There was a nine per cent increase in the number of start-ups registered in the first six months of 2025 versus the same period last year.

Figures from credit risk analyst CRIFVision-Net show 12,745 start-ups were founded from January to June, up 1,469 from 11,276 in H1 2024.

The motor trade saw growth of nearly a third (32 per cent) in start-up numbers, and key economic sectors such as IT, agriculture, manufacturing (all 16 per cent), construction (13 per cent) and hotels and restaurants (six per cent) saw positive growth.

A total of 22 counties posted increases in start-up registrations year-on-year, notably Roscommon (42 per cent), Laois (32 per cent), Clare (31 per cent), Meath (27 per cent), Westmeath (24 per cent) and Kildare (21 per cent).

Counties with large urban populations including Dublin (eight per cent), Limerick (24 per cent) and Cork (eight per cent) also experienced a positive first half of the year in new start-ups.

April was the busiest month on the half, with 2,716 companies registered in the month.

“It is hugely positive to see a nine per cent increase in company start-ups compared to the first six months of last year," said Christine Cullen, managing director of CRIFVision-net.

"This robust growth, alongside strong resilience in key sectors such as agriculture, construction, manufacturing and IT. This demonstrates the inherent strength, resilience and adaptability of Irish businesses.

"These firms are continuing to innovate, pivot and seize new opportunities to help offset prevailing macroeconomic conditions."

The first six months of 2025 also saw the number (30 per cent) and value (152 per cent) of commercial judgements increase significantly year-on-year, indicating early signs of credit pressures and increased stress for companies.

The total value of judgments reached €25.9 million, more than double the total at this point last year, and the rising volume of judgments suggests more companies are falling behind on payments and struggling meet their financial commitments.

Consumer judgments have also risen sharply in the first half of the year further underscoring early signs of financial strain is not limited to the business community.

Key contributing factors to this increase include the continuing increased cost of living, inflationary pressures and economic uncertainty, all of which have put pressure on the ability of both corporates and consumers to meet their financial commitments.

Within this economic environment, there appears to be less tolerance for late payments, particularly given the cashflow challenges potentially arising from these increased consumer and business overheads.

“While the increase in corporate judgments points to mounting financial pressure, reduced creditor forbearance, and a growth in relying on legal action for debt recovery, it's crucial to look at the broader landscape," said Cullen.

"Key contributing factors include the increased cost of living, persistent inflationary pressures, tighter credit conditions and higher interest rates for businesses, all of which will put pressure on the ability of some corporates to meet their financial commitments.

“The proposal put forward by the Tánaiste last week, to permanently reduce the VAT rate for SMEs in the next budget will be a huge help in combating these issues and will be warmly welcomed by Irish business owners."

(Pic: Getty Images)