Saturday 9/18/21
BUSINESS

Finnish company closures increased 21% in the last quarter of 2020

There were 12,403 enterprise openings in January to March 2021
Business company
Photo: Pixabay.

According to Statistics Finland, there were 7,562 enterprise closures in October to December 2020, which is 21% more than in the corresponding period of 2019, around 1,300 more closures in absolute numbers.

The number of enterprise closures increased in almost all main industries. In absolute numbers, the highest numbers of enterprise closures were recorded in professional, scientific and technical activities (1,149), trade (1,136) and construction (970).

The relative growth of enterprise closures was highest in financial and insurance activities (48%) and in information and communication activities (41%).

Examined by region, most enterprise closures were recorded in Uusimaa, 2,848 enterprises. The number of enterprise closures was next highest in Southwest Finland (690) and Pirkanmaa (647). Compared to the previous year, enterprise closures increased most in relative terms in Lapland (41%) and Kainuu (40%).

Examined by legal form, enterprise closures of the form of natural person (sole entrepreneur) numbered 3,886 and those of the form of limited company 2,935. Enterprise closures in the form of natural persons accounted for 51% and those in the form of limited companies for 39%.

Enterprise openings

There were 12,403 enterprise openings in January to March 2021, roughly the same number as in the corresponding period of 2020.

Most enterprise openings (2,191) were recorded in professional, scientific and technical activities. The number of openings was next highest in construction (1,533) and trade (1,514).

The number of enterprise openings increased most year-on-year in the main industries of trade and manufacturing and decreased most in the main industry of transportation and storage.

Examined by region, most enterprise openings were recorded in Uusimaa, 4,824 enterprises. The number of enterprise openings was next highest in Pirkanmaa (1,171) and Southwest Finland (1,111).

The number of enterprise openings increased most in relative terms in Kainuu (15%) and North Savo (8%) from one year back, but the number of enterprise openings decreased most in South Karelia (10%).

Examined by legal form, in the first quarter of 2021, enterprise openings of the form of natural person numbered 6,664 and those of the form of limited company 5,310. Enterprise openings of the form of natural person accounted for 54% and those of the form of limited company for 43%.

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