Q1 2012 highlights
The Q1 2012 report shows that although access to credit remains tight, U.S. commercial credit conditions are improving, with fewer small businesses falling behind on bill payments.
“The Q1 analysis has shown that small businesses are finally getting some relief from the credit crunch that has plagued many of them since the Great Recession. The recent improvement in small-business credit growth and quality bodes well for the broader economy and job market.” — Mark Zandi, Chief Economist at Moody’s Analytics
Other trends seen in the Q1 Experian/Moody’s Analytics Small Business Credit Index include:
- The overall health of U.S. small businesses has improved, thanks to rising consumer confidence and spending, but balance sheets are strengthening unevenly.
- Most metrics of small-business credit quality were essentially unchanged from last quarter, but the average commercial risk score improved on a year-ago basis due to a drop in the percentage of dollars delinquent.
- Not surprisingly, states where the labor market is healing more vigorously typically have small businesses with stronger credit standings. Similarly, small firms in states with high unemployment and lackluster housing markets are struggling.
Download the full report: Experian/Moodys Q1 2012 Report (527)