Number of new Irish start-ups increases by 13%

The financial and construction sectors welcomed the most new companies in this year's first quarter...

The amount of new Irish start-ups was up 13% for the first quarter of 2016, as insolvencies also dropped 17%.

The finance sector enjoyed the biggest increase in start-ups when comparing the first quarter of 2016 with the same period last year, as 554 new companies were formed in the area.

Construction ran it close, with 474 new startups identified for the first three months of the year.

The figures from Irish business data and analytics company Vision-net.ie also showed insolvencies dropping 17% year-on-year.

Companies in the hospitality sector were the most in danger of failing, with 44% classified as high risk.

There are currently 196,670 companies trading as normal in Ireland, compared with 178,907 at the beginning of the recession.

Vision-net.ie managing director Christine Cullen said:

"Combined with a fall in insolvencies, an increase in start- ups across all regions and evidence of greater access to credit and growth in rural areas, the figure indicates ongoing nationwide recovery, with new businesses spread across a number of diverse sectors".