How to Register an Irish Company as a Non-Resident in 2026: Section 137 Bond, Requirements & Costs

Ireland is one of the best places in the world to base a business - a 12.5% corporate tax rate, full EU single-market access, and the only native English-speaking economy left in the EU after Brexit. Little wonder founders from the UK, US, India and beyond want to register an Irish company as a non-resident.

You do not need to live in Ireland to own or direct one. But one rule trips up almost every international founder: the EEA-resident director requirement, and its well-known workaround, the Section 137 Bond. This guide covers the rule, your three options, the Section 137 Bond cost, and how to set up an Irish company from abroad - fully compliant.

Can a non-resident be a director of an Irish company?

Yes. A non-resident director of an Irish company is completely legal - there is no restriction on nationality, and you can own 100% of the shares from abroad. But under Section 137 of the Companies Act 2014, every Irish company must have at least one EEA-resident director or an approved alternative. Miss this and your incorporation stalls, or an existing company becomes non-compliant.

The rule that catches everyone: residency, not citizenship

The EEA-resident director requirement is about where a director physically lives, not what passport they hold.

• You are EEA resident if you spend more than 183 days a year in an EEA country.
• The EEA means the 27 EU states plus Iceland, Liechtenstein and Norway.
• An Irish citizen living in Dubai does not qualify; a German citizen in Berlin does.

The Brexit trap for UK directors

Since 1 January 2021 the UK is outside the EEA, so a UK-resident director no longer satisfies the Section 137 requirement. Many companies formed by UK founders - before and after Brexit - are now technically non-compliant. If you need to register an Irish company from the UK and your only director lives there, you need one of the options below.

Your three options to satisfy Section 137

Most non-EEA founders choose Option 2.

1. 1Appoint an EEA-resident director. This works only if you actually have a trusted contact resident in the EEA who is willing to take on director duties and liability.
2. 2Put a Section 137 Bond in place. This is a two-year insurance bond that removes the EEA-director requirement and is usually the fastest, cleanest route for most international founders.
3. 3Apply for a real and continuous link exemption. This suits companies with genuine Irish substance, such as an office, staff, and real trading activity. You apply to Revenue, usually after incorporation, so this is better for established operations than brand-new companies.

What is a Section 137 Bond, and what does it cost?

A Section 137 Bond, also called a Non-Resident Directors Bond or Revenue Bond, is a surety bond covering certain fines or penalties, such as for a late Annual Return or tax defaults.

• Cover: €25,000 - you do not pay this amount; it is the sum insured.
• Premium: typically €1,500-€2,000 for two years, subject to current pricing.
• Term: two years, then renewable if you still have no EEA-resident director.
• Non-refundable once issued; usually issued in around 7-10 working days.

Operating with no EEA director, no bond and no exemption is a criminal offence under the Companies Act 2014 - not a corner worth cutting.

Step-by-step: how to register an Irish company as a non-resident

The full process to register an Irish company as a non-resident, in order:

1. 1Check your company name with a free name check to flag likely rejections early.
2. 2Complete IPN / VIF identity verification, which is required for non-resident directors and 25%+ shareholders.
3. 3Prepare incorporation documents, including the constitution, directors, shareholders, share structure and company activity. A private company limited by shares, or LTD, suits most startups.
4. 4Arrange your Section 137 Bond, unless you have an EEA director or exemption.
5. 5Set up a registered office using a real Irish address, not a PO box.
6. 6File with the CRO electronically and receive your Certificate of Incorporation within a few working days.
7. 7Register for tax, including Corporation Tax, VAT and PAYE where relevant, generally within one month of trading.
8. 8File beneficial ownership with the RBO, generally within five months.
9. 9Appoint a company secretary. A sole director needs a separate company secretary. Diarise your first Annual Return, which is due six months after incorporation.

Ongoing compliance after formation

As a non-resident-owned Irish company, you will need to keep up with annual B1 returns to the CRO, Section 137 Bond renewal every two years, corporation tax and VAT filings, and keeping RBO and statutory registers current. One watch-point: if most of your board lives abroad, Revenue may question corporate tax residency, so take advice early.

Typical costs at a glance

For a bundled setup, compare our Formation Packages.

Common mistakes non-resident founders make

• Assuming a UK director still counts - post-Brexit, they do not.
• Confusing citizenship with residency - an EEA passport held abroad does not qualify.
• Letting the bond lapse - arrange it before an EEA director resigns.
• Missing the six-month first B1 - late filing costs penalties and audit exemption.
• Using a home or PO-box address - you need a genuine Irish registered office.

Why register with Abbey Blue Formations

Abbey Blue Formations is a Wexford-based Authorised Trust & Company Service Provider regulated by the Department of Justice, specialising in Irish company formation for non-residents. Our Irish Company Formation for Non-Resident Directors service is fully remote and end-to-end - IPN verification, Section 137 Bond, CRO filing, registered office, company secretary and post-incorporation compliance.

Frequently asked questions