Article by Miguel Ángel Lacoma Cambra, financial consultant, writer and lecturer
Statistics are meant to be broken. Especially when what we're looking for is to improve. And to stand out, of course.
Headlines like this sometimes pop up: " 85% of businesses don't make it past 10 years ." And for one reason or another, it's true. Harsh, but true.
But if you look at the statistics for our region, the picture is much more encouraging: more than 70% of the active companies are over 10 years old.
It is clear that the Bajo Cinca region stands out in business activity.
I don't know how many businesses have gone under, but the current business population pyramid is completely inverted. The majority of existing businesses are over 15 years old—62%, to be exact. Only 13% of local businesses are less than 5 years old.
This statistic demonstrates the tenacity of the entrepreneurs in the Bajo Cinca region. Businesses here are established with a long-term vision, not for a quick buck and then closure. A long-term vision, a passion for work, and a deep connection to the land —these are, in my opinion, the three key factors making the Bajo Cinca one of the most dynamic regions in Aragon. Otherwise, how can we explain that almost 30% of the businesses are over 25 years old?
So, is there no business succession?
A company that's been around for over 25 years has likely already had its leadership change within the company itself. It's already passed through a new generation. There's no need to renew the tax identification number (CIF) as long as the company is renewing itself internally. In every sense.
Furthermore, a company that has been operating for many years is doing something right, and has a high probability of continuing to do so.
As you might guess, even though they are established companies, not all of them are the same. They don't all do the same thing, nor are they all the same size.
Let's continue looking at what the statistics from Iberinform's "Insight View" Advanced Analytics tool tell us.
Of the 1208 active companies (those that file accounts with the Mercantile Registry) in the region, 40% operate in the service sector . The next largest sector is agriculture, accounting for 19% of the companies in Bajo Cinca. The construction sector is close behind at almost 18%. The industrial sector represents just over 9%. The transport sector accounts for 3% of the region's companies. The remaining sectors, combined, make up 10% of the total.
In terms of size, only 7 companies are classified as large and 42 as medium-sized . The rest are small and micro-enterprises. This structure is very typical of the Spanish economy, which is dominated by small businesses, at least in number.
In addition to all this, there are more than 700 active self-employed individuals from different sectors, who, since they do not file accounts in the Mercantile Registry, we cannot know their details.
In total, almost 2.000 active companies for a population of 25.000 inhabitants, I think that's not bad, right?
