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Company Formation in Ireland

Ireland has expanded in the last three decades thanks to appropriate location of industrial policy into very attractive locality for foreign investors. Upon subsidy of initial supporting measures made by government, more than thousand foreign companies came to Ireland. Along with numerous chemical and pharmaceutical companies, they chose Ireland as a country for business also the electronic a computer manufacturers, especially the software companies and last but not least, biotechnological companies. Simultaneously, also international companies providing services domicile here, especially in the field of finances and these are highly supported.

The positive framework conditions dealing with company branch offices in the Republic of Ireland include :

  • EU membership, Euro as a currency
  • The lowest natural person income tax 12.5 per cent within the entire Europe
  • One of the most attractive packages of investment support in Europe with subvention of government to the investments with the specified amount, the research and educational programs
  • Above-average level of economic growth
  • Intensive economical alliance with USA
  • Availability of university graduates and young labour forces with natal English language

Even if, based on strongly increasing wage costs, Ireland has got into confrontation lately with relocation of enterprises into countries with low wages, a great part of Irish companies managed to be maintained up to now and to draw in new investments into the country. The acquired investments concentrate on innovative branches with high value added (like e.g. biotechnologies) and apply for Offshore-investments in the field of services (assignment of various back-office-tasks of international companies into Ireland).

Generally can be said that Ireland offers very friendly environment for investments. The company formation is possible to be realized comparatively quick and in a non-bureaucratic way with relatively low costs.

It is important right at the beginning to stress the legal situation – the legal system of Eire is not based only on parliamentary laws but also – in contrast to the legal system of continental Europe - on Irish judgements issued by a court (Common Law). The principle of case authorities is used (Case Law), which are decisive, i.e. that the individual judgements have the power of laws and become a source for judgements of the same or similar matters, which markedly makes the ensured appreciation of legally relevant circumstances difficult.

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