23 March 2021

More companies and fewer bankruptcies during the corona crisis

In particular, there is entrepreneurship in the area, which has progressed so much that more new businesses have sprung up in 2020 than in 2019. Moreover, the number of bankruptcies is almost 50% less than in 2019.  

This progress is something to be proud of, as in the spring months throughout Denmark 2020 traders were forced to stay closed and thus lose important income. 

New businesses 
While fewer companies have gone down in 2020 in Lyngby-Taarbæk, new companies have emerged, says Dinero based on Statistics Denmark and the CVR register.  

In Lyngby-Taarbæk Municipality, the number of new companies has increased by 6.2 per cent from 2019 to 2020, which is far more than in the rest of Denmark, where there has been an increase of 0.5 per cent. 

The increase is welcomed by the chairman of the Employment Committee, Karsten Lomborg (K). He tells Sjællandske Nyheder that the figures may be influenced by the re-registration of many IVS companies. However, this does not alter the fact that it is gratifying that progress has been made. According to Danish Industry’s survey Local Business Climate, Lyngby-Taarbæk Municipality has had an increase of newly established joint-stock companies and limited liability companies from approx. 330 in 2019 to approx. 440 in 2020. A 33 per cent increase. Karsten Lomborg explains that this gives cause to celebration, especially to the entrepreneurial companies that have proven sustainable and made the shift to become LLCs. 

Karsten Lomborg further adds that Lyngby-Taarbæk Municipality has many young people who have a good entrepreneurial culture. It is also supported by DTU and DTU Science Park and new companyes are key to  be able to increase production and employment. Karsten Lomborg is grateful that so many people have decided to take risks and start a new business. 

One of the country’s best-known entrepreneurs, Martin Thorborg, CEO of Dinero, agrees with Karsten Lomborg and is particularly impressed that entrepreneurship was not put to rest, but rather blossomed in the middle of the corona crisis. Martin Thorborg tells Nordsjællandske Nyheder that the number of sole proprietorships increased by seven per cent between 11 March and the beginning of December, and this is a form of business that means that you are personally liable for bankruptcy. This suggests that entrepreneurs still have the courage and desire to start their own businesses, which is the most important part, according to Martin Thorborg. 


Source: Nordsjællandske Nyheder 


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