How High-Quality Commercial Credit Rating Is Beneficial?
ICRA LLC is a credit rating agency based in UAE, with an experience of around 25 years in Audit, Certification, and Inspection. The agency is top-notch in providing commercial and financial rating, which has a lot of benefits for the borrowers and the lenders as well.
In simpler terms the commercial credit ratings is a numerical assessment of the firm’s creditworthiness. The ratings by ICRA are fully independent, and after analysing all the aspects of the commercial firm the ratings are assigned.
Furthermore these ratings have a big influence on the market value of the firm. Jump into the pool of information Let us know everything about the credit rating process and its benefits
What Is Credit Rating?
Credit rating is assessment of the creditworthiness of a borrower in general terms or with respect to a financial obligation. A Credit Rating is assigned to any entity that wants to borrow money. It can be an individual, a corporation, a state or a sovereign government.
ICRA’s Credit Rating Process is hassle-free, and till now the firm has rated so many commercial institutions. ICRA follow a simple credit rating process:
- Issuing Formal Request
- Assigning to Credit Risk Team
- Obtaining Financial Information
- Research and financial statement analysis
- Discussion meeting
- Rating Committee meeting
- Communication of decision
Merits of Commerial Credit Ratings
- Easy Loan Approval: One of the major benefits that a firm with high credit ratings can enjoy is the easy approval of loans. Higher the rating, more the company is seen as a risk-free firm, which is why lenders are more comfortable while making decisions.
- Safety Assured: For the lenders the credit ratings of the issuer firm plays a significant role as well. The high ratings shows the assurance about the safety of the money that it will be paid back with interest on time.
- Discounted Rate Of Interest: Good credit rating helps borrowing companies to get debt at less rate of interest because one of the major factors that determine the rate of Interest on debt is the credit rating. Higher the rating, lower the Interest or vice versa.
- Better Decision Making: No bank or money lender Companies would like to give money to a risky company. With Credit Rating, they can get a better idea about the repayment capacity of that company so credit rating services helps banks and money lenders to make better Investment decisions.
In simpler terms the commercial credit ratings is a numerical assessment of the firm’s creditworthiness. The ratings by ICRA are fully independent, and after analysing all the aspects of the commercial firm the ratings are assigned.
Furthermore these ratings have a big influence on the market value of the firm. Jump into the pool of information Let us know everything about the credit rating process and its benefits
Take the first step towards a better future with ICRA.