Intercompany Agreement Template for Ireland

An Intercompany Agreement sets out the terms and conditions for business dealings between related companies within the same corporate group. These legally binding contracts are essential for Irish companies to maintain clear financial boundaries, especially when handling transfer pricing arrangements or sharing resources across subsidiaries.

Under Irish company law and Revenue guidelines, these agreements help demonstrate that transactions between related entities happen at arm's length. They outline key details like service fees, intellectual property rights, and risk allocation while protecting each company's interests. Good agreements also support tax compliance and make group audits smoother by documenting how different parts of the business work together.

Put an Intercompany Agreement in place when your Irish company starts sharing services, assets, or staff with related companies in your group. This becomes particularly important when setting up shared service centers, implementing management fee arrangements, or establishing cross-border operations with subsidiaries.

The agreement becomes crucial before your first related-party transaction, during corporate restructuring, or when Revenue scrutinizes transfer pricing. Irish tax authorities expect to see formal documentation showing how group companies interact. Having this agreement ready helps prove your transactions are legitimate, protects each entity's interests, and maintains clear financial boundaries between companies.

• Intercompany Agreement Transfer Pricing: Establishes pricing methods for transactions between related companies, meeting Revenue's arm's length requirements
• Intercompany Asset Transfer Agreement: Governs the sale or transfer of assets between group companies, including valuation and ownership terms
• Intercompany Agreement Between Parent And Subsidiary: Outlines the overall relationship and obligations between parent companies and their Irish subsidiaries
• Intercompany Lease Agreement: Covers property or equipment sharing arrangements between group entities
• Intercompany Management Fees Agreement: Details management service charges and cost allocation between group companies

• Corporate Directors: Responsible for reviewing and signing Intercompany Agreements on behalf of their respective companies within the group
• In-house Legal Teams: Draft and maintain agreements, ensuring compliance with Irish company law and group policies
• Financial Controllers: Implement and monitor the financial terms, especially for transfer pricing arrangements
• Tax Advisors: Guide structure and terms to ensure Revenue compliance and optimal tax treatment
• Group Auditors: Review agreements during annual audits to verify proper documentation of related-party transactions
• Subsidiary Management: Execute day-to-day operations according to agreement terms

• Company Details: Gather registration numbers, registered addresses, and director information for all group entities involved
• Transaction Scope: Document the specific services, assets, or resources being shared between companies
• Financial Terms: Outline pricing methods, payment terms, and calculation basis for charges
• Compliance Review: Check Revenue guidelines on transfer pricing and related-party transactions
• Internal Approvals: Secure board resolutions authorizing the agreement from each company
• Documentation: Our platform generates precise Intercompany Agreements tailored to Irish law, ensuring all essential elements are included
• Final Steps: Review terms with key stakeholders and arrange proper execution by authorized signatories

• Party Details: Full legal names, company numbers, and registered addresses of all group entities
• Service Description: Clear outline of services, goods, or resources being exchanged
• Payment Terms: Pricing methodology, payment schedules, and currency specifications
• Duration and Termination: Agreement period, renewal terms, and exit conditions
• Liability Provisions: Risk allocation and indemnification between group entities
• Data Protection: GDPR compliance measures for shared information
• Irish Law Clause: Explicit statement that Irish law governs the agreement
• Execution Block: Signature sections for authorized representatives from each entity
• Tax Compliance: Transfer pricing principles and Revenue requirements

An Intercompany Agreement differs significantly from a Asset Purchase Agreement, though both deal with business transactions. Let's explore their key differences to help you choose the right document for your situation.

• Relationship Type: Intercompany Agreements govern ongoing relationships between related companies within the same group, while Asset Purchase Agreements handle one-time transactions between independent parties
• Pricing Approach: Intercompany Agreements must satisfy transfer pricing rules and demonstrate arm's length pricing for Revenue compliance, whereas Asset Purchase Agreements typically reflect market-based negotiations
• Legal Framework: Intercompany Agreements focus on group governance and tax compliance, while Asset Purchase Agreements emphasize warranties, indemnities, and protection against third-party claims
• Duration: Intercompany Agreements usually establish long-term frameworks for continuous cooperation, whereas Asset Purchase Agreements conclude once the asset transfer is complete