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Brief explanation

Creditsafe has employed the latest credit scoring techniques by statistically analyzing the entire company database population over a period of time.

In order to make a credit rating predictive you need to look at both good (live successful companies) and bad (companies that have defaulted) companies over a period of time to identify any statistical trends. To take this analysis further Creditsafe groups the different types of companies together in similar bandings (i.e. compares small companies to small companies etc) before any analysis is done. Once the analysis has been carried out Creditsafe looks at the most predictive variables and includes them in scorecards each with a statistically proven weighting which in turn creates a final score. 

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