Entrepreneurial spirit ‘still thriving’ despite recession

BUSINESS start-ups remained strong last year with an average of 2,800 recorded each month.

Despite the onslaught of the recession the Global Entrepreneurship Monitor (GEM) Report for Ireland 2008 said Irish entrepreneurship was at the heart of the European economy outperforming its European counterparts.

Last year’s figures show the rate of early stage entrepreneurial activity at 7.6% and the rate of established entrepreneurs running at 9% among the adult population. The rate at which individuals started businesses in Ireland, at 4.3%, continues well above the 2.7% within the EU and 3.3% for the OECD.

It compared well also with the rate of 5% in the US, the report said.

The figures were published yesterday by Tánaiste and Minister for Enterprise, Trade and Employment Mary Coughlan.

The findings of the 2008 report confirm that both the culture and Irish social norms remain broadly positive towards entrepreneurship and the aspiration among people to become entrepreneurs in the medium term remains strong. It found also that, in these more challenging times with jobs harder to come by, more people are responding by setting up their own businesses to create work for themselves.

“We need all of what is best from entrepreneurship now more than ever. The establishment of new businesses can bring many benefits to the Irish economy and can enrich the base of SMEs while adding to competitiveness, innovation and employment creation,” said the Tánaiste, in a statement accompanying the report.

Enterprise Ireland, Forfás and AIB, sponsored the survey, which confirms Ireland’s strong business culture that has kept it to the fore in Europe in that regard.

David Roberts, head of customer propositions, AIB said: “The GEM report for the first time gives an insight into the level of entrepreneurship in the different regions of Ireland and demonstrates that even in challenging times the entrepreneurial spirit remains strong.”