New Zealand Sees Record Number of New Businesses Amid Economic Challenges

Despite a tough few years for the economy, thousands of people in New Zealand are starting new businesses. According to Stats NZ data, there were 62,061 companies incorporated in the year to July, the highest number since 2021.

The sectors with the most incorporations include trustee services and residential property investment companies, construction firms, business consultants, cleaning companies, computer software development companies, restaurants, clothing retail companies, and takeaway food companies. In June, there were 603,549 businesses across the country, up from 596,124 a year earlier.

Auckland Chamber of Commerce chief executive Simon Bridges said it was surprising to see so many new businesses being started during a tough time for the economy. However, he noted that some people may be starting businesses as a way to 'buy themselves a job' or to achieve better work-life balance.

Restaurant Association general manager Nicola Waldren pointed out that hospitality is a sector with high turnover rates, and many new restaurants are opening in Auckland. Retail NZ chief executive Carolyn Young noted that the number of business closures may be offset by businesses changing hands or being replaced.

Hnry chief executive James Fuller said his organisation was seeing strong growth in the number of people starting their own sole trader businesses. He attributed this to a desire for more control over work and remuneration, as well as a need for better work-life balance.