Choose a dependable credit info provider
CHOOSING A DEPENDABLE CREDIT INFORMATION PROVIDER
All Providers Are Not Created Equal
Your credit risk management program will be effective only if it's based on current, comprehensive and accurate customer information that will help you evaluate creditworthiness. That's why you should choose a credit information provider as carefully as you would a credit customer.
What Should I Look For In a Credit Information Provider?
For starters, you need a credit information provider you can trust. Look at how long the company has been in business and its reputation in the industry. Then find out the answers to these questions:
Is the provider's data superior?
A credit information provider's data superiority is judged on:
- Depth and breadth: the amount and type of company information in the database
- Quality: data accuracy and organization
- Completeness: the number of categories of information (e.g., history, officers, financials, scores) and degree of completeness for each
- Freshness: data is updated regularly
How does the provider ensure the integrity of its products?
A provider should be able to tell you exactly how they obtain, vet, scrub and organize their information to produce credible reports. Ask how they do this.
Considerations For Small Businesses
Small businesses may be particularly interested in the answers to these questions before they choose a credit information provider:
- Affordability: Can you buy a variety of information slices - only what you need - at a reasonable price that's within your budget?
- Payment Options: Does the credit information provider offer multiple payment options, including a no-contract choice whereby you pay-as-you-go?
- Global Reach: Does the provider have a database of information about businesses around the world?
- Uniform Reporting: Is data reported consistently from country to country?
- Responsiveness: Is the provider capable of providing intelligent products and services that will meet the needs of your growing company?
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