How to Check Your Business Credit Report — Understanding Your Debt

Did you know your business credit report could be your pathway to success? It is a comprehensive business report that can help you make informed decisions.
Checking your business credit report requires effort. You can’t glance through it and analyze where you need improvements. There’s a lot more to it than reviewing your company’s performance. A company credit report in India is issued by credit information bureaus like CreditQ. It undertakes valid and official information about the company, including public documents, to prepare a fair and authentic credit report.
Going further, how do you know about your debt or financial performance through a commercial credit report in India. To begin with, you have to pay your dues on time, keep your credit utilization ratio low, avoid making unwanted purchases. Not only that, you need to learn credit management techniques so that your business credit score remains stable.

Here’re the factors that impact your business credit report. Knowing about these critical factors can help you review your business credit report smartly.

Company information: Your business credit report consists of your company’s address, contact details, and the nature of your business. It also contains business codes and numbers that are mandatory to register a business.
While reviewing your business credit report, you can check for errors and discrepancies. If you think any piece of information is incorrect/obsolete, you can request your credit information bureau to correct it timely.
Payment history: If you make your payments and debts seriously, you’re going to have an easy way ahead. If you owe other businesses some money, make sure you plan to repay it through timely EMIs or all at once. In case you default on payment, your commercial credit report in India gets impacted. Lenders and investors can access your credit report, and they may create an impression that your business is not efficient to pay back.
On the contrary, if you’ve existing debt, but you pay your dues on time, it gets reflected in your business credit report. It can help you take further credit in case of emergencies.
Credit history: Your credit history plays a crucial role in shaping your business credit report. If you take unnecessary credit and don’t pay it off on time, your business credit report gets impacted. Take note that your credit utilization rate should be below. If it’s higher, then you’re doing something wrong.
Credit applications: If you’ve got existing debt and you apply for another line of credit, it can lead to a cash crunch. You may need cash for emergencies or business expansion purposes. How do you ensure that you enjoy a smooth cash flow cycle? How do you avoid taking extra credit?
You can do so by building robust sales strategies, reducing your expenses, making timely payments, and recovering money from business credit defaulters.

CreditQ helps businesses recover their bad debts from payment defaulters. It follows a streamlined payment settlement process to ensure the clients get their money back in no time.