Part of Ingolf Ersel's conclusion: "When setting up a reporting system, it is essential that it matches the company. A mere flood of information is not useful. It is important that only data and, above all, information that is absolutely relevant to the company is passed on. This information must be exchanged at the right time and with and from the right partner." This is the conclusion Ersel, Steuerberater (German Certified Tax Advisor) and partner at the Steffen & Partner group, draws in his essay for the Bocholter Hochschulschriften, volume 10, published in 2005. The topic of the article: "Basel II – Is the Rating a Sword of Damocles for the German Mittelstand?" Do you also feel that a Sword of Damocles is hanging by a silk thread above your head (– or wasn't it a horsehair?)? We help you bring structure to your reporting, strengthen your communication with banks and continuously improve your rating, or keep it at a good level. As a first introduction, you may read this article. However, you do not have to – a word of warning – this is academic material, although of course written in an understandable manner. The good news is that you can also contact us directly – the author still holds the copyright, is still among us and remains a partner, Steuerberater and one of our rating experts to this day. [wpfilebase tag=file id=29 /]
Frequently asked questions
Frequently asked questions
What should be considered when setting up an internal corporate reporting system?
Reporting must be tailored to the specific company and avoid creating a flood of information. Only data and information that are genuinely relevant to the business should be shared. Equally important is ensuring that this information reaches the right recipient at the right time.
What is the significance of Basel II ratings for medium-sized enterprises?
Basel II requires banks to link lending decisions to the borrower's creditworthiness, which is assessed through a rating. For medium-sized enterprises, this means that loan terms and, in some cases, credit availability depend directly on the rating classification. Systematic reporting and open communication with the bank are therefore key levers.
How can companies continuously improve or stabilize their rating?
Key factors are tailored reporting, structured and regular communication with financing banks, and timely provision of relevant business information. This creates transparency, which has a positive impact on the rating assessment. Professional guidance by rating experts can support the process.
What role does communication with the bank play in the rating process?
Open, regular, and high-quality communication with the bank strengthens the relationship of trust and has a positive impact on the rating. Banks assess not only figures but also the quality, timeliness, and reliability of the information provided. Those who communicate actively and in a structured manner reduce uncertainties in the credit assessment.