Published 30 April 2010

Follow-up newly-started enterprises in Sweden 2005

After three years, the counties with the best survival rate for new businesses set up in 2005 were Gotland, Gävleborg and Norrbotten, with
survival rates of 76, 73 and 73 percent respectively. In the county of Stockholm, the survival rate for new businesses set up in that same year was 70 percent, and the figure for both Götaland and Skåne counties wa 65 percent. Compared with the previous study, this represents very little change.

The study material included questions about the number of persons and the gender distribution amongst the management. Most of the new businesses were started and managed by a single person, and the survival rate within that group amounted to 66 percent. Broken down by gender, businesses started by women had a survival rate of 61 percent, whilst businesses started by men fared slightly better at 69 percent. The survival rate was better for businesses with more than one person in the management

In 2005, more than 69,000 people were employed by the new companies ('employed' here includes working owners of a business). Those companies that survived until 2008 had employed just over 29,500 persons when they started in 2005; but by 2008, they collectively employed 62,000 workers.

The total turnover of the companies that were started in 2005 and were still operational in 2008 amounted to 44 billion SEK, which represents just under 1.5 million SEK per business. The highest average turnover per business was found in the building branch.

12 percent of the companies that survived into 2008 willingly increased their loans so as to allow the business to expand, whilst the same percentage were willing to take on new partners for a similar reason. 27 percent were either positive or very positive towards employing more people if they could see an opportunity to increase the company's sales.

When asked to what extent various factors appear to hinder the growth of the business, fees, taxes and personnel costs were stated as the most significant obstacles. Financing and especially the availability of management skills was viewed as having relatively little consequence to growth potential.


Title
Follow-up newly-started enterprises in Sweden 2005

Serial number
Statistics 2010:02

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