Advantages of being a Limited Company in Ireland

There are many Advantages of setting up a Limited Company in Ireland rather than trading as a Sole Trader.

Sole trader/ Partnership versus a Limited Company

• A sole trader / partnership are an individuals in business whom are personally responsible for the debts and liabilities of the business
• A limited company takes on a separate legal entity from the individual shareholders. The shareholders are only personally responsible for the debts and liabilities of the company to the extent of their unpaid share capital
• The shareholders’ liability is limited only to the amount of share capital contributed by them
• With a Limited company the personal assets of directors or shareholders cannot be seized to pay off company debts
• Unlike a sole trader or partnership, a company has a separate legal existence, it is the company itself which owns property and that it is the company which may sue or be sued in respect of the business of the company
• The registered Business Name of a sole trader is not protected against duplication, the name of a limited liability company is protected
• A limited company in Ireland qualifies for a low corporation tax rate of 12.5%
• The Limited Company continues to trade irrespective of director or management changes until the company is wound up and dissolved