In the month of June 2015, the vast majority of Ireland Companies Act 2014 came into force replacing the previous Irish company law regime. Under this, the law governing unlimited companies has, to a great extent, been carried over to a new regime, although there have been a number of significant changes. Even though the principle method of carrying business in Ireland is through a private company limited by shares, the annual statistics show that there has been a steady but slow bend towards forming Unlimited Company.
According to Section 5 (2) (c) of the Companies Act of 1953 defines an unlimited company as “a company which does not have any limit on the liability of its members”. Should the company ever enter an involuntary liquidation, its members are liable on an unlimited basis for any debts of the company that cannot be discharged from the company’s assets. The Companies Act in Ireland currently permits three types of unlimited companies, they are-
An unlimited company is formed in the same as any other company in Ireland, i.e. by submitting the CRO. The process is simple and straight-forward. The steps for starting a business in Ireland are as follows.
Once every document is scrutinized and all goes well, your application will be approved. An unlimited company can typically be formed within five working days of filing the application at the CRO.
A Limited Company in Ireland can be re-registered to an Unlimited Company. All it requires you to do is unanimous consent of all the members of the company and a special resolution.
After which a re-registration form D6 must be filled and signed by all the directors, secretary, and the company members. It must be furthers accompanied by a copy of companies audited financial statements covering a period that ends not more than three months before that date of application to re-register.
The re-registration of a limited liability company as an unlimited company and the related changes to the company's name and constitution take effect on the issue of the certificate of incorporation on re-registration. Following the re-registration, the company will, among other things, need to alter its name displayed at its registered office and other places of business, on its headed notepaper and other documents and adopt a new company seal with its new company name.
Should you want to register your unlimited liability company in Ireland, we at Business Setup Worldwide are here to serve you. Our company incorporation process is cost-effective and hassle-free. We take care of all your requirements while you sit back and relax. Contact us today to know more.