Small businesses contribute significantly to the US economy, while also requiring lines of credit to grow. However, the lack of data availability on small businesses has posed a significant challenge for lenders. Without a complete history of business financials, how can lenders determine the credit worthiness of a small business?
At Moody’s Analytics, our credit analytics expertise is setting the standard for risk assessment of small businesses by lenders, underwriters, and credit analysts. Today, there are new datasets to consider and new, easier methods of capturing data from borrowers.
Read our new article, Making Smarter Small Business Lending Decisions. Here we highlight the types of data that can be used to enhance the predictive scoring of small business.