Start-up numbers in Northern Ireland rose by 131.9% in July 2024 when compared to the same month in 2022, according to new research from R3, the UK’s insolvency and restructuring trade body.
R3’s analysis of data provided by Creditsafe shows 1,563 firms were set-up in Northern Ireland in July 2024 – 889 more than the 674 firms established in July 2022.
Start-up numbers in Northern Ireland also rose by 46.5% in July 2024 when compared to July 2023, when 1,067 new firms were registered.
Ian Leonard, chair of R3 in Northern Ireland, says: “Start-up numbers have soared in Northern Ireland over the past year.
“The vast majority of businesses here are small and independently run, and the challenges that arose in 2022 during the peak of the cost-of-living crisis left many people hesitant to take risks with their personal finances and set up new businesses.
“Two years later, inflation is easing, interest rates have fallen, and energy prices have settled, and it’s evident from this data that people in Northern Ireland are now seizing the opportunity to take the leap into entrepreneurship and set up their own business.”
Northern Ireland and the North East were the only two regions and nations to see an increase in start-ups between July 2023 and July 2024, while all other UK regions and nations saw numbers fall during the same period.
Northern Ireland also saw the biggest monthly rise in start-up numbers in July when compared to the other 11 UK regions and nations, rising by 36%, followed by Scotland (14.8% rise), Wales (13.2% rise) and the North West (11.8% rise).
Ian, who is a director at Interpath Advisory, continues: “Despite this positive news, it’s important to remember that the first few months of a business’s life are often challenging. Directors of both new and established businesses need to stay vigilant to the early signs of financial distress such as cash flow problems, mounting debt, difficulty in paying suppliers and declining sales.
“If any of these concerns arise, I would urge business owners to seek advice from a qualified professional as early as possible. By taking early advice, you’ll have more time and more options available to navigate your way out of difficulty.”