Do you focus on short-term orders and do you want to make swift credit decisions? Then a credit advice is highly interesting and the absolute minimum to support your decision.
The credit advice indicates how much short-term cash a company could have available to cover its current payables. It assesses volume. However, please note that this does not mean the company will actually fulfil the payment obligation. You can assess this risk based on payment behaviour and the payment score.
The credit advice is calculated based on the different elements, depending on the type of business.
Naturally, a wide range of elements may have a negative impact on the credit advice. This may include bankruptcy, dissolution of the company, summons to the national department for social security or a social insurance fund, managers that were recently involved in a bankruptcy, issues with letters of credit, etc. There are many elements that may reduce the credit advice score to 0. Please note that this is an advice only. To form a complete impression of a company, you should take into account several parameters. In that case, an enhanced credit report is more helpful to you.