subsidiary vs branch office in ireland
TRANSCRIPT
Subsidiary vs. Branch Office in IrelandA presentation brought to you by LawyersIreland.eu
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Business Forms in Ireland
• A foreign investor interested in expanding his business in Ireland can choose from two legal options, namely a subsidiary or a branch office.
• The difference between them is given by the level of independency to the parent company.
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Opening a Subsidiary in Ireland >>
• Before investing in Ireland, a businessman should know that a subsidiary is an independent legal entity, different from the one set up in the country of origin.
• Investors are usually interested in this type of legal representation as the liability of the parent company can only be limited to the share capital invested in the subsidiary.
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>> Opening a Subsidiary in Ireland
• The minimum requirements imposed by the Irish Company Law related to the establishment of a subsidiary are the following:
minimum two directors;
one of the two has to be an Irish resident;
it must have a minimum share capital;
a registered office, with a registered address in Ireland.
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Opening a Branch Office in Ireland >>
• A branch office depends on the parent company and cannot take business decisions.
• The Irish Government offers various tax exemptions to foreign companies interested in opening a branch office in Ireland.
• Our Irish solicitors can present to you more details about the benefits of opening a branch office in Ireland.
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>> Opening a Branch Office in Ireland• In order to set up a branch
office, an investor should submit the next documents:
a notarized stamped copy of the
foreign company’s memorandum;
a copy of the certificate of incorporation of the parent company;
the list of directors of the parent company;
name of the Irish resident person who is authorized on the behalf of the company;
registered address of the Irish branch office.
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Comparison between Irish Branch and Subsidiary >>
• When it comes to deciding on the business forms to set up in Ireland, there are certain criteria to be taken into account:
the subsidiary is an independent entity, while the branch office depends on the parent company and may not undertake its own business activities;
the subsidiary will be subject to the Irish corporate taxation system, while the parent company will be taxed for the branch office’s activities.
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>> Comparison between Irish Branch and Subsidiary
• The other aspects to take into account are:
foreign companies are encouraged to open branch offices in Ireland by benefitting from certain incentives;
subsidiaries are subject to stricter audit requirements in Ireland compared to branch offices.
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Assistance in Opening a Company in Ireland
• If you are interested in expanding your business in Ireland, please contact our Irish lawyers, who can help you choose the best business form for your needs: either a branch or a subsidiary.
• Our law firm in Ireland can also offer you legal representation in the company registration process.
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Thank you for your attention!
For more information, please contact us at:
(+44) 203-287 0408 (for international clients)
www.lawyersireland.eu10