LANCASHIRE has become the leading national hotspot for starting a new business.

New figures show that more than 3,900 new businesses were launched in Lancashire during 2004 making it number one in Britain.

An influx of new businesses ranging from new builders to restaurants has seen the county leave other counties in their wake.

East Lancashire Chamber of Commerce business manager Roger Gibson believes the area's inherent entrepreneurial flair was partly behind the number one slot.

"People starting up businesses can do it with just earning a wage in mind, but in Lancashire, particularly East Lancashire, these ventures tend to be growing businesses that create employment prospects for others as well.," he said.

"It is this dynamic approach which explains why they are so successful."

He stressed agencies, like the Chamber of Commerce, ensure businesses get the advise and help needed in the crucial early days of their inception.

"Businesses starting up either through enterprise agencies or ourselves are given support to get them on the right lines and advice through from the initial start-up, forming a business plan to speaking with authority to banks and other financiers."

The figures are based on data collected throughout 2004 by Startupsplus, a marketing service that monitors new and changing businesses every month for business subscribers.

Further analysis of the results also shows an incredibly diverse variety of businesses starting up in Lancashire.

Some of the most popular included employment agencies, computer services, hairdressers, beauty salons, restaurants and driving instructors.

"The data from Startups-plus shows that Lancashire has a thriving business community," said Stewart Armstrong of Selectabase, the company which runs it.

More detailed analysis of the findings is available free of charge by registering on the Startupsplus website at www.startupsplus.co.uk.