How to establish or relocate a company to Cyprus?

Cyprus is one of the most attractive European countries in terms of starting and doing business. Large and small businesses in Cyprus enjoy favourable conditions for development. One of the most democratic tax systems in the EU opens ample opportunities for those wishing to start their own business in the country. Companies registered in Cyprus benefit from the lowest income tax in Europe while at the same time having a registered legal address in the Republic automatically brings access to all the advantages of doing business in the EU.

Moreover, Cyprus is also a comfortable place to live and relax. Beautiful marinas, amazing Cyprus properties, good amenities, rich cultural life, variety of entertainment and much more make it a lovely destination.

What do I need to know about opening a company in Cyprus?

If you want to open a shop on this Mediterranean island or implement any other business ideas, you should definitely familiarize yourself with some aspects of opening a company in the Republic. The field of activity can vary within the limits permitted by law.

There are certain requirements for opening a company in Cyprus. Here are some of them:

• The office must be located in the country;
• The minimum number of shareholders and directors - one, respectively. But it is also allowed to combine them in one person;
• Companies must maintain accounting records and file annual reports.

Managing the company will be much easier if at least one of the directors is a resident of the Republic. This will help avoid double taxation when carrying out transactions with foreign companies.

Company registration procedure in Cyprus

• Chose the company name and approval it in the register (usually takes up to one week);
• Prepare a number of documents and resolutions;
• Pay the registration fees;
• Register the company, which also takes about a week. In order to do this, you need to submit the constituent documents signed by all shareholders, passports of shareholders, company legal address confirmation and a copy of the registration fees payment receipt;
• Notarization.

Thus, you can open a company in Cyprus in a matter of two weeks on average. At the same time, personal presence on the island is not required, the registration can be done remotely. If you do not want to delve into all the registration issues on your own, then you can contact a good lawyer who will accompany this process from start to finish. For the legal address registration purposes you can rent a property, which is very easy. All official documents will be sent to this address.

After your company is successfully registered, you need to open a bank account. The bank card is issued within a week.

How to relocate a company to Cyprus?

Сhanging the location of the company is possible provided that national legislation allows such a procedure. In doing so, the company is not liquidated, but simply changes its legal address, falling under another jurisdiction and receiving all its advantages. This allows the company to function without interruption.

The process of transferring a company to Cyprus requires the following simple steps:

• Preparation of data on the jurisdiction and legal status of the company, information on shareholders and directors, corporate documentation;
• Sending an application to the Cyprus Company Registration Office for registration of an already operating company in the country. At this stage the Office can recommend changing the name of the company, if such or similar is already registered in Cyprus;
• After confirming the new registration and being deleted from the registrar in the country of origin, the company is considered as based in Cyprus jurisdiction. To speed up and simplify the process of registering a company in a new country, it is recommended to use the services of a lawyer. He can also help with finding a new office in the country.

Renting a property in Cyprus has its own nuances and therefore it is better to consult a specialist. Relocation would be impossible only in very rare cases, for example, in case of bankruptcy procedure, liquidation, dissolution of the company or being involved in legal litigation.

So, opening or relocating a business to Cyprus is a fairly simple and quick procedure while the benefits from the favourable business conditions for your company can be tremendous for its development and financial efficiency.