| Click for the Finfacts Ireland Portal Homepage |

Finfacts Business News Centre

 Irish Economy
 EU Economy
 US Economy
 UK Economy
 Global Economy
 Asia Economy


How to use our RSS feed

Follow Finfacts on Twitter

Web Finfacts

See Search Box lower down this column for searches of Finfacts news pages. Where there may be the odd special character missing from an older page, it's a problem that developed when Interactive Tools upgraded to a new content management system.


Finfacts is Ireland's leading business information site and you are in its business news section.


Finfacts Homepage

Irish Share Prices

Euribor Daily Rates

Irish Economy

Global Income Per Capita

Global Cost of Living

Irish Tax - Income/Corporate

Global News

Bloomberg News

CNN Money

Cnet Tech News


Irish Independent

Irish Times

Irish Examiner

New York Times

Financial Times

Technology News




Content Management by interactivetools.com.

News : Irish Economy Last Updated: Dec 19, 2011 - 8:06 AM

Nearly a half of businesses on the island of Ireland are winding up, contracting or simply trying to survive
By Finfacts Team
Dec 19, 2011 - 8:00 AM

Email this article
 Printer friendly page

Nearly a half of businesses on the island of Ireland are winding up, contracting or simply trying to survive according to a survey published today.

InterTradeIreland’s latest Business Monitor survey for Q3 indicates that a lack of finance for investment is constraining growth for one third of businesses in Ireland. The monitor, which surveys 1,000 companies across the island on a quarterly basis, highlighted that businesses have seen a decline in sales and cashflow, with there being a perceived lack of access to finance from the banking system.

However, despite this lack of cash, only one in 10 businesses approached their banks for funding. 70% of respondents felt that their bank had little or no understanding of their financial needs, with the manufacturing sector having the least satisfaction with their business bank relationship than those in other sectors.

Other interesting findings from the report include:

  • 60% of businesses were unaware of credit insurance and only one in ten businesses have it.
  • Of those who did restructure their credit arrangements, 60% who approached their bank and 72% who were approached by their bank were satisfied with the outcome.
  • Loans and overdrafts were not well received by business - 61% of respondents said that loans and overdrafts were either not very attractive or not at all attractive

Small businesses are still the suffering disproportionately from the economic downturn with nearly half (46%) of businesses reporting that they are winding up, contracting or simply trying to survive.

In general, the economic outlook is much the same as seen in the previous couple of years, at a consistently low level with no sign of any significant uplift. This is reflected in only 6% of companies planning to increase employment in the near future.

Aidan Gough, director of Strategy and Policy with InterTradeIreland, said: “We are faced with a complex trilemma; a decline in customers, a fall in confidence and contraction in cash with each reinforcing the other, creating a vicious circle that is difficult to break out of. The fact is that nine out of 10 businesses are reluctant to approach banks for funding. The disconnect between the funding businesses require and what banks are willing to provide is an issue that has to be addressed.”

“The Business Monitor also indicates that those who export or who have cross-border sales are significantly more likely than those who rely solely on the domestic market to report increased sales, and are less likely to have experienced a decrease. Around 33% of companies which are exporting or involved in cross-border trade are reporting increased sales, compared with only 19% of those which are operating solely in local markets. The roadmap is very clear - -  we need more companies exporting,”
concluded Aidan Gough.

Check out our new subscription service, Finfacts Premium , at a low annual charge of €25 - - if you are a regular user of Finfacts, 50 euro cent a week is hardly a huge ask to support the service.

It's a simple fact that in the prevailing economic climate, the provision of high quality content cannot be sustained through advertising alone. 

Business executives who put a premium on time and value high quality information, should use our service.

Related Articles
Related Articles

© Copyright 2011 by Finfacts.com

Top of Page

Irish Economy
Latest Headlines
Finfacts launches new news site
Irish Farmers & Milk Prices: 'Shackles' off in April; Demanding safety-net in August
Irish pension managed funds returns at over 12% year-to-date in 2015
Irish chartered accountants' salary packages surge 13% in 12 months
Irish services PMI fastest rate since late 2006; Official data up only 2.4% in 12 months
Irish Economy: Tax €893m above target in year to July — €653m from corporation tax
Fact and Fiction: Time to review Ireland's economic statistics?
Irish M&A deals H1 2015: Dutch or UK firm acquires Irish firm for €32.6bn - they are both American
Irish manufacturing PMI strong in July
Irish Economy: Fall in GNP in Q1 2015; GDP rises
Irish Economy 2015: Central Bank lauds strong recovery; Time to start paying down debt
Irish Budget 2016: Ibec demands 20 tax cuts, spending and investment rises
Low pay in Ireland; Lowest social security & corporate taxes in Europe
Ireland vs Greece: Enda Kenny's false claims on growth, taxes and debt
Irish standard of living in 2014 below Euro Area average, Italian level; Prices 5th highest in EU28
Irish goods exports rose a record 30% in April - due to fake tax-related transactions
Mexican tall ship to sail into Dublin on June 17th
Irish industrial production up 20% in first four months of 2015; Construction down 2.6% in first quarter
Irish Economy 2015: ESRI slams return to boom-time pro-cyclical fiscal policy
Irish pension fund returns in average range 1.6% - 1.8% in May 2015
Irish service sector PMI remains strong; Tax avoidance clouds data
Ireland: Official unemployment rate at 9.8% in May; Broad rate at 19% — 440,000 people
Ireland: Fiscal Council warns of dodgy forecasts, no plan; OECD warns of new property bubble
Irish Public Finances: Tax revenue in first five months of 2015 €734m ahead of target
No simple measure of economic progress in Ireland: GDP & GNP defective
Irish manufacturing PMI rises in May; Production up unbelievable 45% in year to March!
ESRI says data volatility hinders Irish economic forecasting; Tax avoidance taboo cause
Ireland at 16 in international competitiveness ranking; US, Singapore and Hong Kong on top
Irish Economy 2015: Sectors to add 200,000 jobs?; Broad jobless rate at 19%
Irish Export Performance: Myths and reality - Ireland is a poor exporter
Irish Economy: 41,300 jobs added in 12 months to Q1 2015 - Construction up 19,600
China-Ireland: Economic relationship on a slow burn
Estonia, Austria, France, Ireland head global alcohol rankings
Irish Exchequer Returns: Tax receipts under target in April but ahead in year
Irish service sector PMI rose in April
Irish manufacturing PMI remained strong in April- includes overseas manufacturing
Irish Live Register + 90,000 activation scheme numbers at 439,000 in April
Ireland: Coalition drops 2018 full-employment target
Ireland Spring Statement: Noonan promises 200,000 net new jobs by 2018
Irish Economy 2015: Retail sales volume up 1.4% in month of March