How to do a credit check?

[unstoppable]

Hi,

How do you do a credit check on a company prior to agreeing to supplying them on credit?

Are there any online websites that allow you to do this?

Also what sort of things should we be looking for in the credit check? The end goal is to identify if the customer will pay and pay on time.

We have never done this before so any help/pointers appreciated.

Many thanks.

 

[Higgsy]

Hi,

I've used company check (google it - I cant post links yet). Theirs is self explanatory. There may be better options. I used them as a quick answer a while back.

 

[Mark Laurie]

I would recommend Experian Business Express https://www.businessexpress-uk.com/ I used to work for them and felt the credit reports were good. You get a credit score, CCJ info, credit limit and a days beyond term payment history, you can also see what other directorships the directors have and if they are potentially a serial closer of companies.

 

[DavidWH]

We signed up with @Big G for debt recovery and they provide credit checks for us when required.

To be honest though, we've reduced the number of credit accounts, and only in exceptional circumstances do we give credit accounts to 'new' customers. Not looked back.

 

[Clinton]

If you're on LinkedIn contact a lady called Jade Vokes, she's giving away some credit checking report freebies. You could mention my name and may get an extra report or two.

 

[Mr D]

Hi,

How do you do a credit check on a company prior to agreeing to supplying them on credit?

Are there any online websites that allow you to do this?

Also what sort of things should we be looking for in the credit check? The end goal is to identify if the customer will pay and pay on time.

We have never done this before so any help/pointers appreciated.

Many thanks.

You can lend them money based on reports.
And they can still go under as a business.

The months prior to my company going under I had increases in credit and two companies gave me credit. Without asking and with company paying a £16k CCJ.

If lending money then look into insurance to cover you if borrower goes under.

 

[DontAsk]

You get ... days beyond term payment history,

Where does that info come from? Who reports it to Experian?

 

[Mark T Jones]

Following the above advice I would look to use a professional credit control person

Whilst the likes of Experian give good information, interpreting it for your own situation is a skill that you need to learn or hire.

Whilst on the topic, you really must put an end-to-end process in place before you start to offer credit

 

[Ian J]

Where does that info come from? Who reports it to Experian?

Suppliers who use Experian will also report back to them on their ledger history

 

[HouseSnagging.com]

I use Creditsafe, pays for itself.