Fewer and fewer applications to CEIDG
InfoCredit Microenterprise Index
The activity of micro-entrepreneurs continues to decline. In January 2021, CEIDG received a total of 74.7 thousand applications compared to 88.04 thousand a year earlier. The trend that we noted in Q4 2020 is therefore continuing. There are not only fewer new and suspended businesses, but also fewer closed and suspended businesses.
In January 2021, 23.4 thousand businesses were established, 17.74 thousand were closed, 8.66 thousand were resumed and 24.5 thousand were suspended. For comparison – in the same period last year, it was 27.84 thousand (new), 21.76 (closed), 11.24 (resumed) and 27.2 thousand (suspended) respectively – according to CEDIG data.
The advantage of those suspending over those unsuspending in January 2021 was smaller than in December. The InfoCredit Index rose from -21,834 points to -15,816. There were 6,093 more new businesses than closed ones. This means a significant increase in the index describing the ratio of new to closed businesses from 1,306 points in December.
January this year was another month in which CEIDG received fewer applications than a year earlier. And all of them, including those for closing and suspending business. And it has been like this since October 2020.
– We are becoming less active. Not only in terms of new businesses, but also those being resumed and closed. Yes, suspensions still clearly outweigh resumptions, or even new ones, but there were fewer of them than a year ago. One of the reasons is undoubtedly the situation in the economy and the crisis, which has hit many industries very hard. It is difficult to expect anyone to open or resume seasonal activities in the tourism or catering industry for the winter, since these were suspended – says Jerzy Wonka, development director at the analytical company InfoCredit.
In his opinion, the situation is also complicated by the uncertainty related to whether the epidemic will develop or not. For now, the beginning of February has brought an increase in the number of applications, including those for new businesses, but after a few days the situation returned to normal.
– It is difficult to expect micro-entrepreneurship to flourish again in the coming weeks. Especially since the Polish labor market has shown great resistance to the epidemic. Yes, unemployment increased in December, but only to 6.2% from 6.1% in November. A slightly larger increase, according to preliminary data, was recorded in January 2021, to 6.5% (5.5% a year earlier), but the situation is still not bad. Many of us value full-time employment more in uncertain times. Those who wanted to change something in their professional life from the new year and try their hand at entrepreneurship may postpone bold decisions – adds Jerzy Wonka.
How do we calculate the InfoCredit Index?
The InfoCredit Index was created to track trends in micro-entrepreneurship, alternative forms of employment and self-employment at a time when the situation on the labor market is changing dynamically. The index, which is developed by Poland’s oldest company analyzing the economy, takes on a positive value when there are more new businesses than closures. When there are fewer than closed businesses, it is negative. In the same way, we track the ratio of resumed to suspended businesses.
