From tax to the workforce, skill to neutrality, let’s take a look at the top five reasons large corporations set up headquarters in Ireland.
Ireland is an attractive country for businesses abroad looking for somewhere to set up shop, and this is for a number of reasons.
In 2018, Ireland was ranked the 8th best country to set up a business in the world. Many large corporations have set up shop on the Emerald Isle for a number of reasons.
Over 1,000 FDI giants in IT or social media have made Ireland the hub for their European operations. These include Facebook, LinkedIn, Twitter, Google, and many more.
From tax to the workforce, skill to neutrality, let’s take a look at the top five reasons large corporations set up headquarters in Ireland.
5. Low corporate taxes
Ireland has a corporate tax rate of 12.5%, which is low compared to a lot of other countries in Europe, as well as being much lower than countries like the United States.
For example, the corporate tax rate in Ireland is 7% less than it is in the UK and 2.5% lower than in Germany.
If you conduct all of your business outside of Ireland, you are eligible for a complete tax deduction on this foreign income. However, if you do also conduct business in Ireland, the country has enacted 73 double taxation treaties.
This means that you can’t be taxed twice on foreign income. In turn, the Emerald Isle is the fourth most favourable country in the world for paying taxes.
4. English and proximity to the UK
Since the UK left the EU as a result of Brexit in 2020, Ireland is the only remaining English-speaking country in the union.
This is a very attractive quality for large corporations wishing to set up headquarters in Europe. While the UK took a hit from Brexit and fell behind India in terms of leading economies, it still remains one of the world’s leading economies.
The close proximity to the UK is something that is attractive to large corporations considering setting up business in Ireland.
While you will have all the benefits of EU membership with your business in Ireland, you will still be close to one of the world’s largest markets in the UK.
Moreover, Dublin is a fantastic cultural hub, so when considering the pros and cons of living in Dublin or anywhere in Ireland, think of the handy proximity to the UK.
3. Highly-skilled workforce
If you’re thinking of setting up or branching out your business to Ireland, it might be a great choice simply due to the highly-skilled workforce present in the nation.
Ireland is one of the most educated countries in the world and also has one of the most skilled workforces the world has seen.
This is in part thanks to the multinational companies that currently operate out of Dublin. Ireland has the youngest population in Europe, with a third of the people under 25 years old.
Furthermore, over half are under 35. Over 50% of these 25–35-year-olds have a third-level qualification, well above the EU average of 40%.
With so many young people, and third-level educated young people at that, the workforce available is a great reason for large corporations to set up headquarters in Ireland.
2. Neutral country
While there are many technically beneficial reasons for large corporations to set up headquarters in Ireland, there are also more simple reasons, like neutrality.
Ireland has been a neutral country in international relations since the 1930s. This has, of course, varied since then, but Ireland’s general neutrality makes it a safe and convenient space to work out of.
While there are 30 members of NATO, there are only five neutral countries in Europe, and Ireland is one of them.
1. A beautiful place to live
While you could always focus on the business benefits of setting up an enterprise in Ireland, one of the most important factors is the beauty and intrigue of the country itself.
Ireland is a country with a devastating and fascinating history, beauty in every county, and friendly and welcoming people wherever you go.
Each county on the Emerald Isle is different and brimming with places to explore and sights to see. With a mix of city life and rural countryside to explore, it’s an incredible place to set up your corporation.
