The number of new companies in Brazil grew 5.1 percent in the third quarter from the previous period, as small-scale entrepreneurs begin to make bets on a nascent economic recovery, a study by credit provider Boa Vista SCPC showed on Tuesday.

According to the study, which was conducted using business registration records, the number of companies started in the first nine months of 2017 in Brazil is up 8.2 percent in annual terms.

One-person start-ups led the growth, increasing 13.2 percent year-on-year, while slightly larger companies, known as micro-companies, grew 2.8 percent. New starts among larger companies fell 19.1 percent, indicating that capital expenditure in Latin America’s largest economy is lagging, even as consumer sentiment picks up.

Over half of new companies were in the services sector, the study found. The country’s rural central-west and northern regions registered the most robust new business growth in the first nine months of 2017, while its relatively populated south-east and north-east regions experienced the weakest growth. – Reuters