Cyprus company: registration, deadlines, cost

Registering a company in Cyprus is quite easy. If needed, it could be done with an authorized capital of €1 within 10 business days (though the standard authorized capital amount is still €1,000).

Cyprus offers favorable tax conditions:

• 19% VAT (its application depends on the activity area);
• zero dividend tax;
• 12.5% income tax rate (which can be reduced to 2.5% for IT companies with software on the balance sheet).

Registration cost

The final cost is the sum of the services selected:

• company registration — €999;
• secretary — €99 per month or €999 per year;

This includes:

1. providing a registered office;
2. keeping and storing a company file;
3. preparing such documents as the Certificate of Incumbency, Corporate Register, Share Certificate, internal resolutions;
4. dealing with the local government authorities;
5. monitoring company’s compliance with reporting and tax payment deadlines, etc.

• director — legal entity: €49 per month or €495 per year; individual — €99 per month or €999 per year;

This includes:

1. representing interests of a company;
2. signing documents.

When choosing an individual, fewer documents will be required to open an account and for any other procedures.

• accounting — €999 per year, if no more than 10 transactions (incoming and outgoing) are expected monthly;
• audit — calculated individually according to the transaction volume. Account statements with invoices/contracts to be submitted;
• stamp duty — €350 annually;
• professional tax — €50–150 annually (depending on the activity);
• account opening support (up to 3 attempts) — €1,490.

The scope and cost of services will be negotiated with each client individually.

Procedure and deadlines for registration

In Cyprus, the company registration procedure consists of 5 steps only:

1. The client selects services by answering the following questions: will the secretary be enough or is a local director required? / does he/she need a bank account straight after the registration? / will the subscription be monthly or annual?
2. A meeting with the client (in person / via videoconference) is held and the bill is paid. A face-to-face meeting is preferred. Clients that are unable to arrange a meeting or a video call receive closer attention later on.
3. The client sends the minimum data package and chooses a future name, authorized capital amount, specifies the company’s activities. If required, the name will be checked for uniqueness.
4. Prepared documents are sent to the client to sign. Signing in person is very important.
5. After receiving signed originals, a local lawyer in Cyprus certifies documents in court and submits them to the Registrar. In the end, the client receives certified and apostilled corporate documents.

What is the minimum set of documents to register a legal entity? Details of the beneficiary shall be provided:

• color scanned copy of the foreign travel passport;
• document confirming the registration address specifying the first name and surname of the beneficiary: light/electricity bill, bank account statement, etc.;
• CV specifying the education level, employment history for the last 10–15 years, approximate annual income and welfare.

A similar set of documents shall be provided for all shareholders/directors. Documents in any foreign language require certified translations (documents in English and Greek will be accepted).

The minimum period to register a company is 10 business days, but this is applicable under ideal conditions. Within 24 hours after meeting the client and obtaining the necessary information from them, a set of documents will be prepared (the period may increase, if the client chooses any name that is not on our list, which will be checked for uniqueness within 4–5 days). After signing prepared documents, it will take up to 7 days to register the company and perform further certification and apostilling of the corporate documents.

Who registers companies in Cyprus?

YouReg cooperates with verified licensed corporate service providers only. Korpus Prava Corporate Services Ltd, a local company with a valid license from the Cyprus Securities and Exchange Commission, is currently connected to the Platform.