The number of start-ups in the North West is on the rise, according to figures from the UK’s insolvency and restructuring trade body R3.
R3’s research reveals that 40,300 new businesses were created in the region in the first six months of 2023 – 13% more than in the previous six months and 3% more than in the same period last year.
The figures, which are based on data from Creditsafe, show that the North West continues to create more new businesses than any other region except Greater London and East Anglia. The North West accounts for around one in 10 of all new businesses created in the UK.
R3’s North West chair Fran Henshaw, who is also Head of Corporate Recovery and Insolvency at Beever and Struthers, says: “The North West has always had a strong entrepreneurial spirit and it’s good to see the start-up culture continues to thrive. New business creation is critical for the region’s economy.
“Start-ups help replenish the existing pool of businesses and bring with them new ideas and technologies to drive innovation. The past few years have been tough for many businesses and one of the trends we have seen has been a big rise in the number of companies closing down voluntarily. Therefore new business creation is particularly important.
“However the economy remains challenging and early-stage businesses are particularly vulnerable so founders need to keep a close eye on the ‘vital signs’ such as cashflow. Anyone concerned about their business finances should seek qualified advice at an early stage.”