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Office Hrs: Mon-Thu, 8 - 6pm ET (Fri, 8 - 5pm)
Ph: (800) 777-3533
 
Thu, Sep 09, 2010
150 Reports updated in the past week 242 Claims listed in the past four months
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Credit Update

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Business Reports
 
Risk Index Rating System
Rating Risk Index Code
Recommended 80 - 100 R
Limited Recommendation 60 - 79 L
Inconclusive 40 - 59 I
High Risk 5 - 39 H
Significant Event Not Applicable S
Too New To Score Not Applicable T
Unable To Score Not Applicable U
Cautionary Status Not Applicable C
Pending Not Applicable P

Rating Definitions
Recommended: Entities that generally exhibit a historical ability and a willingness to satisfactorily meet their obligations in a timely manner. These business reports usually have positively defined histories on the company and its principals. Banking relationships are established and consistent. Financial condition, when stated, is typically characterized by sufficient cash flow, profitability, and/or a balanced debt to equity position.

Limited Recommendation: Entities that exhibit a capacity for creditworthiness, however, any number of factors including trade references, bank references and principal histories indicate that the capacity for creditworthiness may be reduced. Financial condition, when stated, may warrant some concern about the company's leverage position, cash flow, and/or profitability.

Inconclusive: These entities may not have complete credit information available. The amount of bank, trade and historical information may not be representative of a company's level of credit worthiness. These entities may have declined to provide detailed business, ownership or credit profile information.

High Risk: Entities that have a record of credit issues such as collection history, non-sufficient funds checks, shut-offs, chronic slowness with trade payments and/or prior business failures. Other characteristics may include an unbalanced financial condition and/or poor operating performance. These companies do not meet the Seafax standards of creditworthiness.

Significant Event: This category is based upon learned significant events that place the company's creditworthiness in question. This rating is assigned during the period between the significant event andthe learned impact of the event. After investigation has revealed the consequences of the event, the Seafax Credit appraisal will then reflect the results of the investigation. The time period for Significant Event status is determined by the circumstances of the event.

Too New To Score: Entities that have been in business less than two years or have not established a majority of 24 months of supplier relationships and/or banking relationships are subject to this rating. To be eligible for a Recommended or Limited Recommendation rating, typically the subject company must have demonstrated approximately 24 months of established and satisfactory credit history with banks and trade suppliers.

Unable To Score: Entities within this category have insufficient information for Seafax to determine a company's credit worthiness. Examples can include but are not limited to: no known or obtainable bank source; insufficient trade data and in some instances Seafax may not be able to calculate a pay score; incomplete banking information; limited or no business summary information; lack of financial information. This rating can be applied to new or existing companies. Seafax business reports that are moved from an Inconclusive rating to an Unable to Score rating will not appear on the Seafax Newswire.

Cautionary Status: This category is based upon entities that have known warning signals or issues that may affect the company's level of creditworthiness. These issues or warning signals reveal concerns about the company's willingness and/or ability to honor its obligations. Characteristics may include concentration of credit risk, change of business focus, seasonal businesses, increased trade slowness, change of banking status, lawsuits, etc.

Pending: Seafax has assigned a Pending "P" rating to certain accounts as it awaits the conclusion of certain specific events that could affect its business standing. A prime example of the use of this rating would be the uncertainty of a given company renewing its existing line of credit or loan with its current lender. The length of time this rating will stay on the report depends on the status of the pending event.

Payscore Definition
The Seafax Payscore is a numerical value, weighted by dollars, representing a company's current and historical payment patterns.
Payscore Payment Behavior
100 Discount
99 Discount/Prompt
98 Prompt
89 Slow 5 Days
79 Slow 10 Days
69 Slow 15 Days
59 Slow 20 Days
49 Slow 25 Days
39 Slow 30 Days
29 Slow 35 Days
19 Slow 40 Days
5 COD
1 Slow 45+ Days
0 Insufficient References

Benefits
  • Easily assess the risk associated with your customers' historical payment habits.
  • Make fast and valuable credit decisions with more predictive power.
Facts
  • The payscore results from an analysis of payment experiences reported by trade suppliers of the subject company over a maximum period of two years.
  • All information provided is cumulative for the prescribed time period.
  • A minimum of two trade experiences are required to calculate the Seafax Payscore.
  • Unfavorable references include shutoffs, accounts placed for collection and accounts converted to COD terms due to slowness.

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t. 207.773.3533 · 800.777.3533 · f. 207.773.9564
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