Business closures on the rise in small towns

All bad news for the rural world. People and companies are leaving. In the latter case, As of January 1, 2021, the number of active buildings decreased by 1.06% in the Valencia Community population, which has between 1 and 500 businesses in the municipality area.. That is, the smallest settlements according to the Statistical Directory of Autonomous Companies recently published by Generalitat.

The only segments in which the advance was recorded were the segment that increased 1.16% from 501 to 1,000 and increased 3.72% from 1,001 to 2,000. On the contrary, there is a 1.37% decrease in populations exceeding 2000 and corresponding to the largest population. And in this latter case, only eleven localities showed a positive development at the end of the pandemic year 2020. El Campello had the biggest increase (4%), followed by Riba-roja (2.39%) and Xàbia (1.78%). On the other side of the scale are Villena (-3.5%), Benidorm (-2.8%) and Sant Joan d’Alacant (-2.6%). Also negative is Valencia, although below 2%.

During the period under review, the number of buildings in which companies operate decreased by 0.46% to 423,059. 374,225 traders carried out their work in these workplaces, 0.59% less than a year ago. The index records that since 2014, the lowest point in the previous 14 years, the number of firms in the Valencian Community has increased by 13.1%.

On the other hand, as of January 1, 2021, The number of companies that have active facilities within the autonomy but whose headquarters are outside of this is 11,229.. This represents 2.91% of the total and an increase of 3.87% over the previous year. These traders outnumber domestic traders in terms of number of employees. The number of firms in the Valencian Community with facilities in other regions rose to 8,478, representing 2.27% of the total. Most of these are from services (6,551), 1,076 from industry and 851 from construction.

By province, the number of traders in all three decreased by 0.39% in Castellón, 0.71% in Valencia and 0.5% in Alicante, but Alicante is the only one that continues to exceed the maximum reached in 2008, that is, when the Great Recession broke out. Of the total companies, 80.98% went to services, with a decrease of 0.45%, 12.36% to construction (0.52% less) and 6.66% to industry, a decrease of 2.43%. belongs in decline.


The tertiary sector is the majority in all regions of the Valencian Community, in all of which it exceeds 59% of its territory combined. The six regions with the highest percentage of industrial companies are El Comtat (17.27%), l’Alcoià (15.59%), Alcalatén (15.48%), Alto Vinalopó (15.32%), Vall d’Albaida (14.97%), and Orta Vinalopó (% 14.25). Rincón de Ademuz (30.57%), Alto Mijares (24.02%) and Marina Alta (20%) have the highest number of construction companies. Finally, the number of companies receiving individual legal support decreased by 0.33 percent to 202,774. Of these, 37% are women and the remaining 63% are men.

Source: Informacion


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