The number of company start-ups in Ireland has hit its highest level in 7 years, with 17,923 companies formed in 2014, according to Vision-nets Annual Business Barometer 2015.
When compared to 2013 there were 15,665 start-ups and in 2010 this figure was a mere 14,185.This 14% increase in start-ups is welcome news for the Irish economy and is another strong indicator of economic recovery.
On the other side of the equation, the news is also good as company closures are down 8% when compared to 2013. In 2014, 11,882 companies were dissolved, which means that the Irish economy experienced a net gain of 60,141 companies in 2014(Start-ups – Closures). In 2012 the gap was much closer, at a mere 923, whereas in 2013 the gap had risen to 2,742.
The majority of company closures were experienced by companies who were between 2 and 3.9 years in business whereas it was much less for those businesses who were trading for 20 years or more, representing 10% of the overall total.
The dramatic increase in company start-ups combined with a 5 year low in regards company closures is a very good indicator of a strong economic recovery.