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Company Law


October 2015
‘LTD or DAC?’

Assignment Topic: Eilish Reilly incorporated Tubbercurry Novelty Cakes Limited in 2005. She is the sole shareholder and there is one issues share with a nominal value of €1. Eilish and her husband Bernard are the directors of the company although Bernard takes no part or interest in the management of the company; he prefers to spend all his spare time fishing.
The company has traded very successfully and now has a turnover of €6.9 million and employs 23 people operating from three premises. Eilish has always been very careful to ensure that the company is in full compliance with the provisions of the Companies acts 1963 – 2013 and she has regular meetings with the accountancy firm who provided advice to her in respect to these matters.
Recently the accountancy firm involved, Hammer and Chisel, have begun to raise the issue as to the implications for the company of the commencement of the Companies Act 2014 on 1st June 2015. They are suggesting to her that there are a number of issues that will need to be addressed in the context of the provisions of the new act. Eilish is quite happy with the current company arrangements but has asked the accountancy firm to prepare a report for her as to their recommendations for the future structure of Tubbercurry Novelty Cakes Limited in the context of the commencement of the Companies Act 2014.

Assignment Topic
You work for this firm of accountants and you have been instructed to prepare this report. The senior partner has instructed you as follows:
The report must be in two parts;
Part A: In the context of the current organisational and operational structure of Tubbercurry Novelty Cakes Limited and keeping in mind options as to future developments should the company re-register as a LTD or a DAC?

Part B: In the context of your recommendation at ‘A’ above, detail what steps must be followed to achieve the implementation of your recommendation.

Part A: 60 marks
Part B: 40 marks

Suggested Word Limit:The suggested limit is 2,500 – 2,7500 words. However the issue is quality not quantity and as such there is no penalty for breaching the suggested limit. The word count does not include the bibliography, referencing or appendices as appropriate.Also remember the submitted assignment will account for 30% of the subject mark.
In addition to material provided in class and on Moodle it is suggested that you access the website of the Companies Registration Office at to obtain material that will support the completion of this assignment.

Additional information.

Please make sure all the act you going to use should be irish law and the Companies Act 2014 on 1st June 2015 is on
You can add some case law to support your answer .


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