Client Risk Management with Credit Report

by ISOG

Client Risk Management with Credit Report Credit Score Check Financial Statements.

How many times do you want to establish a commercial relationship with a new customer or importer in a country such as the United States and you are not sure if this new relationship will be a real benefit for your company?

Many companies that want to export or do business with companies in the United States or in another country, have very often faced an invoice payment default or have seen their clients go bankrupt.

Doing business with customers or suppliers in the United States or any other country represents a commercial and credit risk to your company, a risk that you can mitigate. There are several factors that you should consider before establishing a business relationship. ISOG risk analysts, who are specialists in client risk management with credit report credit score check financial statements, can help you with an appropriate risk management and compliance service.

ISOG risk analysts evaluate the factors that influence the development of a commercial relationship which many times you are not aware of or do not analyze them because you do not foresee the losses that your company could suffer.

The analysis of commercial risk and credit of clients and importers in the U.S. or any other country needs to focus on the study of several factors including reputation; credit history; inclusion in various blacklists established by US or European authorities; and the good reputation of its directors and partners.

ISOG risk analysts, in client risk management with credit report credit score check financial statements, analyze the following key risks:

  • Legal risk: It is essential to know whether the company and/or its directors and shareholders are on some blacklists, for example, the list of the US Office of Foreign Assets Control (OFAC). This is an office of the U.S. Treasury Department that identifies countries, terrorists and drug traffickers that are punishable under U.S. law. No company in the world could do business with a company included on this list. In addition, it is necessary to obtain all available information from public records and the media.
  • Credit risk: Knowing the maximum debt limit of your potential client or importer is fundamental to know if you should ask for a bank letter of credit or if you can simply grant a direct credit or defer the payment of your invoice.
  • Payment risk: By analyzing the payment, legal and default history of your future client or importer, you will be able to prevent your invoice payment default.
  • Commercial risk: It is essential to know the last commercial operations of your potential client or importer, how they carry out their activity and which are their competitors. The analysis of commercial risk is something that requires a more in-depth investigation, which our ISOG risk analysts carry out together with ISOG private investigators and private detectives who operate from the office in Panama or any other location in the world.
  • Financial risk: The macro analysis of the financial elements of your potential client or importer is fundamental to perform a complete analysis of the company’s situation.

ISOG risk analysts are experts in client risk management with credit report credit score check financial statements.