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Here are 3 quality small-cap shares on my radar

I think Australia is home to a good number of high quality small-cap shares with bucket-loads of potential.

Three such shares which are on my radar at the moment are listed below. Here’s why I think they could be worth a closer look:

Japara Healthcare Ltd (ASX: JHC)

Whilst the aged care sector is prone to regulatory changes, I believe the risk/reward on offer with an investment in Japara is compelling given Australia’s ageing population. I’d pick Japara ahead of its rivals thanks to its strong management team and rapid expansion plans. By 2020 management has targeted an additional 1,100 new greenfield places, up 29% on its current places. Another bonus for investors is its generous dividend. At present its shares provide a trailing fully franked 5.5% dividend.

National Veterinary Care Ltd (ASX: NVL)

According to the RSPCA, pet ownership in Australia has grown to a massive 63% of Australian households. I believe this high level of pet ownership will result in strong demand for veterinary services moving forward, putting National Veterinary Care in a strong position to profit. Furthermore, as the veterinary market is highly fragmented, I think the company has the opportunity to follow in the footsteps of Greencross Limited (ASX: GXL) and grow significantly through acquisitions.

Think Childcare Ltd (ASX: TNK)

Much like National Veterinary Care, I believe Think Childcare has a long runway for growth through acquisitions. In fact, the company has a pipeline of newly developed, purpose built childcare centres around Australia waiting to be acquired progressively over the next five years from one of its incubators. I believe this and its trailing fully franked 4.2% dividend could make it a great buy and hold investment option today.

Finally, whilst small-cap shares are great, in order to maintain a balanced portfolio I would suggest investors look at adding a few quality blue-chip shares with strong growth prospects into their portfolio as well.

Top 3 ASX Blue Chips To Buy In 2017

For many, blue chip stocks means stability, profitability and regular dividends, often fully franked..

But knowing which blue chips to buy, and when, can be fraught with danger.

The Motley Fool's in-house analyst team has poured over thousands of hours worth of proprietary research to bring you the names of "The Motley Fool's Top 3 Blue Chip Stocks for 2017."

Each one pays a fully franked dividend. Each one has not only grown its profits, but has also grown its dividend. One increased it by a whopping 33%, while another trades on a grossed up (fully franked) dividend yield of almost 7%.

If you're expecting to see the likes of Commonwealth Bank, Telstra and Wesfarmers shares on this list, you'll be sorely disappointed. Not only are their dividends growing at a snail's pace, their profits are under pressure too due to the increasing competitive environment.

The contrast to these "new breed" blue chips couldn't be greater... especially the very real prospect of significant share price gains, something that's looking less likely from the usual blue chip suspects.

The names of these Top 3 ASX Blue Chips are included in this specially prepared free report. But you will have to hurry. Depending on demand - and how quickly the share prices of these companies moves - we may be forced to remove this report.

Click here to claim your free report.

Motley Fool contributor James Mickleboro has no position in any stocks mentioned. The Motley Fool Australia owns shares of Greencross Limited. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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