More than 100 start-ups formed every day in May

An average of 107 start-ups were formed every day last month according to credit and business risk analyst, Vision-net.

Construction start-ups grew by almost 48 per cent, when compared with last year, while the number of start-ups in the transport and logistics sector grew by 41 per cent over May 2013.

In total, 2,783 start-ups were set up in May, down 12 per cent compared to the same month last year.

Dublin continues to be the most popular location for start-ups, when compared with other parts of the country and even allowing for the differences in population size.

In 2004, Dublin was the location of 40 per cent of start-ups but by 2014 this has grown to 48 per cent, despite the capital being home to only 28 per cent of the national population. By comparison in 2004, Cork had 11 per cent of all start-ups but this has fallen to 9 per cent in 2014.

Vision-net managing director Christine Cullen said the significant divergence in the number of new companies being established in Dublin and in the regions outside of it is a cause for concern.

“A stronger focus on encouraging new companies to develop outside of Dublin, is needed to foster balanced regional development and ensure that Dublin’s existing problems of housing supply and pressure on critical services are not exacerbated,” she said.

In respect of company failures, 112 Irish companies were declared insolvent in May, an average of four insolvencies per day. The total insolvencies figures comprised 89 liquidations, 20 receiverships and three examinerships during the month.

Ms Cullen said this data indicates “the Irish economy has stabilised but the real recovery can only be measured by a significant fall in the number of company failures”.

The volume and value of judgments awarded against consumers has reduced considerably, according to Vision-net.

The courts awarded more than €19 million to creditors for unpaid debts by consumers and firms in April. Of these 226 judgments worth €14.6 million were awarded against consumers during April, amounting to an average of €64,733 per judgment.

When compared with April 2013, the number of consumer judgments have fallen by 35 per cent, while the value of these judgments has decreased by 53 per cent.