Ireland one of Europe's most affordable countries for starting a business

Among the top 10 EU economies analysed for the study, Ireland stood out as a highly attractive destination for entrepreneurs and digital nomads looking to start a new venture.

The number of new businesses -- including limited companies, sole traders and partners -- in Ireland last year rose 5.5% to 23,384, making 2024 the second busiest year for start-ups after 2021.

Bunq cited Ireland's low financial barriers as creating a highly attractive environment for emerging business ventures.

Specifically, the payments firm referenced the nominal €50 fee to register with the Companies Registration Office, the €1 minimum capital requirement, and an average business bank set-up cost of €7.17.

Before professional advice and excluding tax advisor fees, potential staffing costs and other overheads, these mandatory government and basic set-up costs total €58.17, the third-lowest in Europe after Greece and Portugal.

The cost of tax advice in Ireland is also fairly low at an average hourly rate of €50.

Factoring in an average of 15 hours of tax support, the projected cost of starting a business in Ireland rises to €808.17 as compared to €287 in Greece and €751 in Portugal.

In countries like Germany (€26,266) and Italy (€13,512), LLCs face significantly higher initial expenses, largely due to mandatory capital requirements.

Notably, Ireland also compares favourably on the cost of essential tax advice (€750 for 15 hours), sitting well below countries like France (€3,300) and Austria (€3,000).

For comparison, the UK’s post-Brexit start-up costs are broadly similar, with a £50 registration fee and no minimum capital requirement, but business banking and tax advisory fees can run higher.

 It costs around €800 to start a business in Ireland, according to Bunq.
Ireland's corporation tax rate of 12.5% also compares favourably with the UK (19-25%) and other EU countries.

“Starting something new takes courage, but where you start can make all the difference. Our research shows that in the right environment - like Ireland’s - ambition meets opportunity in a very real, tangible way," said Bianca Zwart, chief strategy officer at Bunq.

* This article was originally published on BusinessPlus.ie.