The Creditreform solvency index is a selective and efficient early warning indicator, and can quickly assess the solvency of business partners. It is determined by Creditreform from a variety of data and displays the credit risk of a company in a structured and classified manner.

The individual characteristics and their combinations were analyzed from their point of importance to the credit rating. With regard to the importance of individual features a credit solvency index is calculated from 100 – an excellent solvency – to 600 points – in this case strong negative features exist.

The higher the value of the rating index the greater the risk and in particular the risk for default of the client. The lower the risk score, the better the credit rating of the company to be assessed.

Both quantitatively and qualitatively factors are considered for the calculation of the solvency index, such as:

In more specific terms the Creditreform solvency index consists of the following:

Custom made assessment

Often there is not enough information and statistical comparative data available in order to calculate the solvency index on companies in foreign countries. It is however always possible to assign one of the six solvency classes to display a consistent and clear assessment, despite a very different content of information and a variety of countries.

The assignment of credit classes to the credit indices result from the following table:

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