Tipperary best for business in the Republic - Experian

The Experian Business Health Index is designed to provide insight into the business environment of each of the 26 counties in the Republic. To come up with the index, Experian said it analysed data across a number of variables and determined a credit risk score for every business in Ireland.

The company also analysed the number of new businesses established and the number of companies dissolved/ceased during the year to determine whether the business universe was growing or contracting in each county. The growth rate is calculated by subtracting dissolved/ceased companies from the sum of new companies established in 2011.

Tipperary achieved an index score of 89 and had the lowest number of companies in the high or maximum credit risk category (41.29pc). Laois and Monaghan follow with scores of 90 and 91 respectively - 41.48pc of Laois companies and 42.13pc of Monaghan companies were in the high or maximum credit risk category. 

At the other end of the scale, Galway came out with an index score of 114 and the highest percentage of companies in the high or maximum credit risk groups (52.47pc).

Meanwhile, counties in the South East had the strongest growth rates: Kilkenny (2.6pc), Carlow (0.9pc) and Waterford (0.7pc). 

“What the business health index tells us is that when looking at the entire business universe in Tipperary, the county has a lower proportion of businesses at risk of failure than any other county,” said Howard Lewis, managing director of Experian Ireland

“What is encouraging is that 15 of the 26 counties have a business health index of 100 or under, which means more than half the counties in Ireland are performing better than the national average in terms of the level of risk in their local business populations.”

The index reveals that the four poorest performing counties are all situated in the West / North West - namely Galway, Leitrim, Westmeath and Sligo.

“This shows that companies in this region have higher credit risk,” said Lewis. “The implications of having high credit risk means you could be extending credit to parties that may be entering financial difficulties. Today’s financial market is highly changeable and a business that looks good today could be a risk tomorrow.”

County by County Business Health Index Breakdown