Credit Improvement

Credit Improvement is a service you can use to increase your business credit score

Businesses with better credit scores access more business funding more easily. You’re more likely to win new customers and you’re in a position to negotiate better credit terms with suppliers.

We work with Experian to improve your credit rating.

What is a business credit score?

Your business credit score is used to measure how creditworthy your business is. It shows a lender how much of a risk it would be to lend your business money. The higher your score, the more likely it is that your business can pay back any debt, for example the repayments on a loan. When a lender considers your business creditworthy on the basis of your credit score, they feel comfortable lending to your business.

A credit agency, like Experian for example, gives your business a score between 0 and 100 using the Commercial Delphi scale. A score of 2 to 15 is considered maximum risk, 51 to 80 is considered below average risk and 81 to 90 is considered low risk. Alongside your credit score, agencies will also recommend the maximum amount of funding a lender should offer your business.

Here are some examples of how a lower credit score could impact your business:

> Score under 30

Getting funding approval will be difficult, suppliers won’t be able to offer you trade credit, potential customers will be less likely to do business with you.

> Score under 50

You’ll pay more for funding and suppliers might be hesitant to offer you trade credit because they’ll pay more on their insurance.

> Score under 70

You’ll miss out on the best funding rates.

What are the benefits of a better credit score?

Your credit score is a measure of the financial health of your business. Not only does it show your financial position today, but it can be the difference between a healthy and unhealthy position in the future. A better credit score will open the door to:

• Easier access to more funding on better terms
• Winning new customers or strengthening existing relationships Improved credit terms with suppliers
• Increased working capital
• An enhanced business reputation

Credit improvement is a great option for your business if:

• Your credit score doesn’t reflect the creditworthiness of your business
• A supplier has reduced their terms because your score has been downgraded
• You need a better credit score to access funding or improve terms
• A lack of working capital is slowing the growth of your business
• There are outstanding or resolved CCJs noted on your business credit profile
• Your application for funding has been declined because of poor credit

What can Ecovis do to help?

The Ecovis credit score package offers 3 key benefits:

• We will liaise directly with Experian on your behalf in order to optimise your company’s credit score and importantly your credit limit (even if you have an A rating there may still be scope to improve your credit limit).
• You will be given access to an in-depth live credit report for your company which details any factors having a positive, neutral or negative impact on your score.
• You will be given access to a platform which will enable you to monitor the credit scores of up to 100 companies, giving you comfort over the financial health of your customers and suppliers.

We have a 96% success rate with credit score improvement services and have seen credit limits increase by up to £560k.

The annual cost of the package is a flat fee of £1,000 + VAT regardless of how much your credit limit increases

Our corporate finance advisers are here to improve your business credit scores – let’s start a conversation!