The growing impact of a pandemic is having destructive consequences on the global economy. We should expect that the COVID-19 crisis will change the business world in important ways. The Stock Market has fallen over the past month and many employees are currently working from home due to the outbreak of COVID-19.
In order to retain their customers, many companies use business intelligence solutions to develop profiles of key customers and suppliers. Other companies have chosen to work on risk management and credit scoring to assess the probability and risk of default.
Furthermore, due to the pandemic, people and companies are financially struggling. As a result, people are being laid off, some small enterprises are forced to choose between paying their creditors or feeding their family due to this existential crisis. Correspondingly many companies are concerned about the impacts of late payments, and wondering how credit scores and the credit reporting system can help them in this period of shutdown.
Why You Need a Business Credit Report
Credit scoring models are globally used as they enhance credit processing and improve loan quality. These models offer institutional and economic benefits. These statistical scoring models are fully automated, accurate, efficient, reliable, and quantifiable and when managed effectively they will result in fewer credit problem loans. Therefore, a strong credit score and a favorable business credit report show that a business can meet its financial obligations.
However, during this crisis, customer credit scores are likely to decrease. Many clients are facing financial struggles and more likely to miss repayments or make repayments after the due date. Therefore, a Credit Analyst or Credit Risk Officer, might be asking these questions:
- How many of our customers have recently been identified to have profit loss warnings?
- How many of our customers have revenues from the most affected countries?
- How many of our customers are at risk from potential insolvencies?
- How many of our customers have been affected by this shutdown?
- Should we contact and check our customers’ financial situation?
- How can Cedar Rose help answering these questions?
As the economy worldwide is struggling amid the novel coronavirus outbreak; which is causing business closures and affecting companies’ abilities to make payments. Cedar Rose’s recommendation is to take extra precautionary measures when dealing with companies during these hard times to guarantee payments as late payments should be expected.
How Cedar Rose Can Help!
Cedar Rose is definitely your business information partner. During this coronavirus outbreak, ensure you are paid on time, discover who you are really trading with by ordering our freshly investigated Company Credit Reports and Due Diligence Research which reflect the country risk, and the business risk.
Our freshly investigated credit reports also include our company’s unique credit scoring module calculated using several factors, including the continuously updated country risk which reflects the risk caused by this pandemic on the country where the business is incorporated, so you can evaluate the current business risk level of your company, your supplier and/or your customer.
In addition, adding our “Monitoring Service” to your business credit report orders will enable you to be informed immediately if any changes are made. This 12-month service is a unique feature, when you opt-in for our monitoring service not only do you receive an email containing an updated report on the company whenever the company record is changed, but you get a direct note that indicates which fields have been updated.
The monitoring service ensures that you have critical information at hand to quickly take the necessary measures as and when important events take place such as bankruptcies, liquidation, change of ownership, a decline in financial standings and ability to meet financial or legal obligations and more. Stay ahead of the surprises with your trusted business intelligence experts – Cedar Rose.
For more information on our Business Credit Report service, please visit our website at www.cedar-rose.com or contact us on +357 25 346630.