How to Set Up an Entity in Ireland

Establishing a legal entity in Ireland offers a compelling gateway into the European Union, thanks to the country’s pro-business environment, highly skilled workforce, and competitive tax regime. The option to operate through a locally incorporated company provides full autonomy over income, operations, and strategy—making it particularly appealing to finance, legal, HR, and expansion professionals.

The process is relatively streamlined compared to many jurisdictions, yet it still requires attention to formal registration steps, tax registration, and social/ employment compliance. Key challenges include ensuring full compliance with the law, completing the correct filings, navigating payroll and social security obligations, and choosing the optimal legal structure. The benefits include access to Ireland’s EU market, a favorable tax environment, and a transparent regulatory system that encourages foreign investment.

Disclaimer: This content is for informational purposes only and does not constitute legal, tax, or financial advice. Always consult official sources before acting.

What does “opening an entity” mean in Ireland?

Opening an entity in Ireland essentially means incorporating a company under Irish law, thereby achieving a legal status (usually a private company limited by shares) that allows the business to operate, contract, hire employees, hold assets, and be subject to Irish tax and employment laws. For foreign investors, the common choice is a wholly-owned Irish limited company, rather than a branch.

Entity overview in Ireland

Below is an overview of the key parameters for entity incorporation in Ireland. The process is broadly similar across structures, but the most common type used by foreign investors is a private company limited by shares.

Step-by-step guide: How to open an entity in Ireland

Step 1: Choose the right structure

Irish citizens and long-term residents typically choose an LTD for most commercial activities, as it provides limited liability, operational flexibility, and minimal capital requirements. Entrepreneurs seeking a more defined business purpose or a tighter governance framework often opt for a DAC, which restricts the company’s activities to specific objects stated in its constitution. For foreign investors, the LTD is also the preferred structure, allowing 100 % foreign ownership with straightforward compliance and tax treatment. Larger ventures planning to raise capital or list on an exchange should consider a PLC, which carries higher reporting obligations but enables public share offerings.

Step 2: Verify business name availability

You must check and reserve your company name using the CRO’s online platform, known as the Companies Online Registration Environment (CORE) system. The relevant page is at the CRO site (“Registering a Company”). You can search existing company names using the CORE online search tool. The name must be unique, not misleading, and if certain words (e.g., “Bank”, “Insurance”) are included, you may need regulatory approval.

Step 3: Prepare incorporation documents

You will need the following documents:

• Form A1 (available via CRO/CORE)
• A constitution: for an LTD, this is a one-document constitution (articles of association) submitted with Form A1
• Details of directors, the company secretary, and the registered office address in Ireland
• Details of shareholders, share classes/share capital (even if minimal), and statement of compliance with the Companies Act

Step 4: Register with the CRO

You submit the incorporation package electronically via the CORE system on the CRO website. Upon successful registration, you receive a Certificate of Incorporation, a Company Registration Number (CRN), and the company becomes legally registered in Ireland.

Step 5: Register for tax and social security

Once the company is incorporated, you must register with the Revenue Commissioners (Revenue) for corporation tax, VAT (if applicable), and for employer Pay as You Earn (PAYE) and Pay Related Social Insurance (PRSI) obligations. You also need to register as an employer with the Department of Social Protection for PRSI and related payroll deductions.

Step 6: Open a corporate bank account

Opening a bank account in Ireland typically requires the company registration documents, proof of the director's and beneficial owner's identity, and often a local address. Some banks may require an in-person meeting. Note: There is no formal requirement that the account must be with an Irish bank, but using a local bank eases payroll and tax filings.

Step 7: Set up payroll and employment compliance

To legally hire employees in Ireland, you must operate the PAYE system: deduct income tax, Universal Social Charge (USC), and PRSI from employee wages, pay the employer’s PRSI contribution, maintain employment contracts compliant with Irish law, enroll in relevant benefits, and comply with Working Time, Pension, Data Protection, and other employment-law obligations.

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Post-registration obligations

After incorporation, companies in Ireland must stay compliant with local governance, tax, and employment laws. Typical requirements include:

• Tax and financial reporting: File corporate income tax returns and, if applicable, VAT returns with Revenue according to deadlines. Prepare annual financial statements under the Irish Companies Act.
• Corporate registers: Keep the register of directors, company secretary, shareholders, and beneficial owners up-to-date and file any changes with the CRO (via CORE) within the legally required timeframe.
• Compliance tracking: Monitor all tax, licensing, and corporate filing deadlines through a compliance calendar or automated reminder system to avoid penalties.
• Licenses and renewals: If your business sector requires specific licenses (e.g., financial services, healthcare), ensure you renew them as required by the issuing ministry or regulator.
• Recordkeeping: Retain accounting, payroll, HR, and transaction records for the minimum period defined by Irish law (typically 6 years) to be accessible in the event of an audit.
• Employment-law compliance: Adhere to labor, benefits, social security, and data-protection regulations, including maintaining compliant employment contracts, carrying out payroll reporting, and making required social contributions.

Taxes and financial considerations

Summarising the key tax and financial compliance obligations for a company operating in Ireland:

• Corporate income tax: 12.5% for trading (active) income. Non-trading income is taxed at 25%.
• VAT: Standard VAT rate is 23%. Reduced rates of 13.5% and 9% apply for specified goods and services. Registration is required once annual turnover exceeds €85,000 for goods or €42,500 for services, as set by the Revenue Commissioners. These thresholds apply equally to companies and other entities.
• Payroll/social contributions: Employers typically pay about 11.05% PRSI contributions on employees’ gross salary. Employee PRSI, income tax, and the USC must be deducted at source.
• Accounting standards: Irish companies must prepare annual financial statements in accordance with Irish Generally Accepted Accounting Practice (Irish GAAP) or International Financial Reporting Standards (IFRS) where applicable, and file certain information with the CRO.

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Expand internationally with Deel

Whether you’re hiring through an EOR or establishing your own local entity, Deel’s all-in-one platform gives you everything you need to expand into Ireland—quickly, compliantly, and with confidence. From market entry to ongoing operations, Deel helps you hire, onboard, and manage teams seamlessly from day one.

With Deel, you can:

• Test new regions using Deel’s local entities through our Employer of Record service—hire employees compliantly, delegate payroll and taxes, and access localized employment contracts.
• Open entities with Deel Entity Setup, where our team manages everything—from incorporation and tax registration to coordination with local experts.
• Centralize your compliance and records with Deel Entity Management, including automated filings, calendar reminders, and visibility across all entities.
• Integrate with Deel Payroll and Deel HR for compliant payments, benefits, and workforce oversight—all in one platform.

For companies transitioning from the EOR model to owned entities, Deel ensures a smooth handover and consistent compliance every step of the way. Enter new markets, onboard talent, and manage your global workforce—all through one unified platform.

FAQs

How long does it take to open an entity in Ireland?
The incorporation process typically takes 1–2 weeks once all documents are prepared and submitted through the CRO’s CORE system. Find out how long setup takes with our Entity Setup Calculator.

What is the minimum capital required?
For a private company limited by shares (LTD), there is essentially no statutory minimum share capital (for example €1). For a public company (PLC), the minimum is €25,000.

Can foreign companies own 100% of an entity in Ireland?
Yes. Foreign investors may hold 100 % of the shares in an Irish company, and there are no mandatory local shareholder requirements.

Do I need a local director or representative?
There is no formal requirement for a local resident director for most private companies, but appointing an Irish‐resident director or using a service provider is common for practical compliance and governance purposes.

How much does it cost to register an entity?
Typical setup costs (CRO registration fees plus professional support) range from approximately €300 to €1,000 (≈ USD 320-1,100), depending on the scope of services used. Find out the setup cost with our Entity Setup Calculator.

Can I hire employees before the entity is fully registered?
Typically, you should not hire employees under the company until registration is complete and employer registration is in place. However, you can use Deel’s Employer of Record (EOR) service to hire and pay talent immediately while your entity setup is in progress.

Can Deel help me open an entity in Ireland?
Yes. Deel Entity Setup manages the end-to-end process for more than 100 countries, including Ireland, taking care of documentation, filings, and local experts on your behalf.

Does Deel offer ongoing compliance and payroll support?
Yes. Deel offers both managed services and self-service tools to help you stay compliant.

If you’re using Deel Entity Management, Maintenance, EOR, or Payroll, our team handles payroll, benefits, filings, and compliance obligations on your behalf.

For teams managing their own entities, Deel Compliance Hub makes staying compliant simple by providing real-time regulatory updates, risk alerts, and workforce insights across 150+ countries. Proactively manage compliance with our Compliance Monitor, Workforce Insights, and an AI-powered Worker Classifier, staying ahead of changing employment laws.

Can I switch from Deel EOR to my own entity later?
Yes. You can transition from a Deel EOR engagement to your owned entity when you are ready—Deel supports a seamless handover and ensures continuous compliance.