More than 5,000 new companies were started in the first quarter of 2007, according to Bank of Ireland Business Banking's Business Start-Up Barometer.
The latest results show a slight drop in first-quarter company formations from 5,311 in 2006 to 5,276 in 2007. But while the figures may have slowed, they are still well ahead of registrations in the same period during the first three months of 2005, the bank said.
Construction and civil engineering remained the top industries for start-ups, despite predictions of a soft landing in the sector, it said. The real estate sector was also a popular choice, with 296 real estate management companies and 217 real estate development and sales companies established so far this year.
Dublin continues to be the location of choice for entrepreneurs, with more than one-third of all companies - 1,845 - choosing to locate in the capital. It is followed by Cork with 439, Galway 190 and Limerick 153. Donegal has overtaken Kildare as the fifth most popular county, with 119 start-ups this year.
"Ultimately, the performance of the economy is dependent upon the strength and vibrancy of the private sector, and it is reassuring to see that entrepreneurs are willing to create businesses in such large numbers," said Dan McLaughlin, chief economist at Bank of Ireland. "Clearly they perceive opportunities across a disparate range of markets and have confidence that the economy will continue to expand."
