POS Financing
A quality merchant can help you extend credit to underserved pockets of customers. You can’t shake hands with every borrower, but your channel partners can. Scalable and frictionless third-party risk and compliance controls will give your business an edge in the marketplace.
And verifying that their professional license is in good standing ensures that your merchant is qualified and trustworthy. This creates a secure and reliable ecosystem for both the financing company, the merchant and consumers.
Is the merchant in good standing?
A professional license must be current and active. Every license has an expiration date and their status can change.
Is the business legitimate?
Confirming the legitimacy and legal status of a business is critical. Is your merchant who they say they are?
Certificate of Insurance (COI)
Verification of COI status should be done by the carrier or the provider. Adequate coverage should be assessed and status should be monitored.
Trade Credit
For SMBs, trade credit is a crucial lifeline that enables them to compete with larger companies and build strong relationships between suppliers and buyers.
Before extending credit, providers need to effectively manage contractor legitimacy, verify current license standing and confirm that the pros have adequate insurance coverage.
Reducing Construction Project Risks
Verifying that construction professionals hold valid licenses that are in good standing confirms their ability to perform work legally and competently, reducing project risks.
Confirming Adequate Insurance Coverage
Ensuring contractors have sufficient insurance protects against potential liabilities and financial losses, safeguarding both the supplier and the client.
Equipment Rentals
Equipment rental services provide businesses and individuals with access to machinery, tools, and equipment for various projects. This includes construction machinery, medical devices, IT equipment, and more, offering a cost-effective alternative to purchasing expensive items.
Professional license verification ensures compliance with industry regulations and enhances the reliability and reputation of the rental service. It also protects both the rental company and the clients by reducing liability and ensuring that equipment is used properly and responsibly.
Is the authorized service providers verified?
Your ecosystem is dependent on authorized providers in good standing. Verification and monitoring of this status are critical.
Enhance Trust with Legitimate Partners
The business identity and the legitimacy of your partners is foundational step in ensuring trust.
Reducing Integrated Service Financial Risk
It is not enough that your business has adequate insurance coverage. Managing risks from uninsured or underinsured integrated partners must be a standard operating procedure.
SMB Lending
Small businesses in the home services, pro beauty, and medical professions rely on their licensure to do business.
Appropriate risk and compliance controls allow you to safely extend credit to small and medium-sized businesses. Alternative data, such as professional licenses ensures that businesses have the necessary authorization to operate, promoting regulatory compliance and quality standards.
Business identity verification confirms the legitimacy and legal status of these businesses, reducing the risk of lending to fraudulent entities.
Insurance verification protects the lender from potential liability issues, ensuring that businesses are adequately covered and financially stable.
Does the professional have the licenses for their services?
Not all license requirements are the same and can vary by state or professional. In some cases, sub-classification can exist making verification more complex.
Are they a registered entity?
SMBs come in many forms and sizes. Verifying their legitimate business status is crucial for compliance and future audit requirements.
Are you protected?
Protecting the lender from potential liability is absolutely critical. Verification and monitoring insurance status is a critical part managing future risk.
LinkedIn
Contact Us
