I’m a 20-year-old, and my family’s had a rough financial history. My parents never set up a credit line and weren’t great with managing money. I work full-time doing vehicle wraps, and I’m making decent money, but I don’t want to make the same mistakes. I’m thinking about opening an LLC someday, but not anytime soon.
I’m really unsure where to start—what’s a good first company to try, and what are some smart ways to build credit? I paid off my car when I was 18, so I don’t have any car payments, and I’ve heard some folks use credit cards for expenses like that.
Credit unions are a good option for lines of credit at fair rates, though your initial limit might be low. I’ve got a $1000 line with an 11% APR at my credit union.
For personal credit, a credit card can help build history if you use it well. For your business, you’ll probably need to have it up and running with financial statements before you can get a credit line for an LLC.
There are forums here about entrepreneurship and small businesses where people share similar questions.