Net-30 terms help your business establish trade payment history and improve credit readiness when payments are made on time or early. This guide focuses on the USA and Canada.
Your business can purchase eligible goods or services now and pay the invoice within 30 days.
Vendor-reported payment experiences influence business credit scores and ratings. Establishing trade lines is a proven way to show payment reliability.
Before applying for any terms accounts, ensure these basics are in place:
Follow this decision filter to avoid wasting time on unhelpful accounts:
Net-30 accounts only build business credit if vendor payments are consistently reported to commercial bureaus; always verify reporting before applying.
Select vendors that align with your real business spending, including office supplies, shipping, IT equipment, marketing, printing, and other necessary services.
Prefer vendors with clear applications, reasonable documentation requests, and transparent invoicing to reduce delays and avoid unnecessary frustration.
Carefully review vendor terms, including late fees, collections, or account restrictions, because ignoring them can harm your business credit and cash flow.
Provide practical examples of vendors to help businesses get started:
Note: Always verify that the vendor reports to a commercial bureau before relying on it for credit building.