Business Demography - Harmonized Data Collection

National Statistical Institute

Annual Business Statistics and Business Registers Department

Hristo Temizov

State expert

Bulgaria, Sofia, 1038, 2 P.Volov Str.

[email protected]

+359 2 9857 679

Business demography describes the life cycle of the enterprises, their birth, survival and development until death. More specifically business demography supplies data on number of active enterprises, number of newborn enterprises, proportion of survived enterprises and data on changes in employment figures at specific moment in time.

Statistical Classification of Economic Activities in the European Community (NACE Rev.2)

National Classification of Economic Activities NACE Rev. 1.1 was used up to reference year 2007.

Nomenclature of Territorial Units for Statistics (NUTS).

The Business demography observed all enterprises covered by Structural Business Statistics at Sections B to N of NACE Rev.2 excluding group 64.2 (Activity of holding companies).

Number of active enterprises is the number of registered legal entities or individuals who have had turnover or employees in the reference year (t).

Newly born enterprises during the year (t):

- Enterprises that were active in the reference year (t), but were not active in year (t-1) and in year (t-2).

- Or enterprises that have been active in years (t-1) and (t-2), but with zero number of employees. Events such as mergers, dissolution, separation, change of legal form or revival excluded from newborn enterprises.

Dead enterprises during the year (t), are those that were active in the reference year (t), with at least one employee but has not been active in any year (t+1), nor in the year (t+2). Or have been active in years (t+1) and (t+2), but with zero number of employees. Events such as mergers, dissolution, separation, change of legal form or revival excluded from newborn enterprises.

Survived enterprises are newly born enterprises in years (t-1) to (t-5), which are still active in the reference year (t).

Employees are persons who work for an employer (for legal entities registered or individuals) receive payment in the form of salaries and are socially insured on the basis of an employment contract. The employment contract can be for a definite or indefinite period of time, full time or part time.

Number of persons employed is defined as the total number of persons who work in the observed enterprise (for payment or not), as well as persons who work outside, but are paid by it (e.g. sales representatives).

The observed unit is enterprise.

The Business demography observed all active enterprises covered by Structural Business Statistics at Sections B to N of NACE Rev.2 excluding group 64.2 (Activity of holding companies) that have a turnover or employment during the reference year. There are observed all enterprises that carry out an economic activity at territory of Republic of Bulgaria and have at least one employee in the labor contract during the reference period.

Territory of Republic of Bulgaria

Since 2004 - to the reference year

Not applicable

The main information source for Business demography data is the Register of statistical units of the NSI.

The Register of statistical units covers all legal units registered on the territory of Bulgaria and there is not apply any threshold for inclusion in its scope. The register has a history of events and contains enterprise birth and death dates.

The administrative part of the Register of statistical units is updated with information obtained from the Trade Register.

The statistical part of the Register of statistical units are updated based on information received from IS "Business statistics", National Revenue Agency and National Social Security Institute.

The administrative part of the Register of statistical units is updated daily with information received from the Trade Register.

The statistical part of the Register of statistical units is updated annually with monthly information on employees obtained from National Social Security Institute.

Annually there is update of the register with data from IS "Business Statistics" and National Revenue Agency.

Business demography data are based on administrative and statistical data sources that are used to update information in the Register of Statistical Units.

Before data on business demography to be provided to Eurostat there is performed validation of all data series in terms of hierarchical, inter-variable plausibility, confidentiality and completeness with EBD tool.

In data compilation process there are used different tools and techniques. Unique IT solutions and tools has been developed, in addition SPSS, Visual Fox Pro and CIF has been used for data checking, verification and secondary confidentiality treatment.

Not applied

According to Art. 2, Para. 3 of the Law on Statistics, the statistical information are produced in compliance with certain quality criteria, such as relevance, accuracy, timeliness, punctuality, accessibility and clarity, comparability and coherence.

NSI prepares and submits to Eurostat a quality report on business demography data by the end of March of the relevant year.

Regulation (EC) No 295/2008 of the European Parliament and of the Council concerning structural business statistics requires the European Commission (Eurostat) regularly (every three years) to submit a report to the European Parliament and of the Council on the quality of statistics compiled.

The main users of data are:

· Eurostat and other international organizations;

· Public administration;

· Research institutes, universities, economic analysts and students;

· Private non-governmental organizations, agencies, associations, media, etc.

· Regional Statistical Offices/Directorates/Departments of the NSI.

There has been no study on user satisfaction for the provided business demography information. NSI conducts regular User Satisfaction Survey for provided statistical information products and services, the results of which are published on the NSI website at: https://www.nsi.bg/node/11744/

Requirements of Annex IX to Regulation (EC) No 295/2008 concerning structural business statistics on business demography are met, the degree of availability and completeness of data for the individual series is 100%.

The overall accuracy of business demography data is good and disseminated data are reliable.

Not applied

Not relevent

The proportion of wrongly designated enterprises according their active/not active status is less than 1.0%.

The matching was carried out at the NACE 4-digit level, using the most detailed available information on the location of enterprise. The percent of the false matches is insignificant - it is about 0.4.

Not relevent

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Not identified

Not applied

Not relevent

Not applied

The National policy, as well as Eurostat's, allows the revision of already published data if there are serious reasons. Any revisions made in the national data are reflected in the aggregated data for the European Union.

The revised data replace already published data as soon as possible after the revision is made and users are informed.

Business demography data are available t+18 months, where t is the reference year.

Not applicable

Final results are published t+19 monthes, where t is the reference year.

The scheduled dates for data dissemination are strictly followed.

* BD deadlines:

t+18 - active, birth and survival enterprises; preliminary death enterptises; final high-growth enterprises (series:9A, 9B, 9C, 9D, 9M),

Not applied

Not relevent

Data series that are comparable to 2007 are according to NACE Rev.1.1, since 2008 are according NACE Rev.2.

The number of reference periods in time series from last break is seven. For the period 2008-2014, the time series are according to NACE Rev. 2.

The number of enterprises and the number of persons employed concern sections B to N, NACE Rev.2 are consistent between Business Demography (Annex IX) and Structural Business Statistics (Annex I).

Not relevent

There is internal coherence between the number of persons employed and number of active enterprises for sections B to N of NACE Rev.2 reported to Eurostat in annual Business register inquiry and annual business demography data.

On the NSI website are published press releases with the main results for Business demography, according to the Release Calendar for dissemination of NSI statistical surveys.

Not available

NSI on-line database 'INFOSTAT': https://infostat.nsi.bg/infostat/pages/external/login.jsf

Number of user consultations on business demography data tables that are published on the NSI website is 5,938.

Micro data are not disseminated and are not available to users.

Information service on request may be provided by the Relations with Users and e-Services Department, in accordance with the Rules for dissemination of statistical products and services of the NSI.

Number of user consultations on business demography metadata that are published on the NSI website is 1,769.

Eurostat-OECD Manual on Business Demography Statistics: http://www.oecd.org/std/39974460.pdf

NSI annually provide to Eurostat quality report on business demography data with information for the reference year.

Regulation (EC) No 223/2009 of 11 March 2009 defines common criteria for protection of confidential data and methods for sending the information to and its use by Eurostat. The Law on Statistics ensures the protection of statistical confidentiality and the use of individual data of enterprises for statistical purposes only.

The individual (primary) data are confidential according to the Law on Statistics and European legislation. To ensure their protection and inability to be identified, the aggregated indicators are also defined as confidential when:

· Criterion A - the indicator is calculated from one or two enterprises;

· Criterion B - one enterprise forms 85% or more of the total value of this indicator.

Data which are confidential according to the Law on Statistics are not published. The dissemination of individual data is done only under Art. 26 from the Law on Statistics.