COSTA MESA, Calif.,
May 18, 2016 /PRNewswire/
-- Because of the profound, far-reaching impact of small
business on the U.S. economy, Experian®, the
leading global information services company, teamed with Moody's
Analytics to develop the Experian/Moody's Analytics Main Street
Report. The new quarterly report benchmarks the overall
financial health of small businesses, identifies emerging trends
and provides insight into what these trends mean for small
businesses and the economy as a whole.
To download a copy of the Q1 2016 report, visit
http://bit.ly/1UYWvHP
"Gaining deeper insight into the health of small businesses is
important for credit-granting organizations, as well as the
small-business owner," said Gavin
Harding, senior business consultant for Experian. "While
credit grantors can leverage the information to make more
profitable financial decisions, small-business owners can better
understand the fluctuations in their industry and region. By
working with Moody's Analytics, we are able to combine our
expertise and data resources to deliver a more holistic view of the
trends impacting the business community in particular and the
economy overall."
The Experian/Moody's Analytics Main Street Report
leverages a combination of business credit data (including credit
balances, delinquency rates and utilization rates) and
macroeconomic data (including employment rates, income, retail
sales and investments) to provide a more accurate assessment of the
health of small businesses.
The first quarter 2016 report shows that credit conditions for
small businesses have remained relatively stable, as delinquency
and bankruptcy rates hold steady at low levels. In fact, much of
the slight decrease in delinquencies was driven by fewer small
businesses falling within the 61 to 90 and 91+ days past due
categories.
Additionally, the report shows that small businesses have begun
to expand their credit lines while keeping their utilization rates
down. Through a combination of the increase in credit availability
and small gains in balances, the average credit utilization for a
small business dropped nearly 17 percent from the previous
year.
"Small businesses have expanded their access to credit, but
appear to be holding off on significant investment," continued
Harding. "While the sector is stable, owners may be hesitant to
invest in their businesses due to volatility in the markets or
regional factors such as the uncertainty in the energy sector."
"Small business credit conditions continue to improve, and
near-term prospects are good," said Mark
Zandi, chief economist for Moody's Analytics. "Delinquencies
and bankruptcies have declined in most industries and regions of
the country for more than a year. The energy industry is the only
exception. There are threats to the positive small business credit
outlook, including prospects for rising interest rates and volatile
financial markets, but those threats appear modest."
Other Q1 2016 findings:
- Despite a strong economic performance relative to the rest of
the country over the past several years, bankruptcy rates were
elevated in the Southwest and the West
- Delinquency rates for the retail industry ticked up slightly
during the first quarter of 2016 as a result of weak retail
sales
- The top three states with the highest average business credit
score* were Vermont (62.6),
North Dakota (61.8) and
South Dakota (61.7)
In-depth insight and commentary from the Experian/Moody's
Analytics Main Street Report will be presented in a Webinar at
10 a.m. Pacific time/1 p.m. Eastern time on June 28. If you would like to register for the
event, visit http://bit.ly/1s6vlmG. For more information on the
Experian/Moody's Analytics Main Street Report, visit
http://bit.ly/1UYWvHP.
About the Experian/Moody's Analytics Main Street
Report
Experian joined forces with Moody's Analytics, a leading
independent provider of economic forecasting, to create a detailed
report that provides insight into the health of U.S. businesses.
The Experian/Moody's Analytics Main Street Report is
published quarterly to show fluctuations in the market and discuss
factors impacting the business economy.
About Moody's Analytics
Moody's Analytics helps capital markets and risk management
professionals worldwide respond to an evolving marketplace with
confidence. The company offers unique tools and best practices for
measuring and managing risk through expertise and experience in
credit analysis, economic research and financial risk management.
By providing leading-edge software, advisory services, and
research, including the proprietary analysis of Moody's Investors
Service, Moody's Analytics integrates and customizes its offerings
to address specific business challenges. Moody's Analytics is a
subsidiary of Moody's Corporation (NYSE: MCO), which reported
revenue of $3.5 billion in 2015,
employs approximately 10,800 people worldwide and maintains a
presence in 36 countries. Further information is available at
www.moodysanalytics.com.
About Experian's Business Information Services
Experian's Business Information Services is a leader in
providing data and predictive insights to organizations, helping
them mitigate risk and improve profitability. The company's
business database provides comprehensive, third-party-verified
information on virtually all U.S. companies, with the industry's
most extensive data on the broad spectrum of small and midsize
businesses.
By leveraging state-of-the-art technology and superior
data-compilation techniques, Experian provides market-leading tools
that proactively support the entire credit life cycle, enabling our
clients to find new customers, process new applications, manage
customer relationships and collect on delinquent accounts.
About Experian
We are the leading global information services company,
providing data and analytical tools to our clients around the
world. We help businesses to manage credit risk, prevent fraud,
target marketing offers and automate decision making. We also help
people to check their credit report and credit score and protect
against identity theft. In 2015, we were named one of the
"World's Most Innovative Companies" by Forbes magazine.
We employ approximately 17,000 people in 37 countries and our
corporate headquarters are in Dublin,
Ireland, with operational headquarters in Nottingham, UK; California, US; and São Paulo, Brazil.
Experian plc is listed on the London Stock Exchange (EXPN) and
is a constituent of the FTSE 100 index. Total revenue for the year
ended March 31, 2016, was
US$4.6 billion.
To find out more about our company, please
visit http://www.experianplc.com or watch our
documentary, "Inside Experian."
Experian and the Experian marks used herein are trademarks or
registered trademarks of Experian Information Solutions, Inc. Other
product and company names mentioned herein are the property of
their respective owners.
* Based on a scale of 1 to 100 (with 100 being least
risky); predicts the likelihood of severe delinquency (more than 91
days past due) within the next 12 months
Contact:
Jordan
Takeyama
Experian Public Relations
1 714
830 7561
jordan.takeyama@experian.com
Twitter: @JordanTakeyama
Katerina Soumilova
Moody's Analytics
Communications
1 212 553
1177
katerina.soumilova@moodys.com
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SOURCE Experian