry, Floor & Decor has a couple of offers to meet diverse needs.

What’s cool is that you can get 6 months of financing without any interest charges if you pay off the full amount within that time period. This offer applies to purchases of $299 or more.

However, if you don’t pay the full balance within 6 months, interest will be charged from the purchase date. So, it’s important to make sure you pay it off in full within that timeframe.

Make sure that you carefully review the terms and conditions of any financing offer to understand the exact interest rates, minimum payment requirements, and any other finance charges that may apply.

Pro Premier Credit Card

Floor & Decor pro premier credit card

Professionals might benefit from the PRO Premier Credit Card, which allows for purchases to be paid off over time. With an unsecured revolving credit line, you have the flexibility to manage expenses efficiently. 

The interest rate for new accounts is 26.99% APR, and a minimum interest charge of $2 applies. Minimum monthly payments are required, but it’s worth mentioning that these payments may not pay off the promotional balance before the end of the promotional period, depending on the purchase amount and payment allocation.

The Pro Premiere card is serviced through Synchrony Bank and has a couple of potential penalty fees: 

  • $41 for late payments
  • $30 for returned payments

Synchrony provides regular updates to the three main consumer credit bureaus, namely Equifax, Experian, and TransUnion. These updates typically occur once every 30 days, aligning with a specific milestone in your billing cycle.

You can apply online through Synchrony. 

Floor and Decor business credit card application

You’ll need the following business info ready: 

  • Company Full Legal Name
  • DBA Name (if different than Legal Name) 
  • Tax Classification 
  • Business Address (Do not use a P.O. Box. Instead, use your business’s physical address.)
  • ZIP Code
  • City & State 
  • Business Phone
  • Email Address
  • Taxpayer ID or FEIN Number
  • Dun & Bradstreet Number (Optional)
  • Number of Employees
  • Year Established
  • Requested Credit Line ($)

You can apply with or without a personal guarantee. 

You will need a personal guarantee if your business is less than two years old or has no established business credit history. 

Recommended: Business Credit Cards without Personal Guarantee 

Commercial Business Account

Floor & Decor business net 30

Businesses can also take advantage of the Commercial Business Account. This account provides a 30-day net term account credit line, ensuring flexibility in payment timing. 

The interest rate for new Commercial Business Accounts is 26.99% APR, with a minimum interest charge of $2. It’s important to note that these rates and charges can vary depending on the specific financing option chosen.

You can reserve inventory for projects without the need for prepayment. For larger projects, separate job account credit lines are available, simplifying expense tracking and accounting processes. Floor & Decor’s itemized billing invoices with a job or purchase order references can help streamline financial management. 

To apply, you’ll need to find your local store. 

Recommended: Using 30-Day Net Vendors to Build Your Business Credit Score 

Pro Premiere Rewards Program

Floor & Decor offers a rewards program called Pro Premier Rewards, designed for businesses and professionals. By creating an account and registering your Pro ID, you can start earning points on spending.

Floor & Decor business credit card payment

Here’s how it works: For every dollar you spend on Floor & Decor purchases, you earn 1 point, up to $3,000 per month. If you spend more than $3,000 per month, you earn 3 points for every dollar spent above that threshold. Simply provide your PRO ID number each time you make a qualifying purchase.

With the points you accumulate, you can redeem them in the award mall for a variety of products. From popular brands to timeless favorites, you can choose items like golf equipment from Callaway®, a Weber® grill for perfect steak searing, or even tickets to support your favorite sports team.

As a valued PRO Premier Rewards member, you also gain access to PRO Partner savings. These partners offer discounted rates on business and marketing tools, project leads, office supplies, printing services, discount gift cards, tools and equipment rentals, logo shirts, hats, and more. The list of PRO Partners may change over time.

Liquidating Credit Cards

After the purported gurus started telling people how to liquidate their credit cards, Floor & Decor cards became one of the go-to cards for getting it done. So, chances are you ended up here wanting to know how to convert your credit cards into cash. 

While I don’t want to disappoint you, I also don’t want to steer you down a destructive or unethical path. So, I won’t leave you empty-handed, but I also won’t encourage you to buy a bunch of gift cards or scam Costco with your Mastercard. 

  • First, if you do choose to liquidate credit cards, invest your money into assets, not liabilities. Instead of clubs and trips, spend it on things that will make you money. 
  • Next, always repay the funds you owe as soon as possible to avoid lofty penalties. 
  • Finally, the safest way to convert cards into cash is with the help of a reputable law firm. 

Yes, liquidating credit cards is something that can be done, but do not trust every piece of advice you find online — you could get yourself into trouble. 

Frequently Asked Questions

Can I use my Floor & Decor credit card anywhere?

No. The Pro Premier credit card is not a Visa or Mastercard. It’s a store card, serviced through Synchrony Bank. 

How hard is it to get a Floor & Decor credit card?

Your business needs to be established for at least two years and have an established credit score if you want to apply for the Pro Premiere card without a personal guarantee. It’s considered fairly easy to qualify for net 30 payment terms. 

What is the phone number for Floor & Decor payments?

You can reach Floor & Decor customer support at 877-675-0002 and Synchrony Bank (to make a Pro Premier Credit Card payment) at 866-419-4096.

What is Floor & Decor's return policy?

Floor & Decor has a 90-day return policy. You can return merchandise to any store or online within 90 days with a valid receipt for a refund. Returns after 90 days or without a receipt may be refunded at the lowest price.

Some locations require unopened and original packaging. Installed products cannot be returned. Special orders can be canceled before shipping for a full refund. Custom orders are non-refundable except for exchanges.

Conclusion: Is Floor & Decor Worth it? 

Floor & Decor is a reputable company with strong leadership and generally fair credit terms. If you want the ability to pay for flooring and supplies with a revolving, unsecured credit card or net 30 terms, then, yeah, go for it! 

Just know that you won’t get the same no-pg terms that were availab