Cork startups are leading the way for new company formation – with a jump of almost 12pc in the number of firms established in the region in the first three months of 2018.
In total, 582 startups were formed in Cork in the first three months of this year, compared with 521 over the same period last year, according to data from business and credit risk analyst Vision-net, published in partnership with its new owners, international fintech company CRIF.
Overall, a total of 5,347 startups have been established this year in Ireland, working out at 62 new companies a day.
That’s just under 1pc less than the number of startups established in the first three months of 2017, which was a record year for startup launches, according to Vision-net.
Despite the recent success of Irish tech firms, the majority of the startups came from the professional services sector, which accounted for just over one in five startups in the first quarter of the year.
This was followed by finance (13pc), construction (11pc), and social and personal services, which accounted for one in 10 startups established between January and March.
“Buoyed by continued private and public investment in new property and infrastructure, Ireland’s construction and real estate sectors continue to grow from strength to strength,” said Vision-net managing director Christine Cullen.
“The economy is diversified across a range of sectors, including finance and other services.
“This is not only good for growth, but it is an essential safeguard against any future disruption to the economy.”
The real estate sector, though ninth overall in terms of share of new companies, experienced 5pc growth year-on-year in new startup formations.
Meanwhile insolvencies dropped by 39pc in the first three months of the year compared to the same period last year-from 288 to 176.
While there is no single explanation, the so-called ‘Beast from the East’ snowstorm that hit Ireland in early March may have led to legal office closures and a temporary suspension of insolvency processing, Ms Cullen said.