Chicago, IL February 17-2006 -Private Company Index announce a strong start to 2006 with private company activity, up 74 points from December, increasing 16.2% in revenue for January. Since the launch of the index in September 2005, Index member companies, on average, have experienced 5.9% monthly gain. Annually this monthly gain represents 70.5% average growth.
Private Company Index companies continue to outgrow their Dow counterparts (eight times faster) and NASDAQ Index counterparts (three times faster) on average for the same time period.
When questioned how an index company will continue to sustain this aggressive growth, Private Company Index member CEO & President Mike Faith of Headsets.com responds "At Headsets.com our annual growth for 2005 was a little over 80%, a substantial improvement over the 54% we achieved in 2004. We're pleased with the results of course, but more inspirational is the fact that we have managed to push our revenue per employee figures to an all time high of some $750,000 per year per employee, a number that rivals the likes of Cisco. What's remarkable for us in this comparison is that Cisco is known for its big ticket items, with sales of individual products of five figures or more, and contracts that run into the millions while at Headsets.com our average ticket price is just $250. Over the years we've noticed that demand for our products tracks in some way the general feelings about the economy as a whole, and when sales are as strong as they have been, one interpretation is that there is significant 'new growth' in the workplace as companies expand their headcount."
Index companies have an average of 41 employees per company with a median of 22. While on target for his annual revenue per employee, Index member Rob Alley President of E. Roberts Alley & Associates adds "We have 12 new, defined and posted full-time positions. We need to fill these positions in the next 6 months to support our targeted 2006 annual revenue goals and continued growth."
For Private Company Index January results and highlights or to view the newly launched Private Business Channel video visit our website www.privatecompanyindex.com.
The Private Company Index (www.privatecompanyindex.com) 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 (www.entrex.net)-the global source to find, research, track, manage and trade interests in private companies- along with the Private Business Channel (PBC) (www.privatebusinesschannel.com) an online video and television production company featuring the best-of-breed private companies on the path to open their equity to private investors.