Looking Up an Online Credit Rating
May 17, 2016
Being able to find credit information online is a huge plus for small businesses. This enables real time and continuous credit monitoring and risk management that might not otherwise be possible if businesses had to wait to speak with someone during regular hours or receive updates in the mail.
To self-check an online credit rating, follow these steps:
Register with a major business credit reporting agency. This can be done by visiting a website like www.dnb.com and enrolling. Small businesses will need to verify they are the legitimate owner by filling out the necessary forms.
Once this process is complete, small businesses can sign up for active credit monitoring. This option lets businesses check their online credit rating at any time. If active credit monitoring is not selected, businesses can elect to run individual credit reports to monitor their credit rating.
Review the credit report and look for the credit rating. Finding the credit rating on the credit report is pretty easy. Most credit reporting agencies prominently feature the credit score near the top of the report.
To check another company’s online credit rating, follow these steps:
Similar to running a self-credit check, small businesses can find the credit rating of other businesses. Instead of running a self-report, simply enter in the business information of the desired company. To select the appropriate company, obtain the name, address, and any other information that might help identify the business. Optimally, obtain the company’s federal employer identification number.
Run the report and look for the credit rating near the top of the report.
Additional insight might be gained from running a credit check on a small business owner’s personal credit. The reason is that many small businesses with little or no credit history use the personal credit of business owners. In this scenario, it would be very important to know the financial strength of the business owner since their credit situation directly impacts the business.