By subtracting the number of company dissolutions from that of start-ups, Graydon has observed that net business creation hit an all-time low in Belgium in 2014, indicates Tuesday’s edition of L’Echo. Year-on-year growth struggled to reach 0.3%. Moreover, last year, the number of entities adopting the legal status of “company” (whether PLCs, private limited companies, LLPs or other forms) fell, a first for Belgium. The actual figures recorded for 2014 were 27,794 company start-ups against 29,669 insolvencies, leaving a negative balance of 1,875.
One explanation put forward for the negative result is the increase from 10% to 25% on the taxation of liquidation profits, announced in 2013, which came into force in October 2014. In Graydon’s view, around 10,000 companies in Belgium fell victim to this measure.