A buyer who makes regular purchases from the same company, will over the time, consider applying for credit facilities in order to save the inconvenience of having to pay for each transaction individually.
The terms under which the credit facilties are agreed will depend on factors such as :
- length of time as a customer
- previous payment history
- size of orders
- potential growth in purchases
- good references
Business credit application letter – Sample 1
[Your Company Name]
[Your Company Address]
[Company Name]
[Company Address]
[Date]
Dear [Name of Recipient],
Our company, [NAME OF YOUR COMPANY], is looking to open a line of credit with [COMPANY OF RECIPIENT]. We have been operating in the industry for [NUMBER OF YEARS] in [LOCATION OF YOUR COMPANY] and we have been using your services for a long time.
[Describe the reason why you need the credit and where it will be used]
Bankers and trade references can be provided on request.
If you require other information to be provided or there are forms that we need to submit, please let me know.
Thank you for your kind consideration.
Yours Sincerely,
[Your name]
[Position]
Sample 2:
Date
Name
Position
Company
Address
Dear [Mr. or Ms. Last Name]:
This is to request a credit line for our company.
We would like to tell you that we are impressed on the services that you are offering and we know several people who recommended your services to us.
[COMPANY INFORMATION]
We attached some purchase orders from our clients. What we provided are only some of the documents that we have and all of these are still incomplete as they are only meant to provide you an idea on our services. You can also check with our background to know the credit standing of our company.
If you will need other supporting documents or there are application forms that we need to fill up, please feel free to contact us anytime.
Truly yours,
[Name]
[Position]
Sample 3:
Date
Name
Position
Company
Address
Dear [Mr. or Ms. Last Name]:
Our company, [NAME OF COMPANY] would like to establish a line of credit with [COMPANY OF RECIPIENT]. My employees have been going into your store several times every month and it would be easier if we will be able to pay it by the end of each month. Based on the per month purchases that my employees have been making, we would like to request a [AMOUNT OF CREDIT].
If you want to have an idea on our company’s credit worthiness, you can try to contact some of the companies that we have dealt with on the past few years:
[LIST OF COMPANIES AND CONTACT INFORMATION]
Thank you for your kind consideration and we are looking forward to hear from you.
Cordially,
[YOUR NAME]
[POSITION]
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