Nebraska Small Business Defaults Down in January, Borrowing Up: PayNet
LINCOLN, Neb., March 23, 2018 (Newswire.com) - Data released by PayNet indicate that the percentage of Nebraska's small businesses defaulting on loans has fallen and the level of borrowing activity increased in January 2018.
The PayNet Small Business Default Index (SBDFI) for Nebraska registered at 1.32% following a 4 basis point improvement from December. Nebraska's SBDFI was 50 basis points below the national SBDFI level of 1.82%. Over the last year, the national SBDFI dropped 2 basis points, while Nebraska's SBDFI declined 7 basis points.
The industries with the highest default rates in Nebraska were Transportation and Warehousing (2.86%); Information (2.48%); and Accommodation and Food Services (1.97%). Nationally, Transportation and Warehousing had a default rate of 3.91%, with a difference of -0.40% compared to the prior year, while Nebraska had a variance of -0.88%.
Coming in at 108.4, the PayNet Small Business Lending Index (SBLI) for Nebraska improved 1.2% from the previous month's state level and was 6.6% above the national SBLI level of 101.7 this month. The Index is basically unchanged from a year ago.
"The data suggest that financial conditions in the state may improve," explains William Phelan, president of PayNet.