First of all, this post references an earlier issue with the “credit report deadline”.  Please click on “View All Stories” under my picture to the left or via this link:  http://www.vgm.com/blog/index.php/category/regulatory/

We are receiving dozens of calls today relative to the credit reporting issue.  Now that we have settled the issue of “when must I obtain it?” (Answer — before the bid window is closed — but don’t wait that long — submit it to the CBIC before the February 29 covered doc review date)…here are two important observations and tips. 

1). You must use a reporting agency listed on the official Fact Sheet page http://www.dmecompetitivebid.com/Palmetto/Cbic.Nsf/files/R2_Fact_Sheet_Required_Financial_Documents.pdf/$File/R2_Fact_Sheet_Required_Financial_Documents.pdf. 

They are: 

Dun & Bradstreet, Experian, Equifax, TransUnion, or Standard & Poor’s.   All offer business reports.  Google any of these to obtain contact information and call them regarding any questions, concerns or pricing.  They ALL are aware of the DMEPOS program…so you won’t be starting from scratch explaining your needs. 

Credit reports MUST include a numerical score.  These agencies, are, again, most aware of this.  (The only exception is an alpha score from Standard & Poor’s.) Any other forms of gauging credit other than a numerical score(such as arrows indicating relative value of credit or the number of days beyond term) are NOT acceptable.  Again — the agencies know this.  Call them!

2).  May I use my owner’s (s’) credit report(s)?  Maybe…The CBIC states that if no credit report is available for the business, a personal credit report and numerical score for the principal business owner is acceptable as long as it is prepared by an acceptable bureau.  However, a personal credit report and score is NOT acceptable from bidders filing a regular ‘C’ corporation tax return (Form1120), except in cases of newly formed corporations.  My take:  If the owner(s) has/have excellent credit and your company is a Sub S or an LLC, consider using the personal credit report and score.