Tag: business’ credit rating
Risk rating company CrediWeb joins Debitum Network platform
Risk rating company CrediWeb joins Debitum Network platform
It is great to announce the expansion of our network. We are very excited as a new credit rating company CrediWeb from Latvia has joined Debitum Network platform. This is the second credit risk rating agency cooperating with us to provide accurate risk rating for business loans uploaded on the platform. We believe this partnership will help us provide our users with an even better product. From now on, CrediWeb will provide a risk rating for assets from Latvian loan originators.
Debitum Network aims to be a decentralized marketplace connecting additional parties in the lending process. With the expansion of our platform to other markets within the EU, we expect to onboard a lot more counterparties to facilitate the process. CrediWeb is a valuable partner that has extensive experience in risk rating and will help us to deliver a more qualitative lending service by providing a more precise credit risk assessment for the assets uploaded on our platform.
About CrediWeb
CrediWeb, in cooperation with licenced re-user SIA Crefo Rating, provides online access to information from the Register of Enterprises of the Republic of Latvia, providing clients with the most actual information and changes, which are updated along with changes registered in the Register of Enterprises.
CrefoScore for risk rating
Latvian largest companies trust and use CrediWeb solvency index CrefoScore to assess the financial position of potential or existing business partners or clients. Index accurately and clearly shows the probability of default. CrefoScore is their unique solvency rating and one of the most important components of the report – showing the probability, at which the company will be unable to pay its debts in the next 12 months. CrefoScore is calculated on a daily basis for every Latvian company, taking into account various factors, such as financial data, credit history, and other economic and financial components.
We understand the importance of versatility and, therefore, we are working to bring in more partners on our platform: loan originators, risk assessors, and debt collectors. Partnership with CrediWeb brings us closer to an effective financing ecosystem for the financing of SMEs. Stay tuned for more upcoming updates!
Ready to invest in low-risk loans for SMEs?
Disclaimer: Investments in financial products are subject to market risk and any investment should only be done with risk capital. The above references an opinion and is for information purposes only. It is not intended to be investment advice. Seek a duly licensed professional for investment advice.
Signs Your SME Will Have a Hard Time Getting a Loan
Signs Your SME Will Have a Hard Time Getting a Loan
The process of applying for a loan for your SME can be a hassle to bear with. It is even worse when your business is unable to get the loan it requires. There are many issues to watch for regarding what might make it harder for you to get the loan that you deserve. However, as you will see later, you may not have to worry about not being able to get a loan when you consider what you can get out of a project.
No Real Budget Plans
Your SME needs an appropriate budget up and running. The budget should include support for what your business will spend and how that money will be doled out. A business that does not have a clear idea of what it wants to do with its budget will surely struggle. Here is our previous post about money management.
Unpaid Taxes Are a Problem
Perhaps your business has unpaid taxes that it is struggling with. Such taxes can add up over time. Governmental bodies that you owe that money do might add interest or added fees to the taxes you owe. Lenders might not be willing to give your SME a loan if you have lots of unpaid taxes to bear with.
Poor Credit Rating
Your business’ credit rating is a measurement of its work that needs to be reviewed. When a business has a poor credit rating, it is likely going to struggle to acquire money. The business might not have full control over how its funds are organized. It may not be able to get its debts paid off on time. Therefore, the credit rating will take a huge hit, and it will become harder for a loan to be provided. A lender might assume that the SME will not have the capacity to pay off that loan over time.
Significant Debts
Regardless of where your debts are from, you might bear with more debts than what you can afford to handle. These debts can be extremely high in value depending on what you have. These debts might come from funds you owe to other businesses or even from prior loans or investments you have yet to pay off. The high debts that you might struggle with can be a real burden to bear with. Lenders may not be willing to help if they notice that you are struggling to get the money you need.
Anyone Can Get Help
The signs that your SME will struggle to get a loan are bothersome problems that deserve to be explored in detail. However, the good news is that you do not have to bear with significant issues relating to loans forever. B2B lending platforms like Debitum Network, Mintos, Assetz Capital, Bondora, Grupeer, Ratesetter, Twino, Zopa or Funding Circle will provide SMEs of all kinds with extra help for getting their loans set up. This includes working with a decentralized network with many investors from around the world available to help you with getting your loan covered the right way. You will be impressed with how flexible and easy it can be to secure investment for businesses that traditional institutions like banks shy away from.
Debitum Network platform release coming in September 2018.
