Many lenders will consider both personal and business credit scores when determining the creditworthiness of your business.
Banks often rely on both business and personal credit scores for approving lines of credit for your small business. And some credit scores — such as the FICO Small Business Scoring Service (SBSS) — take both business and personal credit reports into account when calculating scores. The U.S. Small Business Administration, or SBA, currently uses SBSS to pre-screen its loan applicants.
And if you’re just starting up, your business may not have an existing business credit score, so you may need a strong personal credit score to qualify for a small business loan, negotiate favorable terms, secure line-of-credit increases, and apply for emergency funds.