OVERVIEW
A retailer’s credit score with Nabis is a reflection of a retailer’s financial reliability. This is calculated based on four key factors, each with its own weighting:
ACCOUNTS RECEIVABLE (50%):
This is the most significant factor, indicating how well you manage and pay off your debts. This score is calculated from the current AR.
PAYMENT HISTORY (30%):
Reflects your track record of paying on time.
PAYMENT TERMS (10%):
Indicates your ability to negotiate favorable payment terms.
PARTNERSHIP LENGTH (10%):
Shows the duration of your business relationship with Nabis.
IMPROVING YOUR SCORE
To enhance your credit score, focus on these actionable steps:
PRIORITIZE ACCOUNTS RECEIVABLE (50% WEIGHT):
Focus on clearing outstanding invoices, especially overdue ones, as they have the largest impact on your score. Implement efficient invoice and payment tracking systems, or leverage the Nabis Marketplace to better track your outstanding orders.
MAINTAIN A POSITIVE PAYMENT HISTORY (30% WEIGHT):
Make payments on time or early. Consistency in timely payments can significantly boost your score. Consider setting up payment reminders or auto-pay features. Nabis BillPay is a robust tool for tracking and conducting payments.
NEGOTIATE FAVORABLE PAYMENT TERMS (10% WEIGHT):
Shorter payment terms can positively influence your score. Engage with suppliers to negotiate terms that reflect your commitment to maintaining a good credit standing and strong cash flow.
EXTEND YOUR PARTNERSHIP WITH NABIS (10% WEIGHT):
A longer partnership history contributes positively to your score. Continuously engage and transact with Nabis to build and strengthen this relationship over time.
By understanding the weight each factor holds in your credit score calculation and actively working to improve in these areas, you can effectively enhance your creditworthiness with Nabis.
Please reach out to help@nabis.com or ar@nabis.com for additional clarification.