Most people are familiar with their personal credit score. It is a unique number calculated based on your financial debts, history, and other personal fiscal data. A high score demonstrates reliability, and typically means you have low debt and have regularly repaid any debts; a low score means the opposite.

Businesses will also typically have a credit score assigned, based on similar criteria. As with a personal score, access to loans will be more realistic for businesses with higher credit. Wherever you’re starting, there is a way you can improve your business credit.

Repay Debts Regularly

The simplest way to improve any credit score is regular repayment of debts. Over time, steady repayment will improve your credit.

However, the size of any outstanding debt is typically also a factor in determining personal or business credit. Avoiding unnecessarily large loans is always a benefit in maintaining a high credit score, even if sometimes more challenging.

By the same token, however, having no debt can also be limiting in determining your credit score. Having a healthy amount of debt — for instance, a business line of credit — and using it to make purchases that you can quickly and reliably repay is a useful way to work at consistently improving your credit.

Whatever the type of loan, sticking to a payment plan — and paying back more than the minimum whenever possible — will help keep credit high.

Keep Personal and Business Finances Separate

It is essential to separate any personal finances, including debts and other obligations, from your business finances. For one thing, this will keep you more organized and fiscally responsible at work: you will not have to worry about overlapping taxes, what to deduct and what not to, and other similar considerations.

In terms of your public, fiscal standing, separating your personal finances from your business finances will ensure your credit remains separate. If you have subpar personal credit, keeping that distinct from your business credit will allow your business to seem more reliable to lenders, and will give you access to better business loans. Focus on your personal and professional finances one at a time, and both will ultimately turn out better.

In short, having a good credit score for your business is an important asset in navigating the complex, professional fiscal landscape. Take time to employ the tips above and you should ultimately see results in your fiscal standing.