If you’re considering expanding your business operations or launching a new venture with significant growth potential, understanding the public limited company structure is essential. This corporate entity offers unique advantages for businesses seeking public investment and stock exchange listings, but it also comes with specific requirements and regulatory obligations.
This article provides a detailed overview of what a public limited company in Ireland entails, how to establish one, and the key considerations for maintaining compliance with Irish corporate law.
A public limited company in Ireland is a distinct corporate entity operating under Part 17 of the Companies Act 2014. Unlike private limited companies, PLCs can offer shares to the general public and list on stock exchanges, making them suitable for larger enterprises with substantial capital needs.
The formation process for a public limited company in Ireland involves several key steps and documentation. When established, the company must include “Public Limited Company” or “Cuideachta Phoiblí Theoranta” in its name, clearly identifying its status to all stakeholders and the public.
PLC Ireland structures must have at least two directors and a qualified company secretary. They operate as separate legal entities from their shareholders, providing limited liability protection while enabling broader access to capital markets.
The regulatory framework governing public limited companies in Ireland is primarily found in Part 17 of the Companies Act 2014, which outlines specific requirements including:
Minimum share capital of €25,000 with at least 25% paid up
At least two directors (compared to one for private limited companies)
Qualified company secretary
Comprehensive constitution document
Mandatory audit requirements regardless of size
Enhanced disclosure and reporting obligations
Suggested read: Types of Companies in Ireland Explained – LTD, DAC, PLC, CLG, UC, LP
The minimum share capital requirement for a public limited company in Ireland is €25,000, with at least 25% paid up. This is significantly higher than for private limited companies, which have no minimum capital requirement.
Share Structure and Capital
PLCs must have:
Authorised share capital of at least €25,000
At least 25% of the nominal value paid up, plus any premium
Shares that may be freely transferable
The ability to issue different classes of shares (ordinary, preference, etc.)
Directorship and Management
PLC Ireland structures must have:
Minimum of two directors
At least one director who is a resident of an EEA member state
A properly qualified company secretary (if a director serves as secretary, there must be at least two directors)
Directors who meet the requirements of the Companies Act 2014, including being over 18 and not disqualified
The regulatory burden for PLC Ireland entities is significantly higher than for private limited companies. Key compliance obligations include:
Financial Reporting
Mandatory annual audits (no exemptions available)
Filing of detailed financial statements
Directors’ reports and compliance statements
Half-yearly financial reports for listed PLCs
Corporate Governance
Establishment of specialised committees (audit, remuneration, etc.)
Regular board meetings with proper minutes
Maintenance of statutory registers
Shareholder communications and annual general meetings
Ongoing Compliance
Annual returns filing with the CRO
Notification of changes to the company structure or officers
Compliance with stock exchange rules if listed
Adherence to market abuse regulations
When comparing limited company and public limited company structures, the ability to offer shares to the public is a key differentiator. However, there are several other important distinctions:
Legal Framework
PLC: Governed by Part 17 of the Companies Act 2014
Ltd: Governed by Part 2 of the Companies Act 2014
Capital Requirements
PLC: Minimum €25,000 share capital (25% paid up)
Ltd: No minimum capital requirement
Directorship
PLC: Minimum two directors
Ltd: Minimum one director
Public Share Offerings
PLC: Can offer shares to the public and list on stock exchanges
Ltd: Cannot offer shares to the public
Shareholder Limitations
PLC: Unlimited number of shareholders
Ltd: Maximum 149 shareholders
Audit Requirements
PLC: Mandatory annual audits
Ltd: Can claim audit exemptions if qualifying
Name Requirements
PLC: Must end with “Public Limited Company” or “PLC”
Ltd: Must end with “Limited” or “Ltd”
Regarding regulatory requirements, the limited company vs public limited company comparison shows significantly higher compliance obligations for PLCs, including more extensive financial reporting, corporate governance requirements, and public disclosures.
Establishing a public limited company in Ireland offers significant advantages for businesses seeking public investment and stock exchange listings. The enhanced ability to raise capital, improved market reputation, and share trading flexibility make PLCs attractive for larger enterprises with substantial growth ambitions.
Setting up a public limited company in Ireland can be complex, so it’s often a good idea to get professional help. Experts like legal advisors, company formation agents, or experienced accountants, such as our team at Nathan Trust, can guide you through the process and make sure everything is done right from the start.