Business Barometer

The Most and Least Risky to Do Business With So Far in 2020.

2019 saw the lowest number of insolvencies since before the economic crash, just 617 companies going out of business due to insolvency. Thankfully this trend has continued so far in 2020. Of course the economic impact and outcomes of COVID-19 and Brexit still remain open and uncertain, but for the time being the economy remains strong. We're taking a closer look at the 'risk levels' of top sectors of Ireland's economy, to see which industries are showing less risk and which are still displaying symptoms of higher risk. We have analysed key factors of all industries from Agriculture to Hospitality to give an overview of what are the most and least risky to do business with so far in 2020.

Top 5 Riskiest Industries

1) Hospitality
Avg. Credit Score = 68
Insolvencies 2019 = 73
Closures = 812 Start-ups = 1,292

2) Computers
Avg. Credit Score = 75
Insolvencies 2019 = 23
Closures = 1,051
Start-ups = 1,389

3) Construction
Avg. Credit Score = 75
Insolvencies 2019 = 73
Closures = 1,033
Start-ups = 2,242

4) Mining
Avg. Credit Score = 74
Insolvencies 2019 = 0
Closures = 31
Start-ups = 25

5) Trade & Retail
Avg. Credit Score = 75
Insolvencies 2019 = 102
Closures = 1,485
Start-ups = 2,041

Our analysis shows that even though the country is seeing a boom in the hospitality industry, up 37% since 2012 (943 vs 1292 new start-ups) it remains one of the riskiest industries to do business in Ireland. The average credit score is the lowest for this industry.

As the country battles a housing crisis the construction industry sits as the third riskiest. More and more construction companies are needed to fuel high demand, in this case demand does not equal stability and construction as it always has been remains a very risky industry.

Trade and Retail saw the most insolvencies of the top 5 riskiest industries with 102 companies or 16% of the total number of insolvencies in the year. Along with Computers the top 5 made up 42% of all insolvencies last year.

Top 5 Least Risky Industries

1) Agriculture
Avg. Credit Score = 81
Insolvencies 2019 = 3
Closures = 99
Start-ups = 655

2) Health
Avg. Credit Score = 80
Insolvencies 2019 = 12
Closures = 442
Start-ups = 785

3) Public Admin
Avg. Credit Score = 82
Insolvencies 2019 = 1
Closures = 29
Start-ups = 20

4) Fishing
Avg. Credit Score = 78
Insolvencies 2019 = 2
Closures = 22
Start-ups = 48

5) Community Service
Avg. Credit Score = 76
Insolvencies 2019 = 42
Closures = 1,272
Start-ups = 2,875

A huge drop in insolvencies is seen when looking at the top 5 least risky industries. Apart from Community Service which saw 42 insolvencies the remainder of the top 4 saw only 18 insolvencies between them, defending the fact that these remain as the least risky of all industries.

The primary sector looks strong as Agriculture and Fishing both make the Top 5 with positive average credit scores at 81 and 78 respectively even though Brexit has led us to believe it would be hardest hit.

Public Administration has the highest average credit score of all 19 industries at a strong 82, a far cry from the lowest average credit score on the list: 68 for Hospitality.

Insolvency Notices

1,409

The number of companies that have collapsed this year. This figure is down 9% compared to last year
Click here to view the list


PREDICTIVE CREDIT REPORTS

Our Credit Reports are predicting over 80% of insolvencies at up to 6 months in advance.

Appointments

LIQUIDATORS

  • 25 Companies

E8 (Notice Of Appointment Of Receiver)

  • 5 Companies

EXAMINERS

  • 0 Company

Closures

55

The number of companies that have closed this week.

New Startups

New Companies

  • 521 Companies

New Businesses

  • 391 Businesses

Important Changes

Changed Status

  • 718 Companies

HIGH COURT NOTICES

  • 3 Companies

Strike off & Struck off Companies

Strike Off

  • 374 Companies

Struck Off

  • 0 Company

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