New figures released today from Irish business and credit risk analyst, Vision-net.ie, show that nearly 1,900 new company start-ups (1,878) were formed, on average, each month in the first half of 2017, an increase of 6% compared to the same period last year.
With the exception of June, company start-ups were up every month compared to 2016—including by almost 20% in January and 9% in April.
The most popular sector for company start-ups is professional services. Almost 1 in 5 established in the first half of 2017 operate in it (2,183), up slightly by 1% year-on-year.
This was followed by finance, which saw an 18% rise in start-ups (1,604 vs 1,356) and social and personal services, up 50% (1,298 vs 865). Other sectors that performed well included construction start-ups which increased by 14% (1,118 vs 978), real estate start-ups increased which by 17% (491vs 420), and agriculture start-ups which increased by almost 50% (470 vs 314).
Forty five percent of all new start-ups were established in the capital region (5,090 in first half of 2017 vs 4,683 in first half of 2016, up almost 9%). The number of new start-ups in Cork decreased by 14% in the first half of 2017 compared to the same period last year (1,126 vs 1,312).
Other counties that experienced an increase in new start-ups included Galway (+5%), Kildare (+7%), Meath (+21%).
Commenting on the figures, Managing Director of Vision-net.ie, Christine Cullen said, "Economic activity remains disproportionately based in the capital at the expense of the rest of the country. While Cork follows Dublin in terms of new start-ups, after a very successful 2016, the number of new start-ups established there decreased by 14% while insolvencies rose 19%."
She added, "We cannot discount the effects of Brexit. Many Irish industries rely heavily, often exclusively, on the UK for trade. As British businesses and consumers feel the pinch of higher living costs and a weaker sterling, many Irish businesses will find their revenue streams disrupted, whether they are food and drink exporters in Dublin or hoteliers in Kerry. If this continues, the consequences for our economy will be severe, particularly in less developed parts of rural Ireland."