The most common kind of company in Ireland is a private company limited by shares, which is an excellent choice for small firms. One director may administer a private company limited by shares (LTD) as long as it is still an EEA (European Economic Area) entity, and there is no minimum need for share capital.
Irish private company limited by shares registration
The procedures required in registering a private corporation limited by shares in Ireland are as follows:
Pick a company name
Your company’s name should be distinct from those of other Irish-registered companies. There are various regulations to follow to ensure that the name of your company is accepted by the Companies Registration Office (CRO). Worlds like “Insurance,” “Bank,” and “Group” require prior approval. Abuse will not be tolerated. Place names and phrases like “holding,” “services,” and “solutions” will not be considered. They are viewed as meaningless and non-descriptive.
Assemble a trustworthy team
Irish company creation involves more than just following the law; it also entails selecting the proper person who will contribute to the success of the business. Each Irish business has executives and staff who are in charge of management and employees whose skills depend on the business’s scope some of who are:
CEO
The CEO is in charge of a company’s general day-to-day management. They create and advance plans to achieve business objectives and guarantee that it complies with all laws and regulations. A firm’s founder stays the same even if the CEO changes. A corporation may have multiple CEOs throughout its existence.
Shareholder
In Ireland, a company’s shareholder is a person or organization that contributed funds in return for ownership shares in a firm. If a business operates well and is successful, they often get dividends. Shareholders have the option to vote on specific issues and to run for office on the board of directors. If a firm is liquidated and its assets are sold, shareholders may be entitled to a percentage of the proceeds provided that all outstanding obligations have been paid. Shareholders are not required to pay for a company’s obligations, nevertheless. Therefore, stockholders cannot be made to pay creditors.
Director
A corporate director is a person chosen by the shareholders to oversee the daily operations of the business. While big businesses may need one or more directors, the distinction between a director and a CEO is not particularly noticeable in small businesses. In Ireland, a corporation may have many directors. An EEA resident must be a director of an Irish Ltd. According to the 2014 Company Act, this is a necessity. Companies without at least one EEA officer should nominate a nominee director to represent them or get a Non-EEA Resident Director Bond. Even though each of the aforementioned jobs has distinct rights and obligations, it’s typical for one individual to serve as the founder, CEO, director, and shareholder of a firm.
Secretary
Every Irish company must have a secretary in this essential and mandatory position. Immediately after incorporation, a secretary is chosen and may later be replaced. A company secretary’s main responsibilities include assuring adherence to Irish Company Law, offering advice on different statutory obligations, and doing statutory tasks such as contacting the CRO and other authoritative organizations.
Write your constitution or by-laws
There is now a constitution for Private Limited Companies. These will describe your company’s organizational structure, as well as its concept, nature, and goals. All of these papers must be registered with a lawyer or a formation agent since they are legal documents.
Select a location
Your Irish business has to be located somewhere. A fun and important choice to make is where in Ireland to base your new business. Dublin, the capital of Ireland, is an excellent option with a fantastic startup scene but, like other cities in Western Europe, is somewhat pricey.
File with the CRO
This is the stage when your company’s registration office is finally yours! You must include the following papers in your Irish filing:
- Your bylaws;
- Confirmation of your physical location;
- Information on your directors and personnel;
- Details about your share capital;
- An explanation of the area of expertise of your business.
Open a bank account
Opening a bank account is the next stage in the registration of an Irish business. If due diligence is done, Ireland permits residents and non-residents to create business accounts. You must provide several papers. These include your certificate of incorporation, proof of identification, signed copies of your bylaws, evidence of your company’s commercial links to Ireland, and social security forms.
Obtain an authorized seal
In Ireland, every corporation is required to have a legal seal. Documents will be stamped with it as a formal indication that the Board of Directors has authorized them. Keeping Statutory Records and Registers is another legal necessity to take into consideration. These are particular records of your company’s statutory and legal issues, including information on the directors, shareholders, and meetings that have taken place.
Register with the revenue commissions
The registration for tax with the Revenue Commission is the last stage. Due to its favorable economic and tax climates, the nation is regarded as a tax haven. However, there are three different taxes that you must register for when registering a business in Ireland.
Value-added tax, social insurance, and corporation tax (VAT)
You are immediately registered for PAYE (pay as you earn) and Pay Related Social Insurance (PRSI) payments with the Irish Revenue Commissioners. You will ultimately get a Tax Identification Number that you may use to file your yearly taxes online.
You may also find these articles helpful
Breakdown of Republic of Ireland company registration fees and expenses
Guide on obtaining EORI number in Ireland
Selling a company in the Republic of Ireland – full guide
