Ireland as a Base for European Business

• Introduction
• Irish Government's Attitude To Foreign Direct Investment (FDI)
• Typical Trading Structures for Doing Business in Ireland
• Irish Tax Incentives Attracting Overseas Investment
• Banking & Finance in Ireland
• Ireland's Intellectual Property Framework (IP)
• Other Factors
• Conclusion

Introduction

Ireland's position as a base for European Business is well established.

US, UK and other foreign multi-national corporations have located their operations here as well as numerous small & medium sized enterprises (SME's).

This article sets out to identify the main reasons for this and to investigate whether the benefits in locating here still hold in the current changing world economic climate.

Companies such as Dell, Microsoft, Google, Hibernian Aviva, Palm Inc., Facebook & Intel have all made significant contributions to the success of Ireland's economy....reading as Ireland's 'who's who' of the world's largest and successful corporations. However, given the disastrous collapse in the world economy, has Ireland outlived its usefulness as a location in corporate business strategic planning?

As recently as October 22nd 2009 UK insurance giant, Aviva announced its intention to centralise its European operations to Ireland under an Irish holding company in order to cut its cost base, make significant efficiency gains and build its competitive advantage.

We have clients in international services consulting, import, export & distribution, leisure and entertainment, R & D, information & communication technologies and online marketing who have selected Ireland as the country of choice for its business location for pan-European business.

In the US, President Obama's indication of a clampdown on offshore tax havens such as Cayman Islands and Bermuda have led to a move in Ireland's direction.

In June 2009 Accenture, formerly know as Anderson consulting, announced its intended move here, which was subsequently approved by shareholders in August 2009. CEO & Chairman, William D. Green cited that Ireland would bring economic benefits and global competitiveness to the company. Further in a press release the company stated that Ireland's network of double tax treaties with the US, EU and other countries, membership of the European Union and its established corporate, legal and regulatory environment were the main reasons for moving its headquarters here. Its growing European client base and the negative publicity surrounding Bermuda/Cayman Islands were other important factors in the company's decision.

In October 2008 social networking site, Facebook, announced its decision to locate its international headquarters and staff of 70 in Ireland. Its HQ provides a range of online technical, sales and support to facebook users in Europe, Middle East and Africa. The company cited the 'world class talent pool' available here as a reason for choosing Ireland.

In the SME sector during the past 6 months we have witnessed a noticeable increase in new international business setting-up in Ireland. A common reason cited has not only been the favourable corporate tax rate but also client's see it 'as a way to get closer to their market' i.e. they have already been trading with Irish and/or European businesses and see this as the next logical step to cement their market position.