New York Small Business Defaults Down in January, Borrowing Up: PayNet

Albany, New York, March 21, 2018 (Newswire.com) - Data published by PayNet illustrate that the percentage of small businesses defaulting on existing loans has fallen in New York and the level of borrowing activity grew in January 2018. The indices suggest that financial conditions in the state may improve.

The PayNet Small Business Default Index (SBDFI) for New York registered at 1.75% after a 4 basis point improvement from December. New York's SBDFI was 7 basis points below the national SBDFI level of 1.82%. New York's SBDFI rose 25 basis points over the last year, whereas the national SBDFI declined 2 basis points.

Information (3.60%); Accommodation and Food Services (3.11%); and Transportation and Warehousing (3.07%) exhibited the worst default rates of all industries in New York. Nationally, Information had a default rate of 3.14%, with a difference of +0.83% compared to the prior year, while New York had a variance of +1.79%.

At 102.6, the PayNet Small Business Lending Index (SBLI) for New York rose 1.1% from last month's state level and performed comparably to the national SBLI level of 101.7 this month.

"Recent increased investment and improved financial health exhibited by New York's small businesses set the stage for expansion with low credit risk," explains William Phelan, president of PayNet.  

Source: PayNe, Inc.