Impact of Covid-19: 29% decline in Irish start-ups

Impact of Covid-19 sees 29% decline in Irish start-ups during early stages of pandemic

 

Covid-19 has had a significant impact on businesses of all experience levels. Whether it is a company start-up or a well-established business, everybody has felt the brunt of the pandemic with lockdown and social distancing restrictions having obvious operational and financial implications for many industries.

To this end, it may not come as a complete surprise that we have experienced a marked decline in start-ups since the beginning of the pandemic.

This morning CRIF Vision-net published figures demonstrating a 29% year on year decrease in Irish start-ups since the start of the pandemic. During this time, leasing (53 start-ups, -52%), construction (237 start-ups, -49%) and the motor (29 start-ups, -49%) industries have experienced the most acute declines. This was followed by education (40 start-ups, -48%), community, social and personal activates (267 start-ups, -43%) and hospitality (131 start-ups, -41%).

Even in the best of times, the survival of a start-up isn’t guaranteed and the current climate is certainly not one that fosters growth and development.

To help combat this, we must ensure that we remain future focused and develop a robust recovery strategy for the start-up community that encourages growth and innovation. As we continue to progress on our roadmap to recovery, it is vital that industry and Government work together to fully understand the implications of the pandemic on the start-up community and to ensure that necessary supports are put in place to help start-ups rebuild and adapt to the evolving situation.

Last year Ireland recorded its highest start-up figures in 13 years, which demonstrates the capabilities and potential that exists here. We must work to protect this and to help businesses get back on their feet as soon as possible.

To know more about CRIF Visionet solutions and studies: https://www.crif.ie