When forming a company one of the first questions you will need to answer is, “Why Ireland?” There are many benefits of forming a company in Ireland.
Ireland is home to many of the world’s most successful companies. Sixteen of the top twenty global technology firms are located there as are twenty-four of the twenty-five top biotech and pharma companies.
However, it is not just global giants that reap the benefits of doing business in Ireland. Many smaller companies also take advantage of the pro-business culture and ease of access to EU markets. Here are just some of the many benefits of setting up your business in Ireland.
Staying within the EU
Forming a company in Ireland allows you to enjoy all the advantages of having a business incorporated in the EU, but at a much lower corporation tax rate, with reduced bureaucracy boundaries and with a promising strategic position when entering the US- or further EU-markets.
The recent Business Environment Ranking of the Economist Intelligence Unit placed Ireland 11th globally out of 82 countries, naming it as one of the most attractive business locations in the world due to many positive reasons including the fact that Ireland is an extremely politically stable country and has a very respected regulatory regime.
Furthermore, Ireland is considered to be a low-bureaucracy, low-tax environment that is very supportive of entrepreneurs. The World Bank’s “Doing business” Report rates Ireland as the easiest place in the European Union (EU) to start a business and as having the most business-friendly tax regime of any country in Europe or the Americas, according to recent article by Enterprise Ireland.
One reason for Ireland’s foreign direct investment (FDI) success is the favourable tax regime. There are double tax treaty agreements in place with 72 other countries and the 12.5% corporate tax rate is one of the lowest in the EU.
Other advantages include an attractive holding company regime and tax incentives for certain types of investment. For example, Irish-resident companies carrying out qualifying research and development activity can avail of a ‘Knowledge Development Box’ where eligible profits are taxed at a rate of just 6.25%.
Ireland’s transport infrastructure has undergone huge redevelopment helping to ensure the public get from A to B in a more comfortable and timely manner.
A great motorway network is now in place so the major hub cities of Ireland – Dublin, Galway, Limerick & Cork are all well connected by road along with rail and bus.
Airport hubs are also enjoying an increase in government funding. State-owned airports including Dublin, Cork and Shannon received €587 million to improve their facilities according to the Irish Times.
Young & Talented Workforce
Favourable demographics and consistent investment in education ensure a plentiful supply of highly qualified workers with excellent technical, language and customer service capabilities, as well as a reputation for flexibility and innovation. The country has a strong talent pipeline with around 30% of Irish third level students enrolled in science, technology, engineering and maths (STEM).
So if you’re looking to set-up your company in Ireland and are seeking advice around how to make this beneficial business move, contact the EFM Ireland team for your free one hour consultation session. Email the team or call 0872326945.
Article created by EFM Ireland’s Business Development Director, Áine Collins.