It’s possible to get a car loan under your business name if it’s purchased through an LLC or corporation
Before heading off to the dealership, make sure you:
Check your business credit score. Pull your business credit score from a designated credit bureau, like Dun & Bradstreet, Equifax, or Experian. Credit scores for businesses range from 0-100. If your credit score is over 80, you should qualify for a car loan.
You’ll have to pay to see your business credit. Prices will vary from bureau to bureau. The average cost is around $40 to $100.
Find dealerships with commercial sale departments. These departments specialize in buying and registering business vehicles. You can call or stop by a dealership to ask if they have a commercial sales department.
Provide your lender with your financial information. Lenders will ask for a variety of financial information before extending a loan. For example, they may ask to see your business balance sheet.
Provide a guarantor for the loan. Some lenders may require a guarantor if you’re a new business. This is a designated party responsible for the loan if your business goes bankrupt or stops making money. The lender can sue and go after the guarantor’s personal assets to satisfy the unpaid loan.
Obtain insurance. Lenders will not let you drive your vehicle off the lot if you do not have insurance. So make sure you obtain commercial auto insurance from trusted providers.
And if you’re looking to save money on personal auto insurance to free up more money for your business, turn to the Jerry
app. Jerry can collect quotes from up to 50 top insurance companies—like Travelers, Nationwide, and Progressive—in seconds! The average Jerry user saves $879 on personal car insurance