Colorado Small Business Defaults Down in February, Borrowing Up
DENVER, April 30, 2018 (Newswire.com) - Fewer of Colorado's small businesses defaulted on existing loans and the level of borrowing activity increased in February 2018, data published by PayNet show.
Following a 4 basis point dip from January, Colorado's PayNet Small Business Default Index (SBDFI) at 1.68% was 14 basis points less than the national SBDFI level of 1.82%. Over the last year, the national SBDFI fell 4 basis points, while Colorado's SBDFI fell 35 basis points.
Information (3.32%); Transportation and Warehousing (3.04%); and Accommodation and Food Services (2.36%) recorded the highest default rates of all industries in Colorado. Nationally, Information had a default rate of 3.19%, with a difference of +0.64% compared to the prior year, while Colorado had a variance of -0.15%.
At 106.5, Colorado's PayNet Small Business Lending Index (SBLI) increased 1.4% from last month's state level and was 4.5% higher than this month's national SBLI level (101.9).
"The data suggest that financial conditions in the state may significantly improve based on their longer term trends," asserts William Phelan, president of PayNet.