Credit risk solutions for businesses
Get ahead of your debtors and make smarter financial decisions with access to a private company credit rating before you start trading with a new debtor. We offer affordable credit risk solutions to businesses of all sizes throughout Australia.
When you borrow money from a bank or open a line of credit with them like an overdraft facility, you expect to have the bank assess your private company credit rating before they give you approval.
Based on how well your business scores on a business credit rating scale will determine the risk factors the bank assumes and those are reflected in the interest rate that they offer. It is standard and accepted practice nearly everywhere, but is it standard practice with your business? Well, with our help, it could be from now on.
Business credit checks
Poor credit management procedures are common place in Australia despite significant advances in technology and access to data. Credit worthiness checks are vital no matter how big your business is however the utilisation of them has been lacklustre.
While your commercial customers may not feature in the S&P Global Ratings, there are still business credit checks that you can access to ensure that your business isn’t affected by customers who are failing to meet their debt obligations or that are heading towards administration.
At CreditorWatch, we offer a complete suite of accounts receivable solutions that until recently were only utilized by the financial services industry. Helping you to assess a private company credit rating is just one of the many tools that we can give you access to that is going to help you avoid bad debtors.
Say you’re looking to start trading with a private company you have never had any dealings with before and the job is a BIG one. If they pay their bills on time, you stand to make a substantial profit. If your bills aren’t paid on time however, you assume a lot of financial risk. Standard practice is to check them out, right?
This could be accomplished with some general home research including internet searches and chatting with other businesses operating in your market to get a general feel of the sentiment your potential new customer has already generated. Getting a private company credit rating on the business may not have occurred to you or perhaps you’ve heard that credit rating companies are expensive, and you don’t want to extend your capital investment further than you already might if you take this partner on. That’s fair. But chances are that you haven’t heard of CreditorWatch then.
We can complete a full credit check on any legal entity trading in Australia. The information that we gather to form our corporate credit rating is taken from multiple sources including the Australian Securities and Investments Commission (ASIC), the Australian Business Register (ABR), Australian Financial Security Authority (AFSA bankruptcy data), as well the Australian Courts, debt collection agencies and our own extensive databases such as payment defaults registered by our customers against their bad debtors.
The private company credit rating you receive could very well show that your potential partner has shown, to date, to be a reliable debtor and prospects look good if you go into business with them. Or it may show a credit report full of holes badly in need of repair. Either way, you have bought some peace of mind and can now form terms and conditions of trading with them which accurately reflect the risk your business will assume.
If this scenario rings any bells for you, why not try our free trial and discover how CreditorWatch can help you buy some business peace of mind with the right information from the start: https://creditorwatch.com.au/how-it-works.