Surge in Lincoln company formations

There was a 47% increase in new company formations in Lincoln in May, according to formations experts Duport.

The 210 new businesses were formed in Lincoln in May 2012, with the previous most successful May on record being May 2011 with 143 formations.

“Lincoln’s had a massive May for company formations — its best ever, in fact,” said Managing Director of Duport, Peter Valaitis.

“The remarkable increase in formations since May last year shows that Lincoln is making huge headway in the battle to reinvigorate its local economy.

“This new record of company formations can only mean that the people of Lincoln are working hard to find new opportunities during difficult economic times.”

Michael Self, Development Manager at the Lincolnshire branch of the Federation of Small Businesses, said: “Traditionally, new business start-ups have risen during times of recession, as people use their redundancy payments to fund a new business.

“However, such a large increase is more than we would normally expect and is certainly more than local job losses would lead us to expect.

“This is very good news for Lincoln as the recovery will come from our small firms. More new businesses means more potential employment and a welcome boost for our local economy.”

Simon Beardsley, Chief Executive of Lincolnshire Chamber of Commerce, added: Against a challenging economic backdrop it’s great to hear that within Lincoln there still remains the confidence to take the opportunity to start up a new business.

“During times of increasing unemployment the volume of new business start-ups often increase as people may be investing redundancy compensation or taking the opportunity to take on a new challenge. It is very encouraging to hear that Lincoln is providing a environment in which people feel confident to take this move.

“Even though there has been a global reduction in the amount of public support directed at new business start-ups, Lincoln does still have a very active network of organisations, like the Chamber of Commerce, who have a sole focus on supporting businesses to grow and develop.”