How issuer risk is graded
Every listed note has a published Grade. That grade comes from a MARC SME credit assessment of the issuer company. It is not a CashSouk opinion of the invoice paymaster, and it is not a forecast of what you will earn.
A grade is not a recommendation to invest and does not guarantee repayment. Read the prospectus for that note before you commit.
What you will see
On Marketplace, the listing shows Grade as SME-1 through SME-10. The same value appears in the Invest dialog and on the note in Portfolio.
Open View prospectus for the full disclosure. The prospectus includes:
- the note Grade and a Risk Rating Scale for SME-1 to SME-10
- Credit Insights — MARC Credit Grade, MARC Credit Score, Probability of Default, and related checks as published for that note
- a MARC SME methodology appendix
Issuers do not enter or change this assessment in the Issuer Portal. CashSouk records it. Issuers see the published grade on the note once the listing exists.
Score and Grade
MARC produces a credit score from 0 to 100. That score is converted to a grade on the SME-1 to SME-10 scale. Marketplace uses Grade, not the numeric score. The score and probability of default, where published, are in the prospectus.
Lower grade numbers are stronger:
- SME-1 and SME-2 — Very Low Risk
- SME-3 and SME-4 — Low Risk
- SME-5 and SME-6 — Moderate Risk
- SME-7 and SME-8 — High Risk
- SME-9 and SME-10 — Very High Risk
Best grade on Marketplace sorts SME-1 first.
How the issuer is assessed
CashSouk records a MARC SME assessment against the issuer company. When CashSouk sends an invoice offer, the note grade usually follows that issuer assessment. CashSouk may set a different grade for a specific invoice. The grade locked into that note’s prospectus is the one that applies to the listing.
If a later assessment is recorded for the company, already published notes keep the grade disclosed in their own prospectus. Compare notes by reading each prospectus. Do not assume every note from the same issuer has the same grade.
The prospectus appendix describes how the credit score is built. It combines financial and operational factors, including:
- Historical and Ownership Review (35%)
- Leverage Assessment (28%)
- Profitability Assessment (15%)
- Liquidity Assessment (12%)
- Operational Efficiency (5%)
- External Auditor (5%)
Percentages are the weightings published in that appendix. The official method sits with MARC, not with this Help Center article.
MARC methodology
Grades follow the MARC SME scale. For MARC’s own documentation, see:
Those pages are maintained by MARC. If a page is updated, the live MARC site is the source. The prospectus on each note is the disclosure that applies to that listing.
Common questions
Is Grade the same as Score?
No. Score is the 0–100 MARC credit score. Grade is the SME-1 to SME-10 label derived from that score. Listings show Grade.
Does a stronger grade guarantee I will be repaid?
No. A grade is an assessment of issuer credit strength at the time it was recorded for that note. It is not a recovery promise. See If an issuer pays late or defaults.
Can the issuer change their grade in the portal?
No. Issuers cannot edit MARC assessments in the Issuer Portal.
Why might two notes from the same issuer show different grades?
CashSouk can set the grade per invoice. A later company assessment also does not rewrite notes that were already published. Use the prospectus on each note.
Where do I read the full scale for a listing?
Select View prospectus on Marketplace or from the position under Portfolio.