In many countries, credit assessments are used to gauge a company’s financial reliability. However, due to differences in corporate practices, regulations, and data availability, businesses must adapt to varying systems. For instance, some countries emphasize payment behavior, while others prioritize financial statements or tax compliance.
Here are some examples:
- Germany: Businesses are rated on factors such as payment history, credit utilization and length of credit history. However, each of these factors are weighted differently.
- France: Credit evaluations focus on payment history and financial statements. Public records, like unpaid taxes or legal disputes, play a big role in risk assessment.
- Japan: Longevity matters. A company with a long track record, financial stability, and consistent payments will score higher.
- Brazil: Credit assessments are closely tied to tax compliance and payment trends, reflecting the country’s focus on transparency.
- Australia: Business evaluations rely on trade payment behavior and registration details. Risk grading systems often boil this down to a simple score.
These variations mean credit scores aren’t universal. What’s considered an excellent score in one region may not translate the same way elsewhere. Without a standardized system, interpreting international credit data can be challenging. Creditsafe’s international credit reports bridge these gaps, offering clarity and consistency for businesses operating across borders with international credit scores and safe numbers.
