Starting a business in Ireland involves choosing the right business structure, checking legal requirements, registering for tax, managing accounting and compliance, and developing a realistic plan for finding customers and generating revenue. This guide explains the main steps for entrepreneurs, small-business owners, international founders and people considering self-employment in Ireland.
The main business structures recognised by Revenue are a sole trader, partnership or company. The appropriate structure depends on factors such as liability, taxation, ownership, administration and the nature of the business.
Ireland has a diverse economy with established sectors including technology, financial and business services, pharmaceuticals and life sciences, food and drink, engineering, tourism, construction, retail and professional services.
Ireland is also home to a large SME sector. This means that entrepreneurs can serve consumers, local businesses, larger companies or international customers.
Potential business models range from a one-person consulting business to an online company, retail operation, professional practice, technology startup, food business or larger employer.
| Step | Main Action |
|---|---|
| 1 | Choose and validate your business idea |
| 2 | Research your customers and competitors |
| 3 | Prepare a business and financial plan |
| 4 | Choose a legal business structure |
| 5 | Choose and check your business name |
| 6 | Register the business or company where required |
| 7 | Register for the relevant taxes with Revenue |
| 8 | Check licences, permits, planning and insurance |
| 9 | Open appropriate business banking and accounting systems |
| 10 | Launch, market and monitor the business |
The first step is to define exactly what you intend to sell and who will buy it.
A business idea can be based on a professional skill, an existing industry problem, a local market opportunity, a digital product or a consumer need.
See our Small Business Ideas in Ireland guide for additional ideas.
Before registering a company or signing a lease, research whether there is sufficient demand for your product or service.
A business plan does not need to be complicated, particularly for a small one-person business. However, you should understand your expected revenue, costs and cash requirements before committing significant money.
Calculate your break-even point before starting. Knowing how many products, projects, customers or subscriptions you need each month to cover your costs can make the business decision much clearer.
Revenue describes three main forms of business organisation: sole trader, partnership and company.
| Structure | General Characteristics |
|---|---|
| Sole Trader | An individual operates the business personally and is responsible for the business's records and tax obligations. |
| Partnership | Two or more people operate a business together under a partnership structure. |
| Limited Company | A company is a separate legal entity from the people who own and run it. |
A sole trader is often considered for smaller businesses where one individual provides services or sells products directly.
Revenue states that a sole trader must have a PPSN before registering for tax. Once registered, the sole trader's Tax Reference Number is their PPSN.
Revenue also states that self-employed individuals pay the applicable Income Tax, PRSI and USC on their net business profits.
See: Revenue – Registering as a Sole Trader .
A partnership allows two or more people to operate a business together. Partners should establish clear agreements covering ownership, responsibilities, profit sharing, decision-making and what happens if a partner leaves.
Revenue provides separate tax-registration procedures for partnerships.
A limited company is a separate legal entity from its owners. This structure can be appropriate for businesses that expect to employ people, raise finance, retain profits, have multiple shareholders or operate at a larger scale.
However, a company also has additional administration, accounting and filing requirements.
Choose a name that is suitable for your business and check whether it is already being used or could conflict with another registered name or trademark.
If a sole trader or partnership operates under a business name different from the owner's or partners' names, that business name can be registered with the Companies Registration Office.
It is important to understand that registering a business name does not create a separate legal company.
If you decide to establish a limited company, incorporation is handled by the Companies Registration Office (CRO).
The CRO provides online company incorporation through its CORE system.
The current electronic fee for incorporating a new company using Form A1 is €50. CRO fees can change, so verify the current fee before submitting an application.
You can access the official CRO website here: Companies Registration Office .
After deciding on your structure, you must determine which taxes apply to the business and register with Revenue where required.
Revenue states that businesses may have obligations involving taxes such as:
A sole trader must register with Revenue for the relevant taxes. Revenue currently provides online registration through its Revenue Online Service and other applicable registration channels.
For a sole trader, the Tax Reference Number is the same as the PPSN once the individual has been registered for tax.
A company must first obtain its CRO number. Revenue states that a new company then needs to register for tax using the appropriate process.
Depending on the company's activities, registration can cover Corporation Tax, PAYE, VAT and Relevant Contracts Tax.
Revenue states that companies not represented by a tax agent use Form TR2 for Irish resident companies, while foreign companies can use the applicable TR2 (FT) process.
Official information: Revenue – Registering a New Company for Tax .
VAT registration depends on the type and level of your business activity. You should not automatically assume that every new business must register immediately.
Revenue's current principal VAT thresholds include:
| Business Activity | Principal Threshold |
|---|---|
| Services only | €42,500 |
| Goods | €85,000 |
| Mixed goods/services where 90% or more of turnover is from qualifying goods | €85,000 |
| Certain EU distance sales / TBE services | €10,000 |
There are additional rules and exceptions, particularly for businesses involved in cross-border transactions or specific categories of goods and services.
Check the current Revenue VAT rules before relying on any threshold for your business.
Revenue – Current VAT Thresholds
If your business employs staff, you take on additional responsibilities as an employer.
These can include:
Revenue and the Workplace Relations Commission should be checked for current employer obligations.
Foreign nationals should distinguish between company registration and immigration permission.
Being able to register or own a company does not automatically give a person permission to live and work in Ireland.
Your immigration requirements depend on your nationality, existing permission, business circumstances and intended activities.
EU, EEA and Swiss nationals have different residence and work rights from non-EEA nationals. They should check the rules applicable to their specific circumstances.
Non-EEA nationals need to examine their immigration permission carefully before moving to Ireland to establish and operate a business.
Ireland's Start-up Entrepreneur Programme (STEP) allows qualifying entrepreneurs to establish a business in Ireland and work full-time in that business, subject to the programme requirements.
The current STEP application information requires evidence of €50,000 funding and an innovative business proposal, among other requirements.
The current application fee is €350.
See the official Start-up Entrepreneur Programme information before making immigration or investment decisions.
Do not assume that forming an Irish company automatically gives you the right to live or work in Ireland. Immigration permission and company registration are separate matters.
A dedicated business bank account can make bookkeeping, accounting and tax records considerably easier to manage.
Banks may request documents such as:
The exact requirements vary between banks and business structures.
Good financial records should be established from the beginning rather than after the business has already grown.
Track:
Revenue requires businesses to maintain appropriate records. The exact records and retention periods depend on the circumstances.
Insurance requirements depend on the business activity.
Potential types of insurance include:
Some sectors may also require specific licences, qualifications, certifications or regulatory approval.
If your business requires a physical premises, check planning and local authority requirements before signing a long-term lease.
This can be particularly important for:
Depending on the business, you may need planning permission, fire-safety compliance, food-safety registration, environmental approvals or other permissions.
Ireland has opportunities across many sectors. Enterprise Ireland works with Irish-owned businesses across areas including technology, life sciences, engineering, food and beverage, financial services, fintech, agritech, construction, retail and sustainability.
See our: Business Opportunities in Ireland guide.
Read our complete: Small Business Ideas in Ireland .
Ireland's Local Enterprise Office network provides local support for people starting or growing businesses.
Depending on eligibility and the particular programme, entrepreneurs may be able to access:
Support varies according to the business, location and programme.
Visit Local Enterprise Offices
Enterprise Ireland supports eligible Irish-owned companies with ambitions for growth and internationalisation.
It is particularly relevant to innovative businesses and companies that intend to develop products or services for international markets.
Potential areas include:
Startup funding can come from several sources depending on the business.
Do not assume that a grant will be available simply because a business is located in Ireland. Eligibility depends on the specific programme and business.
Online businesses can sometimes be launched with lower infrastructure requirements than premises-based businesses.
Online businesses should still consider Irish and EU requirements involving tax, VAT, consumer protection, GDPR, payments, contracts and intellectual property.
Technology entrepreneurs can build businesses around software, artificial intelligence, cybersecurity, financial technology, health technology and other specialised areas.
For technology startups, the most important early questions include:
Ireland can also be used as a base for businesses that sell internationally. This can be particularly relevant for software, professional services, specialised manufacturing, food products and other scalable businesses.
International trade can introduce additional VAT, customs, consumer, contractual and regulatory considerations, so check the rules that apply to your target market.
Dublin is Ireland's largest business centre and has a particularly large concentration of technology, financial services, professional services, international companies, tourism and education.
Potential Dublin businesses include:
Galway has important technology, medtech, education, tourism and creative sectors.
Potential opportunities include tourism, hospitality, student services, technology, creative businesses and professional services.
Startup costs can vary enormously depending on the type of business. Before launching, calculate both one-time and recurring expenses.
| Cost Category | Examples |
|---|---|
| Registration | CRO fees, business-name registration where applicable |
| Professional services | Accountant, solicitor, consultant |
| Premises | Rent, deposit, rates, utilities |
| Technology | Computer, software, hosting, websites |
| Marketing | Advertising, SEO, branding, promotional materials |
| Insurance | Public liability, professional indemnity and other applicable cover |
| Employees | Wages, employer costs, recruitment and training |
| Inventory | Products, materials and packaging |
| Transport | Vehicles, fuel, delivery and travel |
| Taxes | Income Tax, Corporation Tax, VAT and payroll taxes where applicable |
The main process is to choose a business idea, research the market, select a business structure, register the business or company where required, register for the appropriate taxes with Revenue, check licences and insurance requirements, and establish accounting and banking systems.
Yes. Sole traders can register for the relevant taxes with Revenue. A sole trader must have a PPSN before registering for tax, and once registered the Tax Reference Number is the same as the PPSN.
The current CRO electronic fee for incorporating a new company using Form A1 is €50. This is only the government registration fee and does not include possible accountant, solicitor, company-secretarial or other professional costs.
No. Depending on the circumstances, a person can operate as a sole trader or partnership instead of incorporating a limited company. The appropriate structure depends on factors including liability, tax, administration, ownership and the type of business.
VAT registration depends on the type of activity and turnover. Current principal thresholds include €42,500 for businesses supplying services only and €85,000 for businesses supplying goods, subject to the detailed Revenue rules and exceptions.
Foreign nationals may be able to establish and operate businesses in Ireland, but company registration and immigration permission are separate issues. Non-EEA nationals should check their specific immigration permission before starting a business or moving to Ireland.
The Start-up Entrepreneur Programme, or STEP, is an immigration programme for qualifying entrepreneurs who want to establish a business in Ireland. Current application requirements include an innovative business proposal and evidence of €50,000 funding, together with other eligibility requirements.
Local Enterprise Offices provide local startup and business-development support. Enterprise Ireland supports eligible Irish-owned companies with growth and international ambitions. Revenue and the CRO provide official information about taxation and company registration.
Business registration, taxation, immigration, employment, planning, licensing and regulatory requirements depend on the specific business and circumstances. The information on this page is general guidance and should not replace advice from Revenue, the CRO, Local Enterprise Office, Enterprise Ireland, Irish Immigration Service Delivery or a qualified professional.