More than 700 new businesses in town

Daventry High Street
Daventry High Street

Business is booming with 717 new companies launched in Daventry district last year as Northamptonshire sees a greater percentage of growth than London or Manchester.

Statistics compiled by Suffolk-based IT company Inform Direct revealed there were 6,246 companies formed in the county in 2014, up from a previous best of 5,791.

There were 2,499 new companies launched in Northampton, South Northamptonshire had 663, Wellingborough with 654 and Kettering with 635. This brings the total number of businesses operating in the county to a high of 36,234.

Henry Catchpole, CEO of Inform Direct, said: “This is clearly an area where fledgling firms are flourishing and where people are starting to make their dreams a reality in the word of business.”

Alongside the record numbers of new companies, the research also shows that companies formed in Northamptonshire have a better chance of staying in business.

Mr Catchpole said: “The ratio of companies formed in 2014 to those dissolved is the second best in the whole of England – beating London and Manchester and only slightly behind leader Nottinghamshire.”

The number of companies based in Northamptonshire increased nearly nine per cent on last year and over five years the company population has increased by a massive 40 per cent. In London – the most prolific area for start-ups – there was only an 8.3 per cent growth in companies between 2013 and 2014.

Mr Catchpole said: “There is lots of support out there for fledgling businesses but in Northampton in particular the stats show that this support is translating into impressive business growth.”

In the UK as a whole, 586,784 new businesses were registered with Companies House taking the total number to a record high of 3,509,084. Private limited companies made up over 95% of all formations.

The are several reasons for this growth. First, there is the ease and speed with which a company can be started – usually within hours, secondly, many companies need little more than a website before they can start trading. Thirdly, there are improved channels for accessing capital.