DUNS numbers are unique identifiers assigned to companies registered with Dun & Bradstreet, used to verify credit and financial history. The Data Universal Numbering System (DUNS) was created in 1963 to eliminate problems caused by using a company’s name as its identifier. Dun & Bradstreet reports can be used by banks, creditors, grantmakers, and clients when determining whether to do business with a particular company.
A DUNS number is a nine-digit number assigned to companies around the world that are registered with Dun & Bradstreet, an international provider of business information. The number itself does not contain information about a company, but rather serves as a unique identifier, similar to how national identification numbers, such as the Social Security number in the United States, are used to identify individuals. A DUNS number is used to verify a company’s credit and financial history as it appears in the Dun & Bradstreet database.
Businesses understood the need for far-reaching fair credit reporting as early as the 1840s, but it wasn’t until 1933 that a historic merger created international reporting giant Dun & Bradstreet. Their job is to collect data from banks and other creditors about a given company’s credit status and report it to entities seeking to do business with that company, in the same way that personal credit reporting agencies collect and distribute information about the credit status of a given company. credit history of an individual. Dun & Bradstreet reports may also contain information such as the number of company employees, names and former addresses; The number of shares issued may also be included if the company is a public corporation. Worldwide, more than 100 million corporations, non-profit organizations, partnerships, sole proprietorships and limited liability companies are registered with Dun & Bradstreet.
In 1963, Dun & Bradstreet created the Data Universal Numbering System (DUNS) to help alleviate problems caused by using a company’s name as its identifier. The name identification system caused redundancies and misinformation due to spelling and human errors. For example, a customer may request information about “Smith & Co.” when he really wanted information on “Smithe and Co.” Alternatively, an employee might obtain information about Smith & Co. in Columbus, Ohio, when the customer actually wanted information about Smith & Co. in Columbus, Georgia. Also, the same company may appear multiple times: as “Smith & Co.”, “Smith & Company,” and “Smith and Company.”
Assigning a DUNS number almost completely eliminated these problems. The terminal digit in each company’s number serves as a “verification number” and is mathematically related to the other digits in the number, allowing Dun & Bradstreet to verify that the correct number was used. Additional processes are in place to ensure that each registered business is assigned only one DUNS number.
Dun & Bradstreet reports can be used by banks, creditors, grantmakers and even clients when determining whether to do business with a particular company. All requests for information must include a valid DUNS number. Upon receipt of such a request, Dun & Bradstreet will forward the information it has gathered about the company in question to the requester. Some companies, particularly large global corporations, may refuse to do business with any company that does not have a DUNS number.
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