Analysis from New Zealand’s largest bank has found start-ups that were born in pandemic-hit 2021 had a greater than 90 per cent survival rate over the next two years.

Between March and September 2021, there
were 62,000 small businesses started with more than 92 per cent of them still operating two years later, according to an analysis for ANZ by data insights company DOT Loves Data.

This compares to a survival rate of 90 per cent for those started in 2018, and 86 per cent for those registered in 2016, over the same two-year timeframe.

The 62,000 businesses started in 2021 were also twice as many as in the same period in 2016 or 2018.

“The changes that occurred to the economy and to our lives through Covid undoubtedly created challenges but they also created opportunities,” said Lorraine Mapu, managing director – business banking for ANZ New Zealand.

“The fact that over 92 per cent were still operating after two years, shows how clever, courageous and resourceful we are as a nation of entrepreneurs.”

Mapu said the regions were a standout.

“They underscore the strength and importance of new businesses for our regional economies.”

The data was revealed ahead of ANZ launching its new support programme called HowTwo.

HowTwo provides small businesses with fee waivers, a check-in with a business banking specialist and access to in-depth insights in their first two years in business.

“Small businesses really are the backbone of our economy and will play an important role in our economic recovery,” Mapu said.

Mapu said while it remains a challenging time, the bank had seen a sustained lift in business confidence in the past few months.

“We are seeing business customers starting to invest as that confidence lifts and our economy recovers, but it is going to take time,” she said.

According to ANZ’s latest Business Outlook survey, business confidence eased two points to +35 in February. However, firms’ expected own activity rose four points to +29.5.

A positive figure indicates more optimists than pessimists (on a net basis).

The survey saw lifts in most forward-looking indicators such as own activity, investment and employment intentions, as well as profit expectations.

Robot at your service

For brothers Raman and Vikas Sharma, Covid presented difficulties in the form of finding enough waiting staff at their two restaurants in Paihia in 2021.

So the pair looked into autonomous food delivery robots.

“I thought, why not? I’ll bring some to New Zealand for my own restaurant and try them out,” Raman said.

The BellaBot can assist with menial tasks such as carrying meals out to customers from the kitchen or taking dishes back to the kitchen.

Convinced by the robots and the value they could provide to the hospitality industry, Raman became an approved distributor in New Zealand.

The brothers started G Robotics and today the company has seven robots available which range in tasks from delivery to commercial cleaning.

“I thought these could help many other businesses,” Raman said.

“It was a bit of a slow start – but we eventually got some good clients like SkyCity, the Sudima and Jet Park hotels, Cobb & Co, and others.

“After two years, we’re finding our feet.”