Company Registration in Ireland- An Overview
Ireland has been a part of the European Union since 1973. This was the time when the UK signed the EU law treaty to become a part of the European Union. Ever since it is a member of the European Union, the country has entered into various bilateral agreements with the EU.
The process of company registration in Ireland is similar to that of the United Kingdom. Several treaties have been entered for the process of company registration in Ireland with the UK. As Ireland is a part of the EU, there are several freedoms which will affect Irish residents.
Such freedoms are the: The freedom of movement of people, the freedom of movement of goods, the freedom of movement of capital and movement of services. Hence due to these freedoms, forming a company in Ireland would be a seamless yet straightforward task for individuals in the EU.
Main Regulatory Authority for Company Registration in Ireland
The main regulatory authority for Company registration in Ireland is the CRO (Companies Registration Office). As per the CRO, there are different types of entities which carry out business in Ireland. Any applicant would have to secure the appropriate license from the CRO to commence activities in Ireland.
The law which regulates company registration in Ireland is the Companies Act, 2014. All the features of a company such as limited liability and independent entity enjoyed by a company come under the provisions of the above act.
What are the types of Entities under Company Registration in Ireland?
First and foremost, the applicant has to choose and select a suitable business structure for company registration in Ireland. There are different forms of companies that can be registered in Ireland. Hence the applicant has to first choose the appropriate form of business structure.
The following are the types of entities in Ireland:
- Private Limited Company
- Company limited by guarantee not having a share capital
- Company limited by guarantee having a share capital
- Single Member Company
- Unlimited Company
Private Limited Company
One of the most commonly formed business entity is private limited company where the company is a separate legal entity. The liability of the shareholder is limited to the amount that they have put in. In this type of business entity there should be at least 1 director and I secretary and 1 or more shareholders.
Company limited by guarantee not having a share capital
In this type of entity there should be at least 7 members. The liability of the members is limited to the amount that they have undertaken to contribute to the company’s assets.
Company limited by guarantee having a share capital
The members have liability under two heads; firstly, the amount, if any, unpaid on the shares that they hold, and secondly, the amount that they have undertaken to contribute to the assets of the company, in case where it is wound up.
Single Member Company
Single member company refers to a private company that is limited by shares incorporated by one member or whose membership is limited to one person. However, this type of company should have at least 2 directors and 1 Company Secretary.
For an unlimited company, the liability of the shareholders or members is unlimited. Such company must have a minimum of two shareholders.
Benefits of Company Registration in Ireland
The following are the benefits:
Ease of Registration
Any applicant going for the process of company registration in Ireland can take different form of benefits offered by the CRO. The process to establish or incorporate a company in Ireland is seamless and straightforward.
Member of the European Union
Ireland is the part of the European Union. This makes it easy to conduct business in the country. Citizens from the EU can secure specific amount of benefits of conducting business in Ireland.
Reputed and Dynamic Business Environment
Dublin is the financial and technology capital of Ireland. There are lot of opportunities for companies to grow and prosper in Dublin. Apart from this, there are other cities which an applicant can invest in. Such cities include Cork which is a prominent business hub in Ireland.
Ireland has a well-developed infrastructure which provides ease of doing business. Well-developed infrastructure helps in the smooth functioning of the company.
Taxation Incentives and Treaties
Ireland has Double Taxation Treaties with more than 70 countries including all the EU and the United States. Various tax incentives have helped companies to make massive amount of savings.
Eligibility Criteria for Company Registration in Ireland
The following criterion has to be sufficed for any company being registered in Ireland:
- Company Name- There is an online process and procedure for reserving the name of the company. First and foremost the applicant has to ensure that the name of the company is reserved as per the requirements of the Companies Act, 2014. For this the company would have to look into the search registry for the availability of the name.
- Beneficial Ownership- Under EU Law Article 30(1) speaks about the Anti-Money Laundering Directive to ensure all EU states comply with the requirements of the directive. With respect to the directives all companies that have a beneficial owner are supposed to record the same in the Registrar of Beneficial Ownership of Companies and Industrial and Provident Society. This society or institute which is formed in Ireland is the Registrar of Beneficial Ownership.
- Registered Place of Business- For all forms of correspondence, the company must have a physical place of business. The company can also have a Registered Office in care of an authorised agent. As per section 51 of the Companies Act, 2014 all documents which are sent to the registered office by the CRO have to be deemed to be sent to the office.
- Company Secretary- A company in Ireland should have a Company Secretary who is responsible for ensuring that all statutory obligations are fulfilled, like maintaining the books of the company, and ensuring filing of annual returns on time.
- Activity in the State- The Company which is formed in Ireland has to carry out any form of activity which is regulated by the state.
- Officers of the Company- The company must maintain a register of officers to comply with the requirements of the Companies Act, 2014. Every company must have minimum of one company secretary and two directors. The director must be above the age of 18 years and a resident from a member of the European Economic Area.
Documents Required for Company Registration in Ireland
- Form A1
- Memorandum of Association and Articles of Association
- Constitution of the Company
- Residential Address Proof of the Directors of the company
- Letter or Status of the company
- ID Proof of the Director.
Procedure for Company Registration in Ireland
Registration- There are three types of registration which can be utilised by the applicant for the process of company registration in Ireland. The following are those registrations:
- Ordinary Registration- Usually, the timeline for ordinary registration is about 15 working days. However, the guarantee of the timeline is not specific.
- Fé Phráinn Registration- This type of registration occurs within 10 days of submitting the application.
- Online A1 Registration- This type of registration is known as the fast track system related to registration and takes usually 5 working days or business days.
First and foremost the applicant has to select the mode and method of registration.
Reserve Company Name- Such a service allows the applicant to reserve the name of the company. The name of the company should be unique and should not be already in use by any other company. Name has to be reserved with the concerned authority.
Submit Company Documents- Company documents has to be submitted to the CRO, along with the application fee. The Form A1 along with the constitution of the company must be submitted. A private limited company by shares (LTD Company) has only one document that is the MOA. Articles of Association would contain the information related to the bye-laws of the company. In Form A1, the company would have to submit documents related to the company, which includes the name of the company and other information related to the activities which are conducted by the business of the company. With this a declaration has to be submitted by the company.
Grant of Certificate of incorporation- When the authority feels that there are no irregularities with the application, the certificate of registration will be granted.