![]() ![]() No matter how good your company’s financial management is, delayed payments from your clients will start to affect your ability to pay in time to your suppliers, as well as making it difficult to create sound planning for the short and medium-terms. Similarly, if you notice a slow-down in a current client’s ability to honour liabilities, you may rethink or renegotiate deliveries to that particular client so that your future financial situation would not suffer. The displayed number of days that the company usually needs to cover their invoices would help you choose the most fast-paying prospects. Hence you can learn about your business partners’ and prospects’ payment behaviour and understand how likely they are to make payments in certain periods. More useful info is given by trade payment information. Besides offering recommended credit limits, credit report providers display a global risk score. To achieve that, business credit report providers apply specific weighting frameworks and statistical methods, diving deep into financial data, company size and industry characteristics, regional specifics, corporate structure, county court judgments, mortgages, or other relevant company intel. These also highlight the critical points, if any, assisting you in making information-driven decisions. Most business reports incorporate a financial assessment that sums up a business’ potential and profitability. Thus, you get the possibility to act in time, reacting before it is too late and alleviating risks. Moreover, a list of companies of your interest compiled with certain platforms should enable you to not just review their credit situations, but also get notified once some changes to their financial status take place. The information provided helps you see not only the credit score itself but also what is bettering and what is hindering it. ![]() It is doubly useful for you in case you have multiple suppliers, clients, and other important stakeholders, as credit report providers oftentimes offer you the possibility to monitor a series of companies at the same time. What is a credit report?Ī trustworthy practice to mitigate risks is to perform a credit report check-up from reputable business credit report providers. In today’s article, we would like to emphasize why you should scrutinize your current and potential business partners’ financial situation and share the list of top business credit report providers of our preference. In many cases, improper due diligence of suppliers or other business partners, dreadful financial management, lack of appropriate strategic planning of actions for the worst-case scenarios, and plenty of different reasons have played a crucial role in many a business’ activities. One cannot say that all these figures are influenced solely by the pandemic, nor directly. Asia and the Americas show a significant increase in the number of invoices unpaid by their due date as well. ![]() Ever since March 2020, delays in B2B payments have escalated drastically, shooting up by 23% in the UK, 80% in Italy, 56% in France, 52% in Spain, 44% in Belgium, 26% in the Netherlands… the list goes on, and it is not just Europe. When a wide range of companies found new opportunities, others faced various difficulties and many were closed. ![]() It is no secret how frantic the situation has been lately, for the world at large and especially for the B2B sphere. ![]()
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