How Fundedd uses Creditsafe to build strategic client growth

As a start-up, Fundedd’s leadership team needed access to accurate, up-to-date payment and credit risk data. In the staffing industry, funding companies are evaluating two different groups: the businesses they finance and the strength of those business’ clients. Their goal as a business is to act as partners for their customers, analyzing credit risk data for their potential new deals on their behalf so they can direct them to the best business decisions. For Fundedd, this meant building a process that could quickly and accurately assess the payment reliability of thousands of potential end customers.

Because staffing companies rely heavily on consistent payments from their clients, understanding debtor risk is critical before approving funding or encouraging new sales relationships.

Fundedd’s leadership had previously worked with other credit reporting providers, but faced challenges around pricing, service, and accessibility. Large providers often made it difficult to get timely support, and accessing the information needed for real-time decision-making could be slow or cumbersome. “With other providers, it’s hard to get in touch with anybody,” shares Evan Prodromo, Executive Vice President, Fundedd. “You’re calling a 1-800 number and dealing with a faceless organization.”

Without the right credit risk insights, Fundedd risked approving funding to clients with bad payment histories. From there, both Fundedd and their staffing partners would be exposed to unnecessary risk, including bad debt. 

Fundedd needed a solution that could:

• Provide reliable credit data on the debtors of staffing companies
• Deliver clear payment history and trend analysis
• Integrate easily into their workflow for faster due diligence
• Offer responsive service that matched the needs of a growing startup
• Support staffing companies in pursuing safer, more sustainable growth

By using Creditsafe’s business credit reports and trade payment data, Fundedd can quickly analyze the financial health and payment behavior of the companies that staffing firms are selling into. This allows the team to assess risk before financing invoices or supporting new business opportunities.

The ability to integrate Creditsafe into their internal workflows also means their systems can “talk to each other,” enabling more efficient due diligence and faster decision-making. “The streamlined approach helps us to focus on more strategic, business-building work,” says Evan. “Our teams aren’t spending hours and hours digging for information – they have it at their fingertips through Creditsafe. It helps us nip any potential late payers that wouldn’t help with growth in the bud.”

When one of Fundedd’s staffing clients brings on a potential new customer, the Fundedd team effectively acts as an extension of their sales and risk teams. They run credit reports and analyze payment behavior to determine whether the opportunity represents a sustainable business relationship. 

In some cases, this insight helps prevent costly mistakes. For example, a staffing company once had the opportunity to secure roughly $2 million in annual business with a prospective client. But when Fundedd reviewed the company’s credit information, the report revealed significant derogatory history, including an unpaid judgment from a previous staffing company. This signaled a high risk that the business would fail to pay invoices again.  

Armed with this information, Fundedd was able to help their client avoid entering into a risky relationship that could have created serious financial problems later.

"Creditsafe enables us to help our clients grow,” Evan explains. “We can help them be strategic in the way they’re selling and who they’re selling to, which makes sure we act as a partner with our customers.”

• Real people, real support. Fundedd’s leadership team had previous experience with other credit risk data providers, but found their customer support lacking. “The thing we were missing, using competitors, was service. I’m on a first-name basis with our Creditsafe team, and I know I can call a personal line and have a question answered right away.”
• Industry-best data. Creditsafe has the biggest wholly owned database in the industry, containing insights on more than 430 million businesses, officers, and shareholders worldwide. Fundedd knew they’d be able to find the data they needed when they needed it.
• Credit risk intelligence at your fingertips. Creditsafe’s Connect API integrates our accurate, up-to-date credit risk intelligence directly into the systems you already use. Instead of having to learn new platforms or navigate out of or navigate out of workflows, the data is instantly available across teams, bringing you answers faster.