Wondering how RiskPulse is created? Read on to find out!
Understanding Risk Score and International Score
RiskPulse uses two powerful scoring systems, Risk Score and International Score, to help you assess the financial stability and risk level of companies worldwide. The foundation and purpose of each score is detailed below:
Risk Score
Score Purpose: The Risk Score predicts the likelihood that a company will become insolvent within the next 12 months.
Score Scale: It uses a numeric scale from 1 to 100, where 1 = highest risk and 100 = lowest risk.
Score Inputs:
Payment history and trends
Financial performance and ratios
Public records like bankruptcies or legal filings
Company profile details such as age, size, and industry
Score Application: Use to make informed decisions about credit terms, partnerships, and ongoing monitoring.
International Score
Score Purpose: The International Score gives you a standardized risk rating for companies across different countries.
Score Scale: It uses an easy-to-understand A–E rating system:
A = Very Low Risk
B = Low Risk
C = Moderate Risk
D = High Risk
E = Very High Risk
Score Application: It simplifies global risk assessment by providing a consistent measure, even when local credit practices differ.
Why These Scores Are Important
Both scores are updated in real time and backed by millions of data points, giving you confidence in every decision—whether you’re working locally or managing international relationships.