The number of newly established companies in the Czech Republic rose sharply in 2025. According to the Czech Credit Bureau data from informaceofirmach.cz, 34,860 new firms were founded, while 17,810 businesses ceased operations, resulting in a net increase of over 17,000 companies. This represents a 23% year-on-year rise and the strongest growth since 2018, driven by economic growth, low inflation and rising consumer demand.

As in previous years, Prague remained the main hub for new business activity, accounting for more than half of all new company formations with 17,762 new firms. It was followed by South Moravia, Central Bohemia and Moravian-Silesian regions, which together with Prague represented over three-quarters of all newly established companies nationwide.

Company formation increased in 12 of the 14 regions, with the strongest growth recorded in Olomouc, Pilsen and South Moravia. Only Zlín and Liberec regions saw a slight decline. Prague also recorded the highest number of business closures, followed by South Moravia and Liberec.

By sector, most new companies were founded in trade, construction and real estate, with strong growth also seen in transport and storage. Trade also led in the number of company closures, followed by real estate and manufacturing.

Source: Prague Daily News
Prepared by the team of foreign office CzechTrade South Korea (Seoul)