DBI Ireland_July 2013 - RSM Farrell Grant Sparks

Public Limited Companies
Public limited companies have many of the same essential characteristics as private
limited companies but the key differences are:
• Shares in a public limited company are freely transferable.
• There is no restriction on the maximum number of members but the minimum
number is seven.
• Shares may be issued to the public and may be listed on a stock exchange.
• Certain additional reporting obligations and capital requirements apply to such
companies.
Only a public limited company can offer shares to the public, yet in this sense the
word “public” refers to the facility to issue shares under a general public offering
rather than its listing on a stock exchange. Similar to private limited companies, the
Memorandum and Articles of Association set out the guidelines for management of
the company. There is no upper limit on the level of the issued share capital, but a
minimum of €38,092 of share capital must be issued, of which 25% must be paid up.
The name of a public limited company must include the letters “plc”.
Partnerships – General and Limited
Under Irish law, a partnership is termed as the relationship that exists between two
or more individuals carrying on business with a view to profit. Most partnerships are
between individuals but partnerships can exist between an individual and a business
or corporate entity or between companies themselves. Partnerships do not have a
separate legal personality in the eyes of the law. They therefore enter into operation
in the name of their partners not their own name.
Partnership agreements are legally formalised by a written partnership agreement. If
such a case arises where a formal agreement does not exist, a partnership is governed
by the provisions of the Partnership Act of 1890. Although there is no legal obligation
to prepare accounts they usually will but have no obligation to file or publish them.
14 | DOING BUSINESS IN the republic of ireland