- A private limited company is a business that is owned by between one and 149 shareholders.
- This is the most common type of business in Ireland.
- Private limited companies only pay 12.5% of corporation tax on its profits.
Types of Private Limited Company in Ireland
Since the introduction of the Companies Act 2014, there are 2 types of private limited company in Ireland:
- A private limited company by shares[CLS]. These companies can offer any services or goods.
- A designated activity company[DAC]. These are companies that have been set up for a specific purpose.
Main Features of a Private Limited Company by Shares[CLS]
- Only requires one director
- Must have the letters Ltd after its name
- Does not have to hold an annual general meeting[AGM]
- Cannot be a financial company
Main Features of a Designated Activity Company[DAC]
- Has to have at least 2 directors
- Must have the letters DAC after its name
- Must hold an annual general meeting
- Can be a financial company