Dun and Bradstreet Reports (D & B report)

This is a comprehensive and inclusive Credit Report. Complex, high-risk decisions call for powerful analytical tools, found in this report. It provides informative, in-depth evaluation of a company’s financial stability and provides data helpful in predicting financial stress. It is the most effective report for firms with significant exposure as it provides insight into a firm’s long-term operations, credit history profitability and stability, establishing a solid foundation for making medium-to-high risk decisions.

Company Identification Indicator of Stability Business Overview Directors
Credit Limit Adverse Information Financial Statements (if available) Financial Analysis
Shareholders Operations & History Past Enquiries Corporate Structure
Payments Habits Banking Relationships Trade References D&B Rating
Media/Company News Information Sources Trade Payment Analysis  

The report will answer the following questions:

  • Is this company just a ‘one-man operation’?
  • When will I get paid? Will I get paid at all?
  • Has there been any litigation or pre-litigation activities and/or its directors?
  • How much credit should I extend?
  • Is my credit line significantly higher compared to other creditors?
  • How have they been performing? Are they viable?
  • Do their financials compare favourably to the rest of their industry?
  • Do they have external funds it can draw on?
  • How big is their distribution network?
  • Are they dependent on failed or high risk companies?

The report helps you make more informed decisions such as daily credit decisions, research on competitors and suppliers, sales calls planning and evaluation of tender applications. It also helps you discover business opportunities and assess major suppliers for government or private contracts.

Dynamic Risk Score Report

The Dun and Bradstreet Dynamic Risk Report combines all the information on a business in the commercial credit bureau and calculates the probability of default in an easy to read Dynamic Risk Score.

The Dynamic Risk Score (DRS) functions as a fiscal crystal ball, evaluating the probability that a business will experience severe financial distress due to ceasing operations, owing money to creditors or insolvency. It evaluates business stability and calculates the probability of default. The statistical analysis uses past behaviour to predict future performance – specifically that a business will experience sever financial distress within the next 12 months. D&B defines Financial Distress a Change of Control (eg. Receiver Manager or Administrator appointed) or Forced Business Closure (eg. Winding-Up Order, Insolvency or Liquidation). In addition, it includes the respective credit risk for the industry as a whole, putting the company’s score in a meaningful context.

Computed from over 100 predictive factors, including financial, credit and business demographic information, the DRS can simplify complex or risk credit decisions by doing the evaluation for you. Identifying varying degrees of risk, the DRS provides credit recommendations, enabling credit decisions support at a glance for new accounts or high-value transactions.

Using a statistically predictive credit score like the DRS helps you avoid the pitfalls common to traditional rules-based technology such as bias, dependence on the investor’s knowledge and maintenance difficulties. With DRS, every factor is analysed bias-free, the results validated for statistical significance and counter-intuitive elements are only included if they prove to be statistically predictive. The result? More confident decisions when they count the most.

Payment Predictor Report

When it comes to making credit decisions, past performance is a leading indicator of what the future will bring. Knowing how a company has paid other creditors provides excellent insight into the payment behaviour your customer is likely to exhibit – dramatically reducing the risk of delinquency or non-payment. To turn payment history into exploitable information, Dun and Bradstreet has developed the Dynamic Delinquency Score (DDS).

The DDS, a compilation of financial, credit and demographic factors, is a statistically derived measure that assesses the probability of a firm paying its bills in a severely delinquent manner (90+day past terms) over the next 12 months. Benchmarked by individual industry segment, the DDS tells you how the company measures up to other businesses in Dun and Bradstreet’s database. The Dun and Bradstreet DDS facilitates faster, more confident credit decisions without the need for costly, labour intensive account analysis.