Record year for South Yorkshire thanks to business boom

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South Yorkshire has smashed the record for the number of new businesses launched in the area in a single year, according to new research.

Statistics, compiled by www.informdirect.co.uk, have revealed that there were 8,318 companies formed in 2014, up from a previous best of 7,256.

This is an increase of almost 15% and brings the total number of businesses operating in the region to a high of 47,632.

Henry Catchpole (pictured), 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.”

Across the region, 3,455 new companies were formed in Sheffield, 2,427 in Doncaster, 1,329 in Rotherham and 1,107 in Barnsley.

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

When taking into consideration the number of companies that were dissolved in 2014, the growth rate for South Yorkshire stands at 7.2%, ahead of the UK average of 6.6%.

Over five years the number of businesses in the region has grown 28%.

Mr Catchpole said: “If the same rate of growth continues, South Yorkshire will register its 50,000th company during 2015.”

Last year 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.

And, while Britain has long been famed as an enterprising nation, the recent explosion in start-up activity has been exceptional.

Mr Catchpole suggests that there are three complementary factors fueling this growth.

First, there is the ease and speed with which a company can be started – usually within hours and generally for less than £20.

Secondly, many companies can successfully operate from home and need little more than a website before they can start trading.

Thirdly, there are improved channels for accessing capital.

Crowdfunding is a good example of this, making it easier for new companies to get early stage backing and therefore encouraging would-be entrepreneurs to give it a go.

In bringing together data available from Companies House and the Office of National Statistics, Inform Direct has built up a truly unique picture of how many businesses are now operating across the UK.

Inform Direct provides a cloud-based solution enabling businesses and their professional advisers to manage all their company records. The service provides an online platform for a range of actions including submitting annual returns, updating shareholder records, creating share certificates, changing your company name, producing dividend vouchers and of course forming new companies!

For more information on the figures visit www.informdirect.co.uk or contact Helen on our press team Helen@prominentpr.co.uk