The value of the size rating tries to be a reflection of the company dimension based on different measurement criteria.
The value of this rating allows to classify the company according to its size using the following table as reference:
|Rating value range||Interpretation|
|0 - 5||Small company|
|5 - 8||Medium company|
|8 - 9.9||Large company|
|9.9 - 10||Huge company|
There are many criteria that can be used to measure the size of the company. Each of these criteria measures partial aspects of the business dimension. The relevance of each criterion will depend on the type of company, sector of activity and degree of capitalization of the company.
Gradement uses a combination of the following criteria as a proxy for the company size:
In general, when comparing two companies under equal conditions, will be preferable from the investor point of view the one that presents a larger size. The large dimension allows the company:
However, in certain situations, it could be considered that the small company has certain advantages compared to the large one, since in large companies is more frequent: