Business creation grows 4%; highest figure in last 20 years in Portugal

Company creation in the real estate sector grew 23%, with 1,025 new companies

Between January and October 2025, 45,273 companies were created in Portugal, marking an increase of almost 4% compared to the same period last year. This figure represents the highest number of new companies created in the last 20 years.

The growth in company formation covers two-thirds of the sectors of activity and almost all regions of the country, according to the Informa D&B Barometer with data as of October 31.

According to Dinheiro Vivo reporting on the data, the sectors that stood out in terms of company creation include real estate, which grew 23% with 1,025 new companies, and construction, which recorded an increase of 16% with 805 new companies.

Business services also showed an increase of 5.3%, especially in consulting activities, which grew by 6.9% with 154 new companies. Information and communication technologies grew by 9.3%, with computer programming activities increasing by 27%.

On the other hand, the transport sector suffered the most, with a 12% decline and 880 companies closing, following a downward trend that has been ongoing for over a year. Retail and general services also recorded declines of 7.1% and 1.8%, respectively.

In terms of regions, northern Portugal led the way in terms of company creation, with 14,200 new companies and an increase of 5% over the previous year. The Algarve was the only region to record a decline, with a 1.3% reduction in new company creation.

Closures and insolvencies on the decline

By the end of October, 9,622 companies had closed in Portugal, a decrease compared to the same period last year. In the last 12 months, 13,701 companies closed, representing a 13% decrease compared to the previous year. This downward trend is visible in all sectors, particularly in accommodation and catering, which recorded 333 closures, a decrease of 19%.

In terms of insolvencies, 1,676 companies initiated insolvency proceedings between January and October 2025, reflecting a decrease of 4.3%. This decline comes after two years of consecutive increases.

The manufacturing sector, in particular, saw a 26% drop in insolvencies, with the textile and fashion industries recording 100 insolvencies, although it remains the sector with the highest number of insolvencies.

Source: Dinheiro Vivo

Inês Lopes
Inês Lopes

Newspaper editor at The Portugal Resident

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