RapidRatings refers to private company rating updates as "refreshes". To ensure your risk management decisions are based off of accurate data, RapidRatings recommends updating all relevant private company ratings at least once a year. There are a couple ways that users can go about updating their portfolios of counterparties.
Requesting Refresh Lists
RapidRatings can pull a list of all private company FHRs within your master portfolio that are based on outdated financial information. In addition to financial date, our Client Support team also looks for the following data points when curating the refresh list that is then sent to your company's Primary Users:
Counterparties with an FHR based on financial data that is over 12 months old
Counterparties that have not had a private company rating close within the past 3 months
Counterparties that have been refreshed within the past two years
To request a refresh list, email firstname.lastname@example.org.
If you are looking to refresh a select number of companies or you are in need of a refresh of just one critical counterparty, email email@example.com with the company name, and the Client Support team will initiate the request.
The refresh process is very simple. All you need to do is email firstname.lastname@example.org with your request. An introduction letter is not necessary
We recommend that our clients refresh a rating at least once a year, as the FHR score is a 12-month forward looking metric tied to the end date of the most recent financials submitted. So, if a counterparty has been rated on financials ending March 31, 2021, the FHR only provides insight to March 31, 2022, and should be updated at this point.
We also suggest waiting 1-2 months after a company’s fiscal-year-end before initiating a refresh to allow them the time to compile the necessary financial statements.
If the Target has an FHR below 40 (high risk or very high risk) or has an elevated importance to your business operations, we recommend updating the counterparty's FHR on a more frequent cadence, such as semi-annually or quarterly, dependent on the availability of updated financial statements and your own internal workflows or preferences.
Your Client Success Manager is there to help you build out a risk management program. Contact them today to discuss risk thresholds, risk management steps before and after RapidRatings, and program build-out