New Jersey Small Business Defaults Up in September
Trenton, NJ, November 21, 2017 (Newswire.com) - PayNet, the premier provider of credit ratings on small businesses, announces that in September 2017 overall defaults worsened among New Jersey's small businesses. Of the 18 major industries, defaults worsened in 11 and improved in 6 in the state compared to the previous month.
In spite of an 8 basis point climb from August, New Jersey's PayNet Small Business Default Index (SBDFI) at 1.62% was still 24 basis points under the national SBDFI level of 1.86%. Despite the unfavorable uptick from the previous month, the index is basically unchanged from a year ago. The national SBDFI increased 7 basis points over the last year, which was a steeper increase than the 1 basis point increase exhibited by the New Jersey SBDFI.
Transportation and Warehousing (3.53%); Accommodation and Food Services (2.29%); and Construction (2.08%) registered the worst default rates of all industries in New Jersey. Nationally, Transportation and Warehousing had a default rate of 4.43%, with a difference of +0.35% compared to the prior year, while New Jersey had a variance of +0.07%.
Registering at 94.5, New Jersey's PayNet Small Business Lending Index (SBLI) fell 0.3% from the previous month's state level and was 4.6% below the national SBLI level of 99.1 this month. "Small firms are awaiting signs of improvement in New Jersey's economy before making any sizable investments," asserts the president of PayNet, William Phelan.