Ireland has established itself as a Startup hub. So it’s no wonder why many companies have decided to take advantage of Ireland’s thriving business environment.
Its low corporate tax rate (which stands at 12.5%), as well as an easy company registration process are among the reasons why Ireland holds the third spot on the list of the best European countries for Startups.
But if you want to try your luck on the vibrant Irish business scene, it’s best to use all the help you can get.
Accountant Online makes the whole process of registering a Limited Company in Ireland smooth and seamless.
If you’re ready to start your new Limited Company, we’ve got all the Company Formation services you need to get started.
What information is required?
The name of your Limited Company
Who the officers will be?
Share capital and issues shares
Company registered and business address
This step requires careful consideration because the name of your new business can’t be the same as one which has already been registered with the Companies Registration Office (CRO).
In other words, you have to pick a name that is unique and distinguishable and that is in compliance with CRO regulations.
But most importantly, it’ll need to be a name that resonates with you!
The CRO doesn’t check your proposed company name in advance of you making your application. You have to do it yourself. So this will prevent later legal and trademark issues. In particular, if the name you have picked has already been registered, the CRO will reject your application. This will definitely delay your company’s registration process.
Here are a couple of tips for choosing your company’s name:
- Come up with three ideas in case your first choice is rejected
- Muster up your creativity and give it some thought
- Make sure that your company’s name reflects and radiates your core values and corporate culture
- Think from a brand-building perspective and develop something that will set you apart from your competitors
The next step is to decide who will be the Director, Company Secretary and Shareholders of your new Limited Company.
An Irish Limited Company needs to have at least one Director. This person is will be responsible for managing it on behalf of the shareholders. One of the key requirements is that the Director is an EEA Resident. But if you don’t have any Directors who live in the EEA, you’ll have to purchase a non-EEA resident bond. So this may cause a slight delay in the process if you’re not aware from the beginning. A bond insures your company for a sum of €25,000 over a period of 2 years, after which it has to be renewed. This type of insurance covers certain offences under the Companies Act 2014.
Similarly, all Irish Limited Companies are required to have a Company Secretary. In case your company has only one Director, you need to appoint a different person to act as the Secretary. This role has to be fulfilled by a reliable and trustworthy person. Company Secretary’s responsibilities include ensuring that your company’s Constitution is compliant with company law, as well as offering advice and guidance. Failure to appoint a well-versed Company Secretary with the skillset and experience necessary for ensuring your company’s compliance might result in serious fines and penalties.
Your Shareholders are those who own at least one share of your company’s stock. This means that they own a part of the company. The Shareholders and Directors can be the same people in small businesses.
There are two types of shares – authorised and issued, and you’ll have to decide on how you want to divide them..
Authorised shares refer to the maximum amount of shares that your company can give to its shareholders both now and in the future. Having a certain amount of authorised shares means that Directors don’t need to seek approval from existing shareholders to issue more. It’s recommended to have 100,000 authorised shares because if you want to issue more shares later, there’s an abundance available. The authorised shares can be increased at any time.
Issued shares are the total number of shares that have been given to the shareholders and paid for. This type of shares determines the ownership of your Limited Company. It is recommended to issue 100 shares at €1 each. For example in a single shareholder company, you can give yourself 100 shares, which means that you’ll own 100% of the company for €100.
In order to start a company in Ireland, it’s necessary to have a Registered Office Address and a Business Address.
What’s a Registered Office Address?
A Registered Office Address has to be a physical location within the Republic of Ireland. So unfortunately, it can’t be a post office (PO) box because this is your company’s official, legal addres. All your correspondence with the CRO and legal notices will be sent there. This address will be publicly disclosed on the CRO website.
In case you don’t have an office in Ireland, are running a remote business, or don’t want to use your private address as a Registered Office Address, you can opt for Accountant Online’s Registered Office Address service. That way, you’ll have all your important, legal correspondence taken care of in a timely manner.
What’s a Business Address?
If you’re working from home, or running an online or a remote business, you can use a mail-forwarding service, such as Virtual Office, to manage your business correspondence. It provides you with a Dublin address, handles your business mail, including invoices, bank statements and letters from Revenue, which will all be forwarded to you. It’s important to note that if you outsource this service, you still need to tell the tax authorities where your company is actually doing business. That is called a trading address and not included within our service.
There’s also the option of choosing our Virtual Office Service. This is a 2-in-1 solution which offers you both the Registered Office Address and Business Correspondence Address service in the same package.
What paperwork needs to be completed?
As you can see, although the procedure for registering an Irish Limited Company is not too complex, it still requires you to fully understand your legal responsibilities and obligations. If you want to take stress out of this process, it’s a good idea to have a reliable accounting company such as Accountant Online by your side.
Helpful resources to help you on this journey:
Companies Act 2014