How to Start a Business in Ireland: A Step-by-Step Checklist
How to start a business in Ireland, step by step: structure, name, CRO and Revenue registration, VAT, bank account and bookkeeping from day one.
- Author
- Abbey Blue Formations
- Published
- Reading time
- 7 min read
If you want to start a business in Ireland, the paperwork is more manageable than most people expect. The difficulty is knowing the order. Choose the structure before the name, register with the Companies Registration Office (CRO) before Revenue, and set up your books before your first invoice goes out.
This checklist walks you through how to start a business in Ireland from idea to first sale. It covers structure, names, registration, tax, banking and the bookkeeping habits that keep you compliant once you are trading.
Step 1: Test the idea and plan your numbers
Before you register anything, make sure the idea stands up. Your Local Enterprise Office (LEO) runs a Start Your Own Business programme covering market research, financial planning, tax, funding, marketing and bookkeeping, and there are 31 offices around the country.
A simple business plan helps too, and you will need one for a loan, grant or investor. At minimum, work out who your customers are, your start-up costs and overheads, and how long it will take to break even.
Step 2: Choose your business structure
In Ireland you can trade as a sole trader, in a partnership or through a limited company. The choice decides how you are taxed and whether you are personally liable for the business's debts.
Sole trader: quick to set up, and you pay Income Tax, PRSI and USC on your profits. There is no separation between you and the business.
Partnership: two or more people trading together, with each partner taxed on their share.
Limited company: a separate legal entity. The company pays Corporation Tax on its profits, and you pay Income Tax, PRSI and USC on what you take out.
Most people who start a business in Ireland with plans to grow or hire choose a private company limited by shares (LTD). Our guide to sole trader vs limited company in Ireland sets out the trade-offs in detail.
Step 3: Pick and check your name
For a company, the name must be available and must end in "Limited" or "Teoranta" (or Ltd / Teo). Check it against existing company names and trade marks before you pay for a logo or website. You can run a free company name check before you commit.
If you trade under any name other than your own (as a sole trader) or your full company name, you must register it as a business name with the CRO within one month of adopting it. A registered business name does not protect the name from being used by someone else, so check it against trade marks too.
Step 4: Register a company in Ireland with the CRO
To register a company in Ireland, you file a Form A1 with the CRO together with the company's constitution. The key requirements for an LTD are:
- Directors: at least one director aged 18 or over. A single-director company must have a separate company secretary.
- EEA-resident director: at least one director must live in the European Economic Area. If none does, the company needs a €25,000 bond or a Certificate of Real and Continuous Link.
- Registered office: an address in the State where official post is received.
Once the company is incorporated, you have five months to register its beneficial owners with the Register of Beneficial Ownership (RBO).
Our company formation packages handle all of this: the name check, constitution, CRO filing, RBO registration, tax registration and company secretary service. The €50 CRO fee is included.
Step 5: Register for tax with Revenue
Once you have a CRO number, you register the company with Revenue. Without a tax agent, you do this with Form TR2 (Form TR2 (FT) for a non-resident company). A tax agent can register you online through ROS. The registration covers Corporation Tax and, where they apply, VAT, employer PAYE and Relevant Contracts Tax.
Do you need to register for VAT?
You must register once your turnover exceeds, or is likely to exceed, the VAT thresholds. These are €42,500 for services and €85,000 for goods. Many businesses register voluntarily below the threshold, for example to reclaim VAT on start-up costs. Our VAT and tax registration service manages the application for you.
Hiring staff?
You must register as an employer with Revenue before you pay anyone, including yourself as a director on the payroll.
Step 6: Open a bank account and set up bookkeeping from day one
A company needs its own bank account, separate from your personal finances. Our guide to opening a business bank account in Ireland explains what to expect.
When you work out how to start a business in Ireland, bookkeeping matters as much as registration. Under the Companies Act 2014, directors must make sure the company keeps adequate accounting records that correctly record and explain its transactions. Failing to do so is a criminal offence. Revenue also expects business records to be kept for six years.
From your first transaction, keep a receipt or invoice for every sale and expense, reconcile the bank monthly and diarise your CRO, VAT and Corporation Tax deadlines. Our online bookkeeping and accounting packages keep your records, VAT returns and year-end accounts on track, so you can focus on selling.
Frequently Asked Questions
How long does it take to start a business in Ireland?
Registering as a sole trader with Revenue can be quick. A limited company takes longer because the CRO must process your Form A1 before you can register for tax or open a bank account. Processing times vary, so leave some slack before your launch date and get your paperwork right first time.
Do I need an accountant when starting a business in Ireland?
No, you are not legally required to use an accountant or tax agent. When starting a business in Ireland as a limited company, many founders still use one, because annual accounts, the CRO annual return and the Corporation Tax return all have strict deadlines.
Can a non-resident register a company in Ireland?
Yes. Non-residents can register a company in Ireland, but at least one director must be resident in the EEA. Otherwise the company needs a €25,000 bond or a Certificate of Real and Continuous Link. Non-resident companies register for tax using Form TR2 (FT), and directors may need a PPSN or equivalent Revenue identifier.
Do I have to register for VAT straight away?
Not always. Registration becomes compulsory once your turnover exceeds, or is likely to exceed, €42,500 for services or €85,000 for goods. You can choose to register earlier, which can help if you have significant start-up costs with VAT on them or if your customers are VAT-registered businesses.
What is the cheapest way to start a business in Ireland?
Registering as a sole trader has the lowest set-up cost, but you are personally liable for business debts. A limited company costs more to set up and run, yet it separates your personal assets from the business. Compare the ongoing costs, not just the set-up fee.
Ready to get your business off the ground?
Starting a business in Ireland is simpler with one team handling your formation, tax registration and bookkeeping together. Click here to use our free Formation Calculator and get an instant, clear price for setting up your company, with no hidden fees.