Serasa Experian points out that the number of new companies in Brazil exceeds 1.5 million

Between January and September 2016, 1,542,967 new companies were created in Brazil, the highest number for the period São Paulo, December 12, 2016 – Between January and September 2016, 1,542,967 new companies were created in Brazil, the highest number for the period since 2010, according to the Serasa Experian Company Birth Indicator. This is an amount 1.3% higher than that noted in the first nine months of 2015, when there were 1,522,988 births. In September/2016, the indicator pointed to the creation of 162,979 new companies, a number 6.0% less than that calculated in September/2015, when there were 173,405 births.
 
According to Serasa Experian economists, the record number of new companies created in the country from January to September 2016 was determined by the so-called entrepreneurship of necessity: given the destruction of vacancies in the formal labor market, people who lost their jobs are opening new ones companies aiming to generate some income, given the current economic difficulties.
 

 
Births of Companies by legal nature
 
The number of new Individual Microentrepreneurs (MEIs) born in the first nine months of this year was 1,220,529 against 1,159,388 in the same period of 2015, an increase of 5.3%. Limited Liability Companies recorded the creation of 133,340 units, representing a drop of 12.9% in relation to the previous interval, when 153,042 companies emerged. Creation of Sole Proprietorships fell 22.1%, the biggest drop among legal entities, with a total of 101,498 new businesses between January and September 2016; from January to September last year, the number had been 130,289. The birth of new companies of other natures increased by 9.1%, with 87,600 births in the first nine months of the year, against 80,269 in the same period of 2015. 
 
The growing formalization of business in Brazil is responsible for the constant increase in MEIs, recorded since the beginning of the historical series of the indicator. In seven years, they went from less than half of the new developments (45.9%, in 2010) to 79.1% in the last survey.
 
Births of Companies by Sector
 
The service sector continues to be the most sought after by entrepreneurs: from January to September 2016, 970,664 new companies emerged in this segment, equivalent to 62.9% of the total. Then, 439,487 commercial companies (28.5% of the total) and, in the industrial sector, 128,474 companies were opened (8.3% of the total) in this same period.
 

 
Over the last six years, there has been a constant growth in the participation of service companies in the total number of companies born in the country, from 53.0% (January to September 2010) to 62.9% (January to September 2016).
 
On the other hand, the share of the commercial sector of companies that emerge in the country has been decreasing (from 35.6%, from January to September 2010, to 28.5% in the same period of 2016). The participation of new industrial companies remains stable.
 
Birth of Companies by Region and State
 
The Southeast continues to lead the ranking of company births, with 798,054 new businesses opened between January and September 2016, or 51.7% of the total. The South Region is in second place, with 16.7% of participation and 257,784 new companies. The Northeast Region ranked third, with 16.7% (257,515 companies). The Center-West registered the opening of 134,962 companies and was responsible for 8.7% of participation, followed by the North Region, with 73,594 new companies or 4.8% of the total number of opened projects.
 
The South Region registered the highest increase in the number of births (2.4%) comparing the months between January and September 2016 with the same interval of the previous year. The Southeast region had a growth of 2.2% in the period. In the other regions, there was a decrease in the number of new developments, with the largest registered in the Northeast (6.0%), followed by the North (3.9%) and Midwest (3.5%).
 
Among the states, in the first nine months of the year, São Paulo was responsible for 28.2% of new developments, totaling 435,461. Next, the state with the highest number of new companies is Minas Gerais, with 169,815 births, 11.0% of the total. The third position in the national ranking of births from January to September goes to Rio de Janeiro, with 166,880 new developments, 10.8% of the total.
 

Methodology of the study on the Birth of Companies
For the survey of the Birth of Companies, the monthly number of new companies registered in the commercial boards of all the Federative Units of Brazil was considered, as well as the monthly calculation of the CNPJs consulted for the first time in the Serasa Experian database.