Participated · Equity · Feb 2022

RapidRatings offers a Financial Health System and the FHR Exchange™, a secure membership platform that supplies financial health ratings, analytics, and predictive insights for suppliers, vendors, counterparties and securities issuers. The platform analyzes public and private companies across more than 140 countries and is used to increase visibility into supplier and third‑party financial risk. The company emphasises predictive analytics to help customers identify and mitigate risk within their networks. RapidRatings says the new capital will support product innovation, data collection and commercial expansion to scale its offering. James Gellert will continue as CEO and Chairman as the company executes on its strategic vision. Further financial terms beyond the announced investment were not disclosed in the article. RapidRatings offers the Financial Health System (FHS), a proprietary, algorithm-based analytics platform that generates objective, forward-looking financial health ratings for public and private companies. The FHS is used by hundreds of Fortune 1000 companies to evaluate suppliers, customers, underwriting counterparties, borrowers and investors. RapidRatings rates companies from 135 countries and emphasizes actionable insights for risk, procurement and credit professionals. The platform ingests current financial data to produce predictive analysis that supports transparency and stronger third-party relationships. Management says the company is experiencing significant market adoption and rapid growth, and plans to accelerate expansion and technology innovation. The company completed a $30 million growth investment from FTV Capital as part of this effort, with LLR Partners remaining a shareholder and board member. Rapid Ratings offers the proprietary FHR® (Financial Health Rating), a quantitative 0–100 system that uses more than 70 performance ratios calibrated to 24 industry models to assess company stability, efficiency, and default probability. Its subscribers include hundreds of leading organizations across multiple verticals that rely on the FHR to manage counterparty, supplier, and investment risk. The company delivers solutions for third‑party and supplier risk management, corporate credit risk, and financial‑services investment risk and compliance. Rapid Ratings positions itself as a subscriber‑paid ratings firm that avoids issuer‑paid conflicts of interest. The firm said it will use new growth capital to build out infrastructure and accelerate its product roadmap. New analytics and products for financial‑services and corporate clients are planned for release later this year.