Open a company in Cyprus
Professional Company Formation Assistance to Unlock Your Potential in the Cyprus Market
Create your Company in Cyprus
Did you know that Cyprus is a member of the European Union, uses the Euro, and has an extremely advantageous tax regime with lower tax rates?
And that incorporating a company there is easier and faster than in most other European countries?
To request a free consultation case, please provide us with your contact details below and we will contact you via email or phone.
How can a lawyer help with company formation in Cyprus?
Do you want to open a Private Company Limited by Shares Company (LTD) in Cyprus? And would you benefit from forming a Cyprus International Trust (CIT)?
The lawyers at Lexidy can help you figure it all out quickly and efficiently. To get started, please fill out the form with your details and requirements.
Our legal expertise helps with various aspects of the formation process, including selecting a unique name, preparing and filing necessary registration documents, advising on legal structure, preparing contracts and agreements, ensuring compliance with Cypriot laws and regulations, and providing ongoing legal support.
With our guidance, you can ensure that your company is set up for success and has a strong legal foundation. Fill out the form now for more information.
What Our Clients Are Saying
Let our team of international corporate experts help you how to open a company in Cyprus. Our personalised approach to company formation in Cyprus ensures that your application process is crystal clear with a positive outcome.
Local governments have been promoting Cyprus as an international business centre through the enactment of favourable tax laws and by introducing the Cyprus Government fast track scheme.
This has allowed Cyprus to establish itself as a reputable business and financial centre supported by an advanced legal, accounting and banking system and a highly skilled and multilingual workforce. High profile international groups, such as eToro, Columbia Shipmanagement, Plus500, Exness, Easybrain, Nexters, Amdocs, Technorion and many more, have opted to set up in Cyprus.
In Cyprus, the majority of business entrepreneurs set up their companies as a Private Company Limited by Shares (LTD). To set up a LTD in Cyprus, there is a list of bureaucratic and legal steps that every foreign entrepreneur must take. Read about them more in-depth in this Article , along with a detailed summary of the needed procedures, the estimated time, and cost for each step.
CY Why should I start my business in Cyprus?
Cyprus may be one of the most well-kept secrets for how to make your European entrepreneurial dreams a profitable reality. Have a business idea? Read on to learn whether Cyprus could be the best place to set up your future company.
Cyprus is an island nation located to the east of Crete and to the south of Turkey. It’s the third-largest island in the Mediterranean.
It is part of the European union, and has an affordable lifestyle similar in cost to Spain or Croatia.
It benefits from an impressive network of over 60 double tax treaties and is therefore considered an ideal base for international corporate investment.
There is 0% tax on capital gains (except for real estate) and 0% dividends tax for Cypriot non-domiciled tax resident individuals (as well as non-tax residents).
Cyprus is an ideal jurisdiction for people looking to sell the shares of their startup or software they develop (being an asset of a capital nature), as both dividends and tax on exit are tax free.
Cyprus has been considered as an attractive choice for investors, individuals and families. It has a competitive and transparent legal, financial and regulatory framework.
As part of Europe, Cyprus maintains the Lowest Corporate Tax Rate at 12,5% on profits from trading income, a generally favourable tax regime and blanket tax exemptions for international activities. For technology companies, tax can go as low as 2.5%!
Frequently Asked Questions
This is the most common type of company used in Cyprus and it is founded by one or more partners – up to 50. Other important requirements for setting up a private limited liability company are a local address and a secretary.
Private limited companies must have a registered physical office address located in Cyprus, where the company must keep all statutory records and other documents which must be available for review.
The Company must have at least one director who may be a natural person or a legal entity, resident or non-resident.
Limited companies may be formed by one shareholder, who can be either natural or legal persons, residents or non-residents, without limitations. Details of shareholders are publicly accessible.
In a private company limited by shares, there is no minimum required capital. The shareholders subscribe shares, monetary or non-monetary, which are given a nominal value and cannot be transferred. The members of a private company limited by shares are liable to the company’s debts and obligations only to the extent of the nominal value of their shares.
Incorporating a company in Cyprus is comparatively easier and faster than in most other European countries. The process is initiated with an application for name approval, and then registering a company is processed by the Registrar of Companies. The company will be incorporated within 7-10 days.
Therefore, the requirements for a Cypriot LTD are low and almost everyone can apply.
The Cyprus International Trust (CIT) enables non-tax residents of Cyprus to create a trust in Cyprus and enjoy the highest possible degree of asset protection. You can estate plan internationally while receiving tax benefits and maintaining strict confidentiality.
Your CIT can be employed in commercial and business transactions but also as a vehicle for charitable and other purposes.
Assets transferred to a trust are no longer part of the property owned by you, “the settlor” and cannot be claimed by creditors and litigators. That means that in the case of bankruptcy or liquidation, that your assets are protected (unless there is reason to believe the trust was made with the intent to defraud).
Because the beneficiary of the international trust is not a legal owner of it, the income and capital gains are taxed in accordance with the rules of the residence of the legal owners – the trustees. That said, you as the Settlor have the ability to maintain certain powers in relation to the trust and/or to grant yourself certain powers in the capacity of protector of the trust or supervisor on the application of the trust.
A trust deed is not a public document and a trust arrangement is thus regarded as highly confidential. Such information can only be revealed by a court order, allowing a high degree of anonymity.
An interesting point is the wide span of protection a CIT provides as an asset protection vehicle. Its assets are immune from the right of inheritance, and there is no limit on the period for which a trust continues to be valid and enforceable.
To add to that, CITs are treated as tax transparent, hence not subject to any form of Cyprus tax provided the Beneficiary is not Cyprus resident, and the trust does not own/dispose immovable property situated in Cyprus.
In order to qualify as a CIT, The “settlor” should not have been a permanent resident of Cyprus during the entire year previous to the creation of the trust.
To add to that, the beneficiaries of the CIT should not have been permanent residents of Cyprus for a full year prior to the creation of the trust, but relocation to Cyprus the year after the trust is established is permitted.
Finally, it’s necessary that at least one trustee of the CIT be a permanent resident of Cyprus.
The trust property itself can include all kinds of assets situated anywhere in the world and/or real estate property located in Cyprus.
We are a department formed by qualified legal experts who have been trained in the field of corporate law. We work on these requests every day and it’s our passion. For us, Lexidy is a way of life and what excites us the most is to be able to deliver the happiness and satisfaction of a successful process. We want to help you achieve your goals and dreams.