RapidRatings
RAPIDRATINGS WHITEPAPER

Invisible Threats: Understanding & Managing Hidden Risks in Your Supply Chain

The limitations of relying on trade payment data as a predictor of financial distress

Read this whitepaper to: 

  • The comparative accuracy levels of financial health data versus trade payment data in predicting default risk.
  • Why trade payment data is a poor basis for calculating default risk.
  • How 97% of the data showed no correlation between late payments and financial distress.
  • The key reasons businesses legitimately leverage late payments.
  • How greater accuracy is achieved by modeling data from financial statement analysis.
Model Accuracy in Default Risk Prediction_White Paper_Page_1
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