The initial step to comprehension Business Credit understands what a Paydex Score is. A Paydex score is like a Fico Score, however loan specialists use it to check whether a business is prompt in paying solicitations, as a rule in thirty day net term accounts.
We teach our clients a proven method for maintaining a Paydex Score of approximately eighty, which indicates that your business pays invoices before the thirty day term period. Lenders check Paydex Scores by requesting a Business Report from one of a very select number of companies that track and publish business information, such as Dun and Bradstreet.
Because so few companies track business information, unlike Personal Credit, it is important for a business to establish and report accurate business information and correct errors should they arise. Oversight on the part of the reporting companies can be astounding; they may not even have a Business Report for your company at all, and no lender will give money to a business without one. With a solid Paydex Score in place, a company can start building Corporate Credit.