The Effects of Insolvency on Credit Rating

The Effects of Insolvency on Credit Rating

Insolvency greatly affects credit rating. Credit rating will determine your overall performance in paying debts. Therefore, if you want to have a high possibility of getting an approved credit application, you must ensure that your credit record holds a positive feedback.

Signs that a Company may be Insolvent

Signs that a Company may be Insolvent

Being insolvent is the scariest part of having a business. It could mean that it is the end of your company, especially when you regularly incur loss rather than profit. That is why it is essential to note the early signs of insolvency to prevent your company from obtaining more losses or worst, bankruptcy.