What is a Company Credit Report?

Here's what's included in a credit report and why they're so valuable.

Get report

When you’re deciding who to work with, reputation alone won’t pay the invoices. 

 

To protect your business long term, you need to do your own due diligence to understand the financial reality. It’s easy to assume a well-known business is a safe bet. But reputation doesn’t always reflect what’s happening behind the scenes.

Even the most recognisable companies can struggle with cashflow or late payments. In 2025, major high street brands Claire’s and Pizza Hut’s dine-in restaurants went into administration, neither of which would have been a surprise to those following their financial performance over the past few years.   

So, how can you vet who you work with? 

A company credit report, also known as a business credit report, gives you a clear view of a company’s financial health. It answers vital questions such as how likely a business is to pay on time and whether it’s financially stable enough to be a good long-term partner. 

Businesses of all sizes and across all industries benefit from company credit reports, using them to decide whether to offer credit and to set payment terms. In this guide, we’ll walk you through absolutely everything you need to know about a company credit report and why it’s so valuable in protecting your business.

Chapter 1

A company credit report in a nutshell

Think of a company credit report as an MOT for a business. It’ll catch the red flags and potential risks before disaster strikes.

A credit report acts as a one-stop shop for insights into payment behaviour, financial performance, business ownership, and legal history. Instead of relying on reputation or word of mouth, you get a factual view of how a company performs financially.

Businesses use company credit reports to:

  1. Assess risk before working with someone new

  2. Decide how much credit to offer and on what terms

  3. Monitor existing relationships to avoid any unpleasant surprises

  4. Check their own credit health proactively

Chapter 1

Company vs Personal Credit Reports – is there a difference?

Personal and company credit reports are similar in principle, but they’re designed for different purposes. Both are used to measure creditworthiness and how reliably someone will pay what they owe.

The difference lies in how they’re scored, why they’re used, and the accessibility of the data.

What is a good business credit score?

To be considered a very low risk company if you are established, you need to score 71 or higher. Anything below 30 and you are a high-risk business.

If you are newly incorporated, 51 or higher is a low-risk score.

Personal credit scores often range from 0 to 999, whereas Creditsafe’s business credit score is out of 100. This is because the focus is different: personal credit scores measure your reliability to repay personal debts, whereas company credit scores measure the financial health of a business entity. As the risks involved are different, so are the scoring models.

Also, the availability of business data is much better than personal data, resulting in a more holistic view of creditworthiness. This is because limited companies have a legal obligation to publicly share financial data.  

Established companies will usually be judged based on the company credit report alone. However, for newer or smaller businesses without a lot of history, personal credit reports may also be considered for a fuller picture.

Chapter 1

What's included in a company credit report?

The level of detail you see depends on the Credit Reference Agency (CRA) you use. Here’s what you can expect from a Creditsafe credit report:

At-a-glance risk insights

  1. Risk/Credit Score

    Scored out of 100, the higher the score, the lower the risk. An international score is also available, ranked from A-E.

  2. Credit & Contract Limits

    Recommended credit exposure and maximum contract capacity on a single contract over a 12-month period.

  3. Days Beyond Terms (DBT)

    How late a company typically pays invoices, compared with others in the same industry.

Company and ownership details

  1. Company information

    Registered address, incorporation date, company status, VAT number, SIC code and other identifiers.

  2. Director summary

    Current and previous directors, alongside major shareholders.

  3. Group structure

    Visibility into parent companies, subsidiaries, and wider group connections.

Financial performance and risk

  1. Key financials

    Up to five years of financial history, including profit and loss, balance sheet, cashflow, capital, and reserves.

  2. Event history and documents

    New accounts filed, changes to directors, confirmation statements, and address changes.

  3. Compliance alerts

    Warnings if any of the key players of a business have been non-compliant.

  4. Adverse information

    CCJs, legal filings, late payments and any other red flags.

Additional data you can add to your credit report

  1. Finance agreements

    A 36-month view of loans, credit cards, active and settled bank accounts, and other financial items.

  2. Compliance solutions

    Tools like ID verification, AML screening and bank verification to help you meet regulatory requirements.

How to improve your company credit score

  • Make all payments on time
  • Don’t submit too many credit applications at once, as it implies you’re high risk
  • Keep your credit utilisation low - experts suggest to keep it below 30%, but try not to go over 50%
  • Submit your accounts and file your returns on time
  • Check your own credit score regularly so you can respond to any issues quickly

We have a blog with that has more tips to improve your score.

Chapter 1

Why run a company credit report?

Running company credit checks results in smarter business decisions. Here are the top reasons why you should run a credit report:

 

Protect your business against fraud

A company credit check determines that a business is legitimate, reducing your exposure to shell companies or bad actors. 

 

Avoid late payments (and resulting cashflow issues)

If you know that a company has been unreliable with payments in the past, you can negotiate better payment terms or even choose not to proceed at all.

 

Monitor your own credit score

Don’t forget, your financial health will change who wants to work with you, not just the other way round. Monitoring your own credit report means you can spot and solve issues early.

Chapter 1

Where does credit report data come from?

CRAs gather data from multiple sources, including (but not limited to):

  • Financial institutions and lenders
  • Trade payment data
  • Public records such as court judgements
  • Documents filed with Companies House
  • Press data
  • Telephone research
  • Local agents
  • Gazettes

Creditsafe’s business data is updated 5 million times a day, so you can be confident you’re working with the most current and accurate insights available. 

Chapter 1

How to check a company credit report

To access a company credit report, you’ll need to partner with a CRA. By choosing Creditsafe, you can:

Instantly search for UK and international companies

Monitor changes and set alerts

View detailed credit reports and risk

Integrate tools to support compliance, open banking and bank verification

Chapter 1

How often should you check a company credit report?

Ideally, you should check a company credit report once a month so you can see trends emerging early on. However, it may be worth checking more regularly after a big score drop, before a large credit application, or if there has been a data breach.

A company credit report is a powerful tool to protect your cashflow and build much stronger commercial relationships. Whether you want to onboard someone new or monitor your own performance, a credit report offers a wealth of benefits. 

Instantly assess a company’s financial health

Find out a company’s creditworthiness in seconds with Creditsafe's company credit reports. 

Balance Sheet vs Profit & Loss: How to Read Financials

Balance sheets and P&L accounts can give you rich insight into a company’s value. But first, understand the difference between the two.

Read more

The Future of SME Lending

Explore the evolving SME lending landscape, industry challenges, opportunities, and data-driven solutions empowering lenders and supporting small businesses.

Read more

Is the credit history of my business linked with my own?

Your credit history functions as a passport to access competitive company finance and it is the key to opening the door to new business partnerships.

Read more