Understanding Business Credit Scores
A Dun and Bradstreet score of 76 can be considered a good credit rating. It indicates a business is in the top 24% of all businesses evaluated by D&B. This means the business has a moderate risk of defaulting on financial obligations. However, this alone does not provide a complete creditworthiness picture.
Factors Influencing Business Credit Scores
To improve a business credit score, make timely payments, maintain low credit utilization, establish credit history, monitor for errors, and manage obligations responsibly. Lenders use business credit scores to evaluate lending risk. Suppliers check scores before offering credit.
Different Scoring Systems
The major business credit bureaus have different scoring systems. Equifax business scores range from 1-100. Credit Risk Scores above 66 indicate good financial stability. Dun & Bradstreet PAYDEX Scores above 80 are considered excellent. FICO SBSS Scores range from 0-300 – higher is better. The SBA requires a minimum score of 155 for loans.
The Significance of Business Credit Scores
Business credit scores signify lending risk, just like consumer scores. By making payments on time and keeping credit utilization low, businesses can improve their scores. While context matters, a score of 76 is moderate risk. Targeting a score above 80 demonstrates financial stability.
Understanding DUNS Scores
What is considered a good DUNS score? Scores range from 1 to 100, with 76 or higher being considered a good score. Dun & Bradstreet assigns scores on a scale of 1 to 100, with 100 being the best possible PAYDEX Score. Scores are divided into three Risk Categories, with 0 to 49 indicating a high risk of late payment, 50 to 79 indicating a moderate risk, and 80 to 100 indicating a low risk.
Evaluating Dun and Bradstreet Scores
Is 76 a good Dun and Bradstreet score? A score of 76 indicates that, on average, a business has a moderate risk of defaulting on its financial obligations. However, this score alone does not provide a complete picture of a business’s creditworthiness. What matters is the context – the individual business and industry.
Comparing PAYDEX and Intelliscore
Scores range from 1 to 100. 76 or higher is a good score. D&B’s PAYDEX score and Experian’s Intelliscore differ. Intelliscore uses commercial and personal history. PAYDEX relies on payment history.
Business Credit Score Impact
A higher Paydex score means a business is more likely to pay bills on time or early. Scores above 80 indicate low risk. Experian Intelliscore of 76+ is generally good. What matters is the context – individual business and industry. Still, 76 is in moderate risk category.
Conclusion
Is a 76 business credit score good? A 76 business credit score is in the moderate risk category. Scores range from 1 to 100. 76 or higher is a good score. However, what matters is the context – the individual business and industry. A higher score means a business is more likely to pay bills on time. Scores above 80 indicate low risk.