When you pull a business credit report on your business or any other business, you get a snapshot of a company’s financial health and credit history at that moment. However, business credit reports are dynamic and updated daily. This means information can be out of date. When you sign up for a business credit report subscription, you can monitor changes as they occur and better manage your credit risk.

A subscription also allows you to pull several business credit reports more cost-effectively, and with a Command Credit business credit report subscription, you have access to reports from Experian, Equifax, and Dun & Bradstreet,.

The Best Business Credit Reports for Customers and Suppliers

In the business world, things can change quickly. In the first half of this year, more than 216,000 total bankruptcies were reported. And according to the American Bankruptcy Institute, commercial chapter 11 bankruptcy filings in June jumped 42%.

Every time you are extending credit to a customer, you are taking some level of risk. A business credit report can help you assess that risk to make smarter decisions about whether to grant credit and what limits are appropriate.

The best business credit reports show you how companies have handled their credit in the past, whether they are delinquent on any accounts and whether they are showing signs of financial distress.

With a business credit report subscription, you can check customers’ and suppliers’ credit as often as you want. In addition to running credit reports on prospective customers, many businesses run monthly credit checks for existing customers above certain thresholds to make sure nothing significant has changed in their credit profile. For example, you might spot bills going unpaid, new liens or judgments or new credit inquiries that could indicate potential problems.

By checking a company’s business credit report regularly, you can see even small indicators of deteriorating financial health, so you can take appropriate action. The best business credit reports help you:

Reduce bad debt and collections

Reduce slow pays and delinquencies

Reduce days sales outstanding (DSO)

Improve cash flow

Improve profitability

You also may find it helpful to check credit on suppliers if your cash flow depends on receiving goods or raw materials so you have items to sell.

A June report from McKinsey shows businesses see three potential impediments to a growing economy: continued problems associated with COVID, inflation, and supply-chain disruptions. While you may not be able to control the first two, you can take steps to protect your supply chain. If one of your suppliers is struggling financially, they may not be able to purchase what they need to fill your orders. A business credit check on your suppliers can help you spot problems like this so you can avoid compromising your supply chain as well as protect your cash flow.

Another way to use business credit reports is when you complete a big order. When you are ready to ship, check the customer to ensure their credit is still good.

Purchasing individual business credit reports can get expensive. A subscription locks in your price and makes it much more affordable. For example, an Experian Business Credit Score Pro account lets you conduct 30 business credit checks per month for just a few dollars more than it would cost to pull 30 individual business credit reports.

Monitoring Your Business Credit Report

In 2020, the Federal Trade Commission (FTC) received more than 4.8 million complaints about identity fraud — a 45% increase from 2019. Scammers stole more than $3.3 billion, and more than 100,000 of the incidents were identity theft involving a business account.

Monitoring your business credit report gives you an easy way to tell if someone is using your business information to try to get credit elsewhere. When you sign up for a subscription, you receive notifications of credit inquiries or newly opened tradelines. If you do not recognize an inquiry or application, it may indicate fraud. And if you know about it early, you can take action as necessary.

The best business credit report also provides you with a better understanding of how suppliers, lenders, and other businesses see your credit history. This information comes in handy when you do need to apply for a loan, get credit from another business, or negotiate credit terms.

With a business credit report subscription, you can check your business credit score anytime you want and see the impact that actions have on your own business credit score. This gives you the information you need to build credit. You will also know what other businesses are inquiring about your credit as well as an easy way to identify and resolve any errors on your report.

The Easiest Way to Get Business Credit Report Subscriptions

Command Credit provides you with an easy way to get a business credit report subscription. You can view samples of the different types of available business credit reports and sign up at CommandCredit.net.