July 16, 2024
Figures from the Chamber of Commerce (KvK) show that in the second quarter of 2024, more businesses have ceased operations compared to the same quarter the previous year. With a total of 33,000 businesses shutting down, there is a 12% increase this year. The number of bancrupties rose by 15% in the same period.
Explanations
The KvK stated in a press release that this increase is likely partly due to ashortage of staff. Without the right personnel, it is difficult to keep a business a float. Consequently, it is also becoming increasingly challenging for companies to find successors. Lastly, problematic debts could also play a role.
Starters
In contrast to this rise in business closures, there is a decline in the number of new businesses. Although 62,000 new businesses were registered in the second quarter of 2024, this is over 9% less than in the second quarter of 2023. The Chamber of Commerce attributes this to a changing job market. It appears that especially young people are seeing more security in employment to build their own livelihoods. Additionally, collective labor agreements have become significantly more attractive in recent years.
Construction sector
The construction sector shows the sharpest decline in new businesses. Compared to the second quarter of last year, there was a decrease of no less than 19%. Remarkably, this sector still showed growth in the number of start-ups in the third quarter of 2023.