Open a Business in Ireland as a Foreigner

If you have decided to open a business in Ireland as a foreigner, we have covered the registration procedures in numerous articles. The next aspect you will probably be interested in is what the costs of keeping a business running here are, and how to thrive in the market. These are the topics our specialists in company formation in Ireland focus on in the next lines.

Costs you should consider for your business in Ireland

Apart from the initial registration fees associated with setting up a company in Ireland, here are the ones to consider as you keep it running:

• the professional fees for the legal and accounting services you may need for your enterprise;
• the registered address costs, as the latest trend is for local businesses to opt for virtual offices, co-working spaces, and so on and which can start at about EUR 150 – 200 per month in towns and can exceed EUR 500 in cities;
• the use of professional services related to having a resident director and company secretary should also be considered, as they will save you time and money.

Instead of using a nominee director service, which can cost around EUR 800 per year, you can opt for the Section 137 bond, which requires a fee of EUR 1,500 – 2,000 per year for up to 2 years, and is meant to ease the access of non-Irish investors on the local market. This is a financial guarantee for local companies with directors who do not reside in the EU area.

Apart from these, there are also the utilities, marketing and promotion, and various insurances to be included on the business operating cost list.

Why should you choose Ireland to start a business?

At first sight, Ireland is similar to other European countries in terms of business registration timeframe (about 10 business days), licensing, and operating requirements. However, there are several aspects that make it unique, among which:

• the low corporate tax of 12.5%, but most importantly, the fact that while other countries adjusted it to the current economic conditions, the Irish government decided to maintain it for most companies (since 2024, groups with revenue of EUR 750 million or more pay a 15% minimum effective rate under Pillar Two);
• access to one of the most qualified workforces in Europe, as 56% of employees aged 25-34 are skilled and have third-level education degrees;
• Ireland also has a great education system, especially in the technical and business domains;
• the company dissolution rate is one of the lowest in Europe, with only 3,250 businesses being closed until the middle of 2025, while more than 23,000 enterprises were registered here in 2024.

Top performing sectors in Ireland

Also, if you need an idea to open a business in Ireland as a foreigner, some of the best-performing sectors in Ireland are:

• financial services;
• IT;
• manufacturing;
• food processing;
• pharmaceuticals.

While some of them are highly regulated and require specific expertise, others can be created following less strict requirements in terms of knowledge.

Access to some of the best business incentives in the EU

With low bureaucracy levels, as most interactions with the national and local authorities are online, Ireland is also one of the EU states to offer various incentives to businesses, as you can read below:

• a 30% tax credit (rising to 35% under Finance Act 2025 for later accounting periods) is available if you develop research and development activities, and it covers costs related to staff, materials, operations, and even subcontracted activities;
• a reduced effective corporate tax rate of 10% (6.25% until 30 September 2023) under the Knowledge Development Box on qualifying income derived from intellectual property created in Ireland;
• a corporation tax relief of up to EUR 40,000 per year (linked to employer PRSI paid) for qualifying startups in the first 5 years of activity (our Irish company formation agents can offer details about it);
• an income tax relief of up to 50% (tiers of 20%, 35% and 50%) for investors under the Employment Investment Incentive for small and medium-sized enterprises.

If this article convinced you to open a business in Ireland as a foreigner, do not hesitate to contact us and start the incorporation procedure.