A member of the European Union, the country of Cyprus boasts of being the third largest Island in the Mediterranean. It may be small in size but Cyprus offers numerous business opportunities to foreigners and locals alike. One of the main reasons that Cyprus attracts investors worldwide is its economic stability. While Cyprus may seem like an attractive option for many, it is advisable to weigh the pros and cons before considering company formation in Cyprus.
What are the main reasons you should invest in Cyprus?
- Strategically located at the crossroads of Europe, Africa and Asia
- Has a dynamic tourism industry
- Business-friendly government
- Lowest corporate tax in the European Union
- Stands third as a country with the fastest growing GDP (1.6%) in the European Union
- Lowest crime rate in Europe
- It has an attractive tax regime – dividend income, profits from overseas permanent establishments and sale of securities as well as international transactions are exempt from tax
- Enjoys state-of-the-art infrastructure and telecommunications network
What are the best business opportunities available in Cyprus?
Natural Gas and Oil are fast emerging as the major contributors to the economy of Cyprus.
However, the main types of businesses that profit in Cyprus’ growing economy include:
- Construction Firms
- Property Rental Market
- Clearing and Forwarding sector
- Service Industry
- Shipping Industry
How can you start your business in Cyprus?
Following are the requirements for starting a company in Cyprus
- No minimum capital required
- Minimum 1 Director (any nationality)
- Minimum 1 Shareholder (any nationality)
- 1 Company Secretary
- Local registered office address
How can you register your business in Cyprus?
For Cyprus company incorporation you have to first get your company name approved by the Cyprus Company Registrar.
Submit the following documents and forms to the Department of Registrar of Companies
- HE1 Form
- HE2 Form
- HE3 Form
- Memorandum of Association
- Articles of Association
- Passport copy of Directors and Company Secretary
- Address proof of the office
Once the Certificate of Incorporation is obtained, the company needs to obtain VAT Number by registering itself with the Tax Department. The company is required to obtain Social Contribution registration at the Ministry of Labour, Welfare and Social Insurance.