When conversations turn to the origin of Credit Rating Agencies (CRAs), names associated with Bond markets and Sovereign risk assessments often dominate the narrative. Yet, long before formal rating scales like AAA or AA+ became standard, the foundation of credit and risk assessment was being laid by two distinct pioneers. At the centre of that early evolution sit Robert Graham Dun and John M. Bradstreet, men whose individual ingenuity moved commerce away from guesswork and effectively created the commercial credit reporting industry.

John M. Bradstreet: The Lawyer Turned Information Architect

The story of formalising credit begins not with a Bank, but with a Lawyer. Working in Cincinnati in the mid-19th century, John M. Bradstreet found himself managing large estates, liquidating debts, and handling complex business transactions. In the process, he accumulated a vast, highly valuable repository of information regarding the creditworthiness of local merchants.

Realising that this data was a goldmine for an expanding economy, where commerce was rapidly outpacing personal, handshake-based trust, Bradstreet commercialised his knowledge. He founded his own firm and, in 1857, achieved a monumental first: he published a commercial rating manual. This book standardises credit data, offering subscribers a tangible, structured look into the financial health of potential partners across the country.

Robert Graham Dun: The Systematiser of Trust

Running parallel to Bradstreet’s efforts was Robert Graham Dun, an entrepreneur with a profound talent for scaling operations and auditing data. Dun took the helm of a firm originally known as The Mercantile Agency and transformed it into R.G. Dun & Company.

Where Bradstreet pioneered the published manual, Dun perfected the network. He built an expansive web of localised correspondents who constantly fed information on business reputation, financial strength, and payment behaviour back to central ledgers. Dun understood that risk management was not just about static numbers; it was about ongoing, documented assurance. Under his leadership, credit decisions were no longer based solely on informal judgements; they could now be supported by reliable, systematic insights.

The 1933 Merger: A Unified Franchise

For decades, R.G. Dun & Company and The Bradstreet Company operated as fierce competitors, each pushing the other to refine their methodologies and improve the accuracy of their reporting. However, the financial crucible of the Great Depression changed the landscape entirely.

In 1933, recognising that the sheer volume of business failures and the fragile state of the economy required a unified, robust system of credit intelligence, the two long-standing rivals merged. The resulting franchise, Dun & Bradstreet, combined Dun’s unparalleled correspondent network with Bradstreet’s standardised publishing model.

In many ways, the story of credit ratings did not begin with the ratings. It started with the systems that made them possible. And in that story, Mr. Dun and Mr. Bradstreet hold an undisputed, central place.