Our Methodology

Payment ratings are constructed based on a series of non-systematic and non-parametric variables, including the availability of the most recent business registration status, mentions in the media news, and financial report filings. By becoming a signatory of the Prompt Payment Initiative, a business demonstrates its commitment to adhering to prompt payment standards. The collection of Payment Reviews can serve as an indication of an entity's relative capacity or inclination to fulfill financial obligations on time.

Payment ratings exclusively address credit risk and do not directly tackle other risks such as asset valuation loss due to fluctuating interest rates or changing market conditions. Moreover, these ratings do not fully represent market risk as they can also influence the size or other conditions of a payment obligation, such as those linked to business performance.

Formsome's payment rating is a collaborative product, not attributable to any single person or group. Since ratings are subjective analyses rather than definitive facts, they cannot be labeled as "accurate" or "inaccurate." Users are advised to consult the specific definitions of each rating for insights into the aspects of risk they encompass.