It an important risk management tool to not only conduct a credit check on a new customer but on existing ones too. All businesses in their ability or intent to pay you back so it is certainly prudent to conduct credit checks on an ongoing basis.
It is fairly common in New Zealand to ask a credit applicant for the names of some businesses referees but this is usually a waste of time – objectivity is lost as applicants will only ever give good referees.
A far better method is to utilise a third party bureau report. Actual content is shown below, but the key aspect of such a report is its objectivity and depth of useful information such as previous payment defaults, court actions and supplier payment history.
A bureau report should form the cornerstone of any credit risk assessment and the Credit Reporting Unit can help not only in providing expertise in interpreting bureau report data, but also as to how this can be used specifically in any risk assessment.
You are able to also order credit reports here via our special online portal.
A bureau report typically contains information regarding payment defaults, collection records, court judgements, and for limited companies there is usually information regarding PPSA registrations, company office details and supplier payment history. You can get expert advice about how to interpret these reports and how they can be used effectively in your business.
You can order Company and Consumer credit reports directly from BizEnhanz using our web portal. Once you have been set up as a customer (a one-off process) you can order reports 24/7 and receive your report instantly. The ordering page gives instructions and pricing detail