FINTEL's Uniqueness

Why is FINTEL Data more reliable?

FINTEL undertakes rigorous analytical and data cleansing efforts to ensure the integrity of the datasets that its products are based on.

FINTEL data management techniques have their roots in the academic research conducted at the Weinert Center for Entrepreneurship at the University of Wisconsin-Madison School of Business. From the early days of working with large datasets of financial information, FINTEL has developed unique and powerful data management approaches that include a meticulous data cleaning procedure to ensure that the data meets necessary statistical research assumptions such as normality of distribution and temporal stability. Originally, FINTEL worked with the Ewing Marion Kauffman Foundation to have its financial database of privately held companies prepared for use in various economic and entrepreneurship studies conducted by academic researchers. All FINTEL tools are based on datasets that have passed the same rigorous cleaning and smoothing routines to make them suitable for academic research, which demands the highest data quality and integrity.

Cleaning Routine

All large financial datasets have multiple problems such as data entry errors (e.g., negative amounts of assets and liabilities) or totals of assets, liabilities and equity not adding up.

To deal with these data problems, FINTEL has developed a cleaning routine that includes over two hundred checkpoints applied to each financial statement. Rather than using list-wise deletion and removing problematic statements altogether, which would reduce the representativeness of the data, the FINTEL procedure imputes the problematic or missing values using complex formulas of weighted averages. The components and weights included in the calculations vary depending on the availability and quality of the relevant data.

Results

Thorough testing comparing the state of the data before and after applying the cleaning procedure has pointed to its significant benefits for improving the reliability of the data for research purposes. Means of the samples drawn from it more closely approached their medians, while the skewness of their distribution was reduced, thereby achieving or approximating normality in all cases. Additionally, temporal stability of the samples was achieved, making the data suitable for various longitudinal studies as well as industry trend analyses.

For more information see Nenide, B., Pricer, R.W. and Camp, S.M., "The Use of Financial Ratios for Research: Problems Associated with and Recommendations for Using Large Databases"

What makes FINTEL Tools unique?

The powerful and exceptional combination of rigorous academic research and business experience has allowed our company to develop a toolset that features:

  • Strict, guaranteed security and privacy of user input with no use of clients' data for any purpose whatsoever
  • The most representative and up-to-date dataset available that, in contrast to the competing databases, is not drawn from the data of either banking customers only or customers of certain firms only or significantly delayed and self-reported tax filings
  • Firm size breakdown specific to each industry rather than based on fixed thresholds
  • Easy and fast input that takes minutes to complete either manually by being guided to enter a set of basic financial statement accounts or even faster by importing a QuickBooks™ file
  • Unique methodologies for liquidity, profitability, sustainable growth and loan risk analyses, whose superior effectiveness has been proven both empirically and through consulting projects
  • Interactive financial modeling (what-if scenarios) to guide business decisions
  • Easy to understand analysis and recommendations in relation to each analytical or benchmarking comparison result that enable the user to develop effective performance improvement strategies
How does FINTEL ensure security for clients' data?

The trust of our clients is our most precious asset. Protecting your privacy and safeguarding your personal and financial information is one of our highest priorities. The complete Privacy Statement explains how FINTEL collects and protects your information. If you have any questions that this statement or the summary below does not address, please contact us via email at support@fintel.us.

Summary of Security Measures

  • FINTEL is concerned with the security of the personally identifiable and financial information we have collected and has in place reasonable measures to prevent unauthorized access to that information. These measures include – policies, procedures, and technical elements relating to data access controls. In addition, FINTEL uses standard security protocols and mechanisms to exchange the transmission of sensitive data such as financial details.
  • Web-based applications provided by FINTEL are protected using SSL (Secure Sockets Layer) technology. We use Geotrust as our SSL Certificate provider. Sites secured by Geotrust QuickSSL are utilizing 128-bit SSL certificates thereby offering the highest level of encryption or security possible. This means you can rest assured that communications between your browser and our web servers are private and secure.
  • To safeguard the financial information that you input in our system, you may choose to use an Alias as company name to keep the real name confidential. You may also delete data that is stored on our server in your FINTEL account at any time using your login.
  • FINTEL does not sell, license, lease or otherwise disclose any of your personal and financial information to anyone outside of FINTEL without your prior written notification and approval. We will further not use your financial information for our benchmarking database and will not publish aggregated information based upon entered data.

Additional Resources

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