To truly understand the financial health of a business, it is essential to review its payment behavior.
This goes beyond core obligations such as wages, mortgages, or telecommunications, which are fundamental requirements of operating a business. Instead, greater insight is gained by examining payments to suppliers further down the payment hierarchy. These discretionary or non-essential payments are often the first to be delayed or missed when a business begins to experience financial pressure. As a result, missed supplier payments can be a far stronger indicator of financial distress.
To better understand this hierarchy of payments, Creditsafe powers the technology platform used by leading industry credit groups across the United States. These organizations trust Creditsafe to host their groups and manage their payment ledgers, providing access to billions of dollars in real-world supplier payment data.