News
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Private Company Index Sets Record High: 55% Growth This Year .
CHICAGO, Dec. 18 /PRNewswire/ -- North American private company performance, as measured by the Private Company Index (PCI), climbed 20 points during the month of November to hit an all time high of 707. The PCI has seen a nearly 55% increase this calendar year compared to the Dow and the NASDAQ growth of only 14% and 10% respectively.
Entrex Founder and CEO Stephen H. Watkins shares, "Our Index is comprised of companies in a variety of service and product industries and as a group far out performed our expectations. Even with dips in some months, the index is still substantially higher than the baseline figure."
The mission of the PCI was to create a tool that enables the financial marketplace to objectively measure private business productivity in real time. Based on the monthly data presented by the PCI it is apparent that the potential dividends reaped from this sector provide the opportunity for greater returns than those realized from more traditional public sources.
Entrex is using the basis of this research to create a dynamic marketplace for equity interests in private and non-reporting companies where accredited/institutional investors can find, research, track, manage and trade these interests.
Patrick Whittaker, CEO of Reset Electronics Inc. (an Entrex Registered Member Company), explains his take on being a pioneering early adopter in this new marketplace, "Kudos to the Entrex process ... [it] has been valuable. As a result of expecting funding, we set out to increase sales using the additional working capital. When the increased activity and related increase in sales occurred, we required an immediate source of new working capital. With a business plan in hand, and several Entrex related reports like background checks of the owner and the Company, a business validation and a business valuation, we were able to double our existing line of credit with its current bank. The end result ... is that we increased revenue by 17% in 2007 and now anticipate an increase of 50% for fiscal year 2008."
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The Private Company Index provides the financial and investment community a resource to objectively measure private business activity. The Index also allows business owners and the general public the ability to follow the trends and productivity of privately owned businesses.
The Index was created by Entrex – the global source to find, research, track, manage and trade interests in private companies- along with the Private Business Channel (PBC) an online video and television production company featuring the best-of-breed private companies on the path to open their equity to private investors.
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