Risk Assessments

We struggle with being able to pull credit reports for our third parties. And whether to do them for the principals and/or the business. What do y'all do and what services do you use? 

Hi there -

Typically pulling credit reports for the business are sufficient for your financial viability reviews and due diligence.

If the vendor is a small business with a few / limited owners and employees, you can extend to looking at a credit report of the principal(s) for additional insight, but those are not as relevant and useful for your vendor / third-party risk management program actions. 

There are a variety of services and tools, like Argos, Dun & Bradstreet, and CreditSafe reports that can be good complements to your internal financial due diligence reviews and expertise.

You can augment that with the help of a third-party risk management service provider or outsourced consultant to help you organize your reviews and give you insight into the quantitative and qualitative disclosures.

Hope this helps!

Ramin Zacharia