7 expert tips to boost your business credit score fast

A strong business credit score is crucial for securing funding, getting supplier credit, and scaling your business. Many UK business owners overlook how their business score affects lending decisions—but improving it can help unlock better financing options.

What is a Business Credit Score?

Your credit score is a rating that determines your company’s creditworthiness. It helps lenders, suppliers, and potential investors assess the financial strength of your business. A higher score means lower perceived risk, making it easier to secure loans, credit lines, and investment opportunities.

How does a Business Credit Score affect your financing?

Much like a personal credit score, your business score is based on factors like timely payments, financial stability, and credit utilisation. The score typically ranges from 0 to 100, with:

• 80+ (Low Risk): Preferred by lenders, indicating strong financial health.

• 40-80 (Medium Risk): Moderate approval chances, but higher scrutiny.

• Below 40 (High Risk): Limited funding options, and higher interest rates.

You can check your business credit score with UK Credit Reference Agencies (CRAs) like Experian.

How to build & maintain a strong business credit health

A high business credit score can be a game-changer, making it easier to secure financing for expansion, asset procurement, and operational growth. Follow these 7 expert tips to improve your credit score effectively.

1. Pay your bills on time

Your payment history is a major factor in determining your business credit score. Meeting all deadlines for invoices, loan repayments, and overheads strengthens your rating and builds trust with suppliers and lenders.

2. Take out manageable lines of credit

Having credit accounts in good standing helps build your credit score. Consider small, manageable credit lines, but avoid excessive borrowing that could negatively impact your rating.

3. Don’t make too many credit applications

Applying for multiple loans or credit accounts within a short period can lower your business score. Each application leaves a ‘footprint,’ making it appear as if your business is struggling to secure finance. Use soft search eligibility checkers before applying.

4. Keep business information up to date

Ensure your Companies House records are accurate, including your registered address and financial statements. Keeping financial information up to date helps maintain transparency and boosts your credibility.

5. Maintain a good cash flow

A healthy cash flow demonstrates financial stability. Set up an emergency overdraft to avoid missed payments, and regularly review business bank accounts to ensure they reflect strong financial management.

6. Be vigilant with your personal finances healthy cash flow demonstrates financial stability. Set up an emergency overdraft to avoid missed payments, and regularly review business bank accounts to ensure they reflect strong financial management.

For SMEs and sole traders, lenders may assess personal credit alongside business credit. Keeping your personal credit score strong can help improve funding options for your business.

7. Avoid county court judgements (ccjs) CCJs and insolvency proceedings significantly damage your business score. Ensure all debts are managed responsibly to prevent legal action that could affect your financial reputation.

Secure business finance with a trusted uk lender

White Oak UK has been a trusted finance partner for UK SMEs for over 30 years. We provide tailored business finance solutions for industries such as hospitality, construction, and legal services.

Call 01244 527300 or email admin@whiteoakuk.com