Tag: startup

How to create a private limited company in Ireland

The first time I obtained an Australian Business Number (ABN for short) was when I was 16 when I first started freelancing. An ABN is required if you are working as an individual sole trader.

Now based in Ireland, I’ve found myself researching into similar bodies that I can form under.  In Ireland, registrations for these types of bodies are overseen by the CRO or the Companies Registration Office.  After some research, I’ve decided that the best body to form under my circumstance is via a private limited company limited by shares.

Registration is straight-forward to follow and you can also engage in services that can streamline the process.  These are not ‘umbrella companies’ or a personal limited company but rather yourself and at least one other Company Director create a company and follow through with the required documentation.

Paperwork

To set up, you can follow the directions at the CRO or you can work with accounting firms that can aid in streamlining the registration process.

You’ll be required to fill in the required paperwork with your details.

Being a Company Secretary and Company Director

If you are a non EEA-National, you will need to partner with an Irish national to be a Company Director.  Private limited companies require at least two directors, one of which must be an Irish national.

Further requirements for being a Company Secretary and Company Director are also laid out by the CRO and ODCE (Office of the Director of Corporate Enforcement).

Tax Rates

One of Ireland’s biggest advantages is that for limited companies, they qualify for corporation tax at 12.5%.  This taxation rate (along with other advantages) is a reason why many companies are setting up their EMEA headquarters in Ireland and also helps aid in encouraging start-up companies.

Another item is that, when I compare the ability to form a limited company here in Ireland versus elsewhere in Europe, I find that Ireland wins in terms of ease of formation and other associated benefits.

Send the documentation

Documents must be sent to the CRO.

Once I’ve sent through my documentation, the confirmation from the CRO was quick and they supplied a digital copy of the A1 certificate and the Articles of Association and Memorandum.  Please note that they are now referred to as the Constitution.

Business Banking

Once that is supplied, you can also go ahead and create a business banking account. Banks have different requirements in terms of the documentation that they require for identification/KYC requirements and it is a good idea to arrange a phone call with the Business Advisor regarding the paperwork.  This is very important if you are a non Irish national.

And more to come…

This is just the very beginning of the private company formation stage in Ireland, there are a number of items to look into also such as taxation and accounting.

On Tech Fuelling Growth in Ireland

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While there was a slowdown in growth in some significant luxury markets throughout the world like New York and London, other markets (the “underdogs”) such as Dublin and Detroit performed extremely well. -Dan Conn, Christie’s International Real Estate

I believe that the professional class that is being employed by the tech industry is, and has been over the past few years, fuelling the continued growth in underdog luxury retail markets like Dublin, Ireland.  This is identified in the Christie’s International Real Estate “Luxury Defined” white paper for 2016:

Dublin is a hotbed for tech investment and is attracting top industry employees from around the world.

I started getting a gut feeling about Dublin for about a year now.  I still follow news in the EU, even after moving to Australia then Canada, so stories like Google’s multimillion dollar investment in a second data centre in Ireland has caught my eye.  In December 2015, I started making queries with the Department of Foreign Affairs in Ireland about beginning my visa arrangements into Ireland because I am sensing this growth also.  In 2015, Christie’s also calculated an 11% growth in sales for Dublin and factored it two main indicators – economic growth and the tech sector.  There has been a slow and steady growth of population back into Dublin according to Reuters.  I am wondering if the growth is set on the arrivals for the tech sector? Most likely already experienced in overseas markets and also educated either in Ireland or overseas.

A stronger demographic trajectory also suggests scope for a potentially faster pace of economic growth in coming years. — KBC Bank Chief Economist Austin Hughes

My own personal experience confirms this.

The one, main thing that Dublin requires is addressing the current housing shortage, especially around the areas servicing the tech sector.

I imagine the following to happen within the next five years:

  • Plans for the growth of multi-use residential property (aka condominiums) to come into fruition.  Now, I am saying ‘multi-use’, which is not necessarily ‘high-rise’.
  • Debate surrounding aforementioned plans as it threatens the low-level charm of the city.  I totally get their concern.  I personally am not a fan of the condo high rises myself.
  • Possible innovation that can tackle the need of housing that can also meet the need for cultural and historical preservation with Dublin being seen as a low-rise city.
  • Noticeable increase in sales and pricing on residential property. If I was holding real estate, especially in cities with tech investment, I would take on a long position.

When I think of growth propelled by outside forces (ie tech sector workers moving into a new country, non-Irish tech investment), I think of volume and momentum.  In this case, I’m seeing growing volume and momentum towards overall growth in the Irish sector.