Highwire Finance Score
The Highwire Finance Score gives you a clear, consistent view of your company’s financial health and how complete your financial assessment is. It’s built from the data you provide in Highwire and adjusted based on key financial risk factors.
What Makes Up Your Finance Score
Your Finance Score is made up of three main parts:
- Completion Basis: Based on how many required assessment tabs you've completed in Highwire, as shown on your Home page.
- Statement Quality: Based on the audit level of your submitted financial statements—audited, reviewed, compiled, or unknown.
- Deductions: Subtracted from your score if your financial data shows signs of potential risk.
To keep things fair (especially since different clients may require different data), your score is normalized to a 0–100 scale based only on what you're required to complete.
Completion Basis
You can earn points by completing the required assessment areas. These vary depending on what your connected clients request:
Category | What’s Required | Points |
|---|---|---|
Financials* | 3 years of balance sheets, income statements, and cash flow statements | 40 |
Backlog | Quarterly updates to work-in-progress and work-not-started schedules | 10 |
Banking | Line of credit, available credit, updated quarterly | 10 |
Surety | Surety provider info, bond amounts, bond rate, confirmation letter | 10 |
References* | 3 supplier/contractor references and 3 client references | 10 |
Legal | Required questions with supplemental info if needed | 5 |
Experience | 5 reference projects (with 5 bonus points for providing more) | 5 (+5) |
Partial credit may be awarded. For example, submitting only balance sheets and income statements (but not cash flow statements) would result in partial credit for Financials.
Financial Statement Quality
You can earn up to 5 bonus points based on the level of review applied to your financial statements:
Statement Type | Bonus Points |
|---|---|
Audited | +5 |
Reviewed | +3 |
Compiled | +2 |
Unknown | 0 |
Financial Risk Deductions
After your base score is calculated, we apply deductions for financial risk based on key ratios. Each metric has specific thresholds that, if not met, result in points being subtracted.
Category | Metric | Deduction Thresholds | Calculation | Source |
|---|---|---|---|---|
| Liquidity | Current Ratio | Less than 1.5: -5 pts Less than 1.0: -20 pts | Total Current Assets / Total Current Liabilities
| Balance Sheet |
| Liquidity | Quick Ratio | Less than 1.0: -5 pts Less than 0.8: -10 pts | (Cash + Marketable Securities + A/R) / Total Current Liabilities | Balance Sheet |
| Leverage | Debt-to-Equity Ratio | Greater than 2.0: -5 pts Greater than 3.0: -10 pts | Total Liabilities / Shareholders’ Equity | Balance Sheet |
| Backlog | Backlog in Months | Greater than 12: -3 pts Greater than 15: -5 pts Less than 5: -3 pts Less than 3: -5 pts | Value of Contracts / (Total Revenue ÷ 12) | Income Statement, WNS Tab |
| Efficiency | Working Capital Turnover | Greater than 20: -3 pts Greater than 30: -5 pts | Total Revenue / (Current Assets - Current Liabilities) | Balance Sheet, Income Statement |
| Profitability | Gross Profit Margin | Less than 20%: -1 pt Less than 15%: -3 pts | ((Revenue - Cost of Sales) / Revenue) × 100 | Income Statement |
| Profitability | Net Profit Margin | Less than 5%: -1 pt Less than 0%: -3 pts | (Net Income / Total Revenue) × 100 | Income Statement |
Notes:
- Each deduction is applied independently, and multiple deductions can apply.
- Deductions are only applied if you’re required to submit financial statements and have done so.
How to Improve Your Finance Score
Looking to raise your score? Here are a few simple steps that can make a big difference:
- Complete all required tabs: Your Home page shows which tabs are required. Make sure they’re filled out and up to date.
- Upgrade your financial statements: Audited statements earn the most points. Moving from compiled to reviewed or audited can improve your score.
- Stay current with quarterly data: Backlog and Banking sections should be updated every quarter.
- Review your deductions: See which financial ratios may be triggering deductions and consider what improvements could be made.
- Submit complete data: Missing pieces like a cash flow statement can cost you points.
Keeping your financial assessment complete and current helps your score, and makes it easier for clients to move forward confidently.
Summary
The Highwire Finance Score makes it easy to understand and improve your financial standing. It balances how complete your information is, how strong your financials are, and how much risk they may represent. Because it’s normalized, your score is always fairly scaled and ready for clients to review.
Keeping your tabs current and your statements strong is the best way to put your best financial foot forward in Highwire.