Ireland is one of the most attractive countries in the world when it comes to starting a business. The taxation system linked to a large number of incentives also make it one of the most appealing countries in Europe to setting up a startup.
Startup companies can be defined as small businesses created by one or more enterprisers with the main purpose of responding to a specific demand for a good or service. Those who want to create a startup in Ireland can request the assistance of our company formation specialists.
What to consider when setting up a startup in Ireland?
Local and foreign investors can open startup companies in Ireland by respecting the national legislation, meaning the Company Act of 2014. There is no difference between any other type of company and an Irish startup from a legal point of view. The startup, however, has a few specific characteristics, among which the fact that it needs funding for its operations which can be obtained from various sources and by the fact that most of them activate in innovative industries.
If you want to open a company in Ireland and are considering a startup, our local representatives are at your service with tailored assistance.
You can rely on our our agents if you want to register the name of your startup as trademark in Ireland.
Steps in creating a startup in Ireland
As mentioned above, the creation of an Irish startup is based on the Company Law, meaning the following steps need to be completed:
- choosing a legal entity which corresponds to the needs of the company (startups are usually deemed as small businesses);
- proposing and reserving the company name to the Companies Registrar in Ireland:
- draft and file the company incorporation documents (Articles of Association which can be drafted individually or by using the prescribed forms);
- setting up the company bank account with a local financial institution;
- registering for taxation and for employment purposes with the relevant authorities.
Returning to an important aspect and that is the fact that a startup in Ireland is considered a small business, the most employed types of structures for it are the sole proprietorship, the partnership and the private limited liability company. Among these, the last option has the most important benefits which can be explained by our Irish company formation officers.
Ireland startup creation options for non-EU citizens
When discussing the opening of a startup in Ireland, there is one important matter to respect: the nationality or nationalities of the entrepreneurs. In the case of EU, EEA and Swiss citizens, there is no need for specific visas to enter or to do business in Ireland.
For non-EU citizens, however, there two programs through which they can open companies in Ireland, including startups. These are:
- – the Start Up Entrepreneur Program (STEP);
- – the Immigrant Investor Program (IIP).
Among these, STEP is dedicated to those who dispose of a lower amount of money. Creating a startup in Ireland under STEP requires fulfilling two conditions:
- – to have an innovative idea supported by a good business plan and business model;
- – a minimum amount of 75,000 euros.
STEP is doubled by a special immigration permission which enables the non-EU citizen to come to Ireland for 12 months during which he or she can participate in training sessions that will help them prepare for the launch of their startup. The permission is available for non-EU students graduating Science, Technology, Engineering and Mathematics (STEM) education programs and who want to create a startup in Ireland.
The second program, the IIP targets high net worth individuals who can invest at least 1 million euros in a company for a minimum period of 3 years. This scheme comes with additional requirements, which can be explained by our company registration advisors in Ireland.
We can help you come here through any of these schemes if you are interested in opening a startup in Ireland.
Why open an Irish startup?
Apart from the reasons mentioned at the beginning of this article, there is so much more to Ireland that makes a great destination for opening a startup company. Among these, we can mention the following:
- – in 2017, Dublin ranked 7th out of 67 large business hubs in the Digital City Index, and 8th out of 60 cities in the 2016 European Digital City Index;
- – in 2018, Ireland ranked 11th in Forbes’ Best Countries for Business report;
- – in 2019, the number of startups in Ireland reached 17,160;
- – the largest number of 7,127 startup companies can be found in Dublin, followed by Cork with 1,498, according to the Central Statistics Office.
If you want to open a startup in Ireland, please contact our company formation agents for assistance.