A quick peek out the window at the changing leaves and dreary weather tells us fall is here! You know what that means: It’s time for you to start thinking about annual vendor reviews.
Doing your job effectively without the help of other businesses would be impossible to successfully manage; in fact, this business-to-business exchange is what ultimately keeps our economy rolling. Still, it is possible to get so caught up in our day-to-day operations that we forget to take stock of the companies we’re working with on a regular basis.
Are the vendors your business works with dependable? Is their performance top-notch? Are they on time? Are they the most cost-efficient? Most important, are they managing their business and finances optimally to ensure they will be the best working partners for you in your business?
A commercial credit check provides that outside perspective. Far from simply a list of late payments, a credit report includes important performance data about your business partners, including:
- The owner’s management proficiency
- Whether the company has filed any bankruptcies
- Whether the company is facing state or federal tax liens, judgments, or collections
- How well the company pays other suppliers
With this information and your intimate knowledge of your direct working relationships, you can begin to decide which companies are bringing your organization the greatest value.
This knowledge you get from a regular vendor review process can help you strengthen the relationships that keep your organization humming!