Detroit, MI - November 21, 2017 - (Newswire.com)
In September 2017, the percentage of Michigan's small businesses defaulting on existing loans has not changed, according to data released by PayNet. Of the 18 major industries, 12 fell and 6 rose in the state.
After a similar performance to August, Michigan's PayNet Small Business Default Index (SBDFI) at 1.54% was 32 basis points less than the national SBDFI level of 1.86%. However, the uptick in defaults over the past two months may signal weakening financial health in the state. Michigan's SBDFI rose 23 basis points year-over-year, while the national SBDFI increased 7 basis points.
The industries with the worst default rates in Michigan were Accommodation and Food Services (3.59%); Transportation and Warehousing (3.40%); and Mining, Quarrying, and Oil and Gas Extraction (2.14%). With a 2.50% variance, Accommodation and Food Services has also had the largest increase from last year of any industry in Michigan.
Michigan's PayNet Small Business Lending Index (SBLI) came in at 110.7, outperforming the national SBLI level (99.1) despite dropping by 0.1% from the previous month's state level. The Index is basically unchanged from a year ago.
"The performance of defaults over the past months matches a sluggish lending environment," states the president of PayNet, William Phelan.
Press Release Service by Newswire.com
Original Source: Small Business Defaults in Michigan Unchanged in September
