How does Dun and Bradstreet decide what your scores should be?

There are different scores and indexes that represent a companies paying ability and financial health.   When we evaluate a companies business credit we look at their paying patterns, financial statements, amount of Vendors,  and the debt owed to each Vendor.  Once we see the facts surrounding these area’s we can tell if we can make a difference in the credit scores.

If a Paydex score is under an 80 it is in a less than positive state. Below 80 means there is some type of late or slow paying. The lower the score is the worse it reflects on the company the score represents. Paying patterns make a huge affect on the Paydex Scores.

Another score found in a DNB credit profile is the Commercial Credit Score. This score ranges from a 1-5, one being the highest. The CCS reflects the risk of a company becoming delinquent within the next 12 months. This score weighs heavily on decisions made by Vendors when approving credit.

The Financial Stress score predicts the likelihood of a business failing in the next 12 months. This score ranges from a 1-5 and like the CCS the lower the score the less possibility of failure.

There is also a code rating that reflects a business size. The US 5A to HH ratings is based on net worth or equity as computed by D&B. These ratings are assigned to businesses that have provided D&B with up to date financial information.

For more information on credit restoration, view North Shore Advisory’s website



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