Entrepreneurship · Entrepreneur

Do investors check your credit score?

Uzair Usman Partner at Usman Group | Independent Business Consultant

October 3rd, 2016

I know investors do background checks and all types of reference checking before making an investment. Wondering if that also includes checking your credit score?

Michael Burack

October 3rd, 2016

You can bet that the angels, vc's and after will check everything..The only safe place is family and friends who know one's history...

Tom DiClemente Management Consulting | Interim CEO/COO | Coach

October 4th, 2016

As an entrepreneur, attracting equity funding in nine startups, I have never been asked to authorize having my credit score checked, nor ever provided my SSN to a VC, except in the case of credit financing through a community service lender. Of course, with banks or other debt financing you will also normally have your credit score checked. I have never taken the commercial or mezzanine financing route.

As a VC, I have never checked anyone's credit score.

Steve Simitzis Founder and CEO at Treat

October 3rd, 2016

Generally not. Many/most entrepreneurs have terrible credit. Some of them will run a background check on you, and significant events like bankruptcies will show up. 

Arthur Lipper Chairman of British Far East Holdings Ltd.

October 3rd, 2016

As credit scores are seen as being indicative of both discipline and other characteristics of the individual you can assume they do.

Dane Madsen Chief Operating Officer at Comivo, LLC

October 3rd, 2016

I have never had mine checked - you do have to sign a release for them to do it so you will know if they do. Expect them to verify your education - did you really graduate form Stanford or did you just enroll. 

Sandra Gomez

October 7th, 2016

Makes me feel better especially when a lot of us risk everything for our startup