Building good credit definitely takes time – so starting early will pay dividends later. Even if you ‘building a good credit’ a bank will not loan your business money if it cannot show either substantial assets or a steady, reliable income stream.
On the personal guarantee – is it an awesome thing to do? No. But, sometimes we can’t sit back and wait for the perfect situation to present itself. So, business owners need to do the best they can with what they have; if that means taking out a business loan with personal guarantee, and in using your corporation to do the investments for you – then go for it if it is the right business move for you.
No lending institution wants to lend money to a business in need of cash flow. The business can start out using the owner’s or officer’s credit to gain approvals under the business name, but as the business grows it should start to establish it’s own credit history and credit profile in order to take on business credit of it’s own.