Downturn fails to deter Business start-ups
More than 4,000 more start-ups were established last year than in 2007 despite the worsening economic climate, according to figures from Barclays.
The research from Barclays found 436,600 new businesses were set up in 2008, compared to 432,300 in 2007.
“These figures may seem surprising given the current economic climate,”
said Barclays local business managing director, Steve Cooper.
“There could be a number of reasons for the robust start-up market, including individuals who have been made redundant opting for self-employment.
“We should remember that there are always opportunities, even in more challenging times,” he added.
The research also revealed that the number of women starting a business rose by 9% last year, compared with only a 1% increase in male-run start-ups.
“Perhaps with women showing more interest, we will in the future see equals number of businesses started up by both men and women,” said Cooper.
The National Federation of Enterprise Agencies (NFEA) said that people are optimistic about setting up in business despite the downturn.
"Many of our member enterprise agencies are also reporting an increase in the number of people looking for business start-up advice,”
said NFEA chief executive, George Derbyshire.
“This could well be linked with people opting to give it a go as a result of a redundancy, but overall we are seeing a lot of optimism regarding enterprise, despite the economic climate.
“It is tough and entrepreneurs must ensure they are thoroughly prepared, but if you can make a business work in a recession, you are going to do really well when the upturn comes,” he added.
“Many new businesses get wrapped up with the product or service, but the important thing to remember is that it’s the customer who buys the product, pays for the service and ultimately decides the success of the business,” said Derbyshire.