More than 39,000 new businesses were created in the North West in the first half of the year – demonstrating the continued strength of the region’s start-up culture, according to the insolvency and restructuring trade body R3.
R3’s research shows that the North West had the highest number of new businesses than anywhere in the UK except for London and East Anglia. The figures, which are based on information provided by Creditsafe, reveal that the rate of business creation has remained steady throughout the six months.
R3’s North West chair Allan Cadman, who is also a partner at insolvency firm Poppleton & Appleby, says: “Despite the current challenges facing business, the entrepreneurial culture is clearly thriving in the North West. This is great news for the regional economy as start-ups create new jobs and prosperity and drive innovation.
“They also help to replace declining industries or more traditional firms which have been unable to adapt to the changing market. This is important as the stress of the pandemic and the changes it has brought – for example remote working and the move to online trading – has made some businesses unviable and in the past two years we have seen an increased number of companies voluntarily closing down.
“However, early-stage firms tend to be more vulnerable than established businesses so entrepreneurs need to keep a close eye on their cashflow, sales pipeline and profitability. Anyone concerned about their finances or unable to pay their bills on time should seek qualified advice as soon as possible.”