Recent statistics from the Office of National Statistics have shown there was a 3.1% increase in new businesses between 2011 and 2012. However, an increase of 25,000 businesses went bust, around 11%.
Perhaps good news for 2012 though: 270,000 businesses were born last year compared to 255,000 businesses that closed.
'The move towards economic recovery has seen birth rates being higher than death rates from 2011, but the gap has narrowed in 2012'.
London had the highest rate for new businesses at 14.8% and also the highest death rate.
This is positive news for the UK economy, with 2013 showing signs of strength across companies and businesses. Those that are struggling to stay afloat do not have to settle with liquidation. There are a number of alternative options to consider, like CVAs, pre-packs and informal agreements with creditors. For more information visit our options page to help you find what's best for your situation.