• 5,276 limited companies registered in the first quarter of 2007

• Construction and Civil Engineering remains the top industry for new businesses with 585 new companies established since January 1st

• Donegal has overtaken Kildare as the fifth most popular

Bank of Ireland Business Banking today issued its first Business Start-Up Barometer of 2007. The Barometer tracks the number of new companies established in Ireland on a quarterly basis.  The latest results show a slight drop in Q1 company formations from 5,311 in 2006 to 5,276 in 2007. While the figures may have slowed, they are still well ahead of registrations in the same period during the first three months of 2005.   

The results from the Bank’s Business Start-up Barometer comes just weeks after the Government announced a new €21 million fund for Community Enterprise Centres, focusing on areas around the country that have recently experienced job losses. Community Enterprise Centres (CECs) provide business space in a supportive environment for entrepreneurs and serve to help the development of entrepreneurship locally in urban and rural locations.

Commenting Dr Dan McLaughlin, Group Chief Economist, Bank of Ireland said: “Ultimately, the performance of the economy is dependent upon the strength and vibrancy of the private sector and it is reassuring to see that entrepreneurs are willing to create businesses in such large numbers. Clearly they perceive opportunities across a disparate range of markets, and have confidence that the economy will continue to expand”.

According to Emer McDonnell, Business Banking Recruitment Manager, Bank of Ireland said: “We are pleased to report that over 3,000 limited companies have taken out a Business Start Up Package with Bank of Ireland since the start of the year. It is our expectation that 2006 start-up levels will be maintained throughout the year, supported by new government initiatives, SSIA maturities and a continuing positive economic backdrop”.

On a sectoral basis, construction and civil engineering still remains the dominant industry for start-ups, despite predictions of a soft landing in the sector. The real estate sector also continues as a popular choice for entrepreneurs with 296 real estate management companies and 217 real estate development and sales companies established so far this year.

Dublin continues to be the location of choice for entrepreneurs with over one third of all companies (1,845) choosing to locate in the capital. Dublin is followed by Cork with 439 new businesses, Galway with 190 businesses and Limerick with 153 businesses. Donegal is now the fifth most popular county to start a business with 119 new registrations this year.

Top 15 Locations for Business Start-ups in Ireland