BERLIN, Sept. 12 (Xinhua) -- The number of new companies founded in Germany has fallen during the first half of 2018, figures published on Wednesday by the Federal Statistical Office show.
Under German corporate law, company owners, sole traders and other legal commercial entities must notify state authorities when they establish or dissolve a business, as well as when they transfer ownership or move abroad.
For the former category, the number of new foundations fell by an annual rate of 4.3 percent between January and June to 63,600. Foundations of smaller firms were measured at a total of 130,700 in the first half of 2018, marking a 2.5 percent decline compared to the same period last year.
At the same time, however, the number of corporate dissolutions was also down in the first half of 2018. The number of larger and smaller business which de-registered as active commercial entities decreased by an annualized 1.5 percent and 2.4 percent respectively.
The study by the Wiesbaden-based government agency distinguished between newly-founded entities in which the type of incorporation vehicle and number of employees is suggestive of a "greater economic significance" on the one hand and smaller new firms on the other.
