How to Buy a Car in Your Business Name: Tips for Success!

Before you can buy a car under a business name, you’ll need to establish your business credit, which can take up to two years. So, be prepared to provide your potential lender with financial information about your business finances.

So you want to know how to buy a vehicle in your business’s name in this video we will go over the steps we followed to get our vehicle financed without providing a personal guarantee remember that purchasing a vehicle may not be the best option for you leasing may be better but check with your company’s accountant or financial advisor to see what is best if you

Are new to the channel welcome we are here to help you with your personal and business finances credit and growth opportunities let’s start by clicking on the subscribe button with all notifications switched on so you won’t miss any future videos we publish before we get into the video which brought you to us today please consider subscribing to the channel and

Liking this video we do weekly financing and growth content at the channel and if that sort of thing is for you hit the sub button and leave a comment below that will automatically enter you to win our ongoing ps5 giveaway so again if you want to be entered to win hit the subscribe button leave a comment on this video and if you want stick around till the end

Of the video and we’ll get into all the giveaway stuff again there let’s start off by quickly going over how to establish business credit by correctly establishing business credit your company can purchase a vehicle or a fleet without a personal guarantee in the company’s name or you can provide a personal guarantee which will make you liable if your company

Defaults on its obligation so how do you build your business credit we’ve made many videos so i recommend going back and watching them if you haven’t already but here is the short version step number one is to incorporate your business most sole proprietorships typically use their social so they don’t separate their business from their personal expenses step

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Number two is to get your ein this is a nine digit number similar to a social security number for your business you will need this to start building your business credit and will be required for step three this is free to acquire so be careful if you come to a site requiring payment we will provide a link to the irs’s website in the description step number three

Will require you to get a business phone number and open a checking account in the business’s name you will want to ensure that all your business transactions flow through this account the fourth step in this process is registering your business with the credit bureaus the easiest method we have found is registering with nav and getting the business boost plan

This will automatically report your business to experian and equifax creating your bin and equifax id you can expedite your duns number by paying done in bradstreet or you can wait for it to be generated if you have tax returns for your business you might consider providing them to the bureaus as it can improve your score rating step five is about establishing

Trade lines from vendors that report your payment experiences to the business credit bureaus this is simply buying products and services on credit and then paying your invoice before the due date you will need to establish 8 to 12 trade lines on your business credit with a couple reporting a high credit limit of fifteen thousand dollars or more depending on how

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Much you want to finance it’s unlikely for a lending institution to loan you fifty thousand dollars if the highest amount you’ve borrowed is fifteen hundred dollars we will have a list of amazing and easy vendors to start your business credit in the description most of these are affiliate links so we receive a small commission if you purchase anything now that

You have the basics down you will need to pick your vehicle and the dealership that is best for you i would start with the car as it doesn’t make sense to go to a honda dealership if you want a g wagon i would recommend picking a vehicle that makes sense for your business a camaro might not be a good fit if you have a drywall business remember you should only be

Buying a vehicle in your business’s name if it’s for your business now that you have a car in mind try finding a dealership with a commercial sales representative as this process differs from regular consumer sales it will make your process go a lot smoother let’s talk about financing most dealerships with a commercial division will have various options available

To you be sure your representative knows you are looking for commercial financing without a cosigner one of the simplest financing companies to get your vehicle financed through is ally bank most dealerships will use this company but you can always check by going to ally’s website and clicking on finding a dealer button we financed our vehicle through chrysler

Financial and we’re asked to provide two years of tax returns six months worth of bank statements and business documents however we know of other companies that didn’t have to provide any of the financial documentation next let’s talk about insurance before going to the dealership you will want to contact your insurance agent to get a commercial policy commercial

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Car insurance is separate from rideshare insurance and personal auto insurance though you can often bundle these to save money you may also be able to package this coverage with other types of business insurance including general liability and commercial property insurance since registration will vary from state to state i recommend contacting your local dmv we

Realize that you might not have the same experience as us since our credit profile and business age may differ but we would love to hear about your car buying experiences or maybe you have a simple question either way let us know in the comments below be sure to check out our private facebook group where our community shares a wealth of knowledge daily we have

Provided a link below in the description where you have to answer some questions and you will be able to be part of that ever-growing community let’s quickly jump into the giveaway stuff before we let you go we’re still giving away playstation 5s all the way up to one hundred thousand the next milestone is 25 000 subscribers if you want to be entered to win all the

Same rules will always apply hit the subscribe button because you need to be a subscriber then leave a comment down below because it’s random the more videos you comment on the better your chance of winning all winners are announced here during this segment in the same part of the video at the end as always if you enjoyed today’s video we sure would appreciate it

If you could hit the like button as always thank you and make it a wonderful day

Transcribed from video
How to Buy a Car in Your Business Name: Tips for Success! By Mercury Business Solutions