At present, the risk rating is based on UC as an external credit assessor. UC’s risk class is based on the risk forecast that the company will have financial difficulties within 12 months. A risk forecast is calculated by weighing several different variables.
How is the assessment going?
When Good Finance conducts a credit check on companies seeking financing, we primarily control the company’s repayment capacity and the collateral that can be offered .
We analyze historical and current figures as well as request budget, cooperation agreements, order documents or similar. We also check that the collateral you are offered can be set in relation to the desired loan amount. In addition, checks are made by the Board of Directors, owners, other companies if it concerns a group, key ratios, remarks and historical annual reports.
Borrow and what requirements does Good Finance place on borrowers?
The person or persons who run a limited company, have at least one financial statement, turnover over one million USD and are creditworthy according to UC (risk class 3 or stronger). Each loan is also secured with one or more collateral.
Why do borrowers choose Good Finance instead of a bank?
Because they want a fast and easy process that takes place completely digital! At Good Finance, companies can also enjoy marketing while seeking funding. The companies set their own terms and form the loan request based on their needs. It is common for companies with bank loans or mortgage loans to choose to subject them to competition with the help of Good Finance.
What if a borrower cannot pay?
We monitor all our borrowers and get a quick indication of any payment difficulties. Then we will contact the representative in order to understand the situation and determine whether it is relevant to collect debt collection. If there is reason to believe that the company will have financial difficulties, we may terminate the credit and claim the collateral issued.
What is a security?
There may be some type of asset or guarantor’s obligation the borrower leaves, which Good Finance can invoke if the borrower experiences payment difficulties. If this happens, the process is handled by Good Finance, who acts as a representative together with our partners on behalf of the lenders.