Avoid Bad Debt in Your Startup!
CreditorWatch is a low-cost online credit reporting service helping small and medium businesses (SMEs) make informed decisions regarding extending commercial credit. It all started with a great idea: servicing the SME-shaped hole in the market which competitors Veda Advantage and Dun & Bradstreet ignore. After 12 months in business development, refining the model and streamlining processes, CreditorWatch launched in late 2010.
It offers four core services: the ability to report clients that default on payment, a credit check on potential clients, a constant monitor of companies you already do business with, and a method to encourage prompt payment, which is a license to use the CreditorWatch membership logo on invoices, statements and final notices. It’s a highly scalable subscription-based model where fees are charged to customers’ credit cards on a monthly basis. The innovative process at the core of the CreditorWatch service has been granted an innovation patent. This patent protects CreditorWatch from copycats.
CreditorWatch aims to provide identical information as Veda and Dun and Bradstreet but at a significantly lower cost, opening up the credit information market to small and medium businesses for the first time. CreditorWatch information is also valuable to banks, blue chip and large businesses than the service currently provided by its competitors, because CreditorWatch provides an earlier warning of potential payment defaults.
Everyone knows bad debt is a problem for business, but only publicly listed companies have to put defaults on public record. Small businesses often give up in the face of payment defaults, as the time and cost involved in pursuing debt, difficulty in enforcing legal judgements on debtors and the lack of transparency in credit information is prohibitive.