Registering a company in Cyprus is a quick and straightforward process, typically completed within a few days. This guide will walk you through the essential steps and requirements, making the path to your Cyprus company formation clear and efficient.

Step-by-Step Guide to Cyprus Company Formation

1. Finding a Lawyer

Under Cyprus law, only lawyers licensed by the Cyprus Bar Association can prepare and sign the Memorandum, Articles of Association, and the HE1 form. Choosing the right legal counsel is crucial for a smooth registration process.

2. Company Name Approval

Submit an application for approval of your company name to the Registrar of Companies and Official Receiver (RCOR). This can be done directly by the applicant or through a lawyer/service provider. For those needing swift approval, many legal advisors offer pre-approved “shelf names” ready for immediate use.

3. Document Submission to Registrar of Companies in Cyprus

Prepare and submit all necessary documents to the Registrar of Companies. A lawyer or service provider will assist in gathering and filing these forms and in opening a bank account. Required documents include:

• Description of the company’s main objectives.
• Details of the nominal share capital.
• Names, addresses, and passport details of proposed directors and secretary.
• Proposed registered address.
• Certified copies of passports of the ultimate beneficial owners.
• References on the good standing of the ultimate beneficial owners.
• Chain of ownership up to the ultimate beneficial owners.
• KYC information in compliance with Anti-Money Laundering laws and CBA guidelines

4. Incorporation Process

Upon submission of the application package and payment of fees, the Registrar processes the documents. If everything is in order, the company is incorporated, and you will receive the certificate of incorporation along with certified copies of the Memorandum and Articles of Association.

5. Tax Registration and Bank Account Opening

Newly incorporated companies must register with the Tax Department to obtain a tax identification number and a VAT registration number. Additionally, companies must register with the Social Insurance Services. Employers are required to contribute to various funds, and registration forms can be submitted electronically via the Point of Single Contact (PSC) Cyprus portal or by visiting a District Social Insurance Office or Citizens Service Centre.

Why Choose Cyprus for Your Business?

Tax Incentives:

• Low Corporate Tax Rate: Benefit from a corporate tax rate of just 12.5%.
• Tax Exemptions: Full tax exemptions on dividends received from abroad and profits from permanent establishments in other countries, under certain conditions.
• No Withholding Tax: Interest and dividends paid to non-resident shareholders are not taxed.
• Double Taxation Treaties: Extensive network with over 50 countries, including Russia, China, the US, and the UK.

Further Tax Benefits:

• Share Transfer Exemptions: No tax on the sale or transfer of shares, except for those involving immovable property in Cyprus.
• Intellectual Property: 80% tax exemption on profits from licensing, exploitation, and disposal of intellectual property.
• EU Directives Access: Full access to EU Directives, enhancing business operations.

Ease of Registration:

• Quick Setup: Complete incorporation in just 10 working days.
• 100% Foreign Ownership: No nationality restrictions on ownership.
• Remote Registration: Handle all procedures without needing to be physically present in Cyprus.

Global Reputation and Market Access:

• Credibility: Cyprus companies are well-regarded in Europe, signifying reliability and trustworthiness.
• Market Expansion: Engage in legitimate business activities across Europe and internationally, opening doors to global markets. 

Incorporation Requirements:

• Shareholder: At least one shareholder, either an individual or legal entity.
• Secretary: Mandatory appointment of a secretary to manage administrative tasks.
• Director: At least one director, with nominee directors available for tax residency purposes.
• Registered Office Address: Required for official correspondence, distinct from the business address.

Start Your Cyprus Company Formation Journey Today!

Our legal team is ready to assist you with the incorporation of companies in Cyprus.  Contact us at [email protected]  or [email protected] to begin your company formation process with expert guidance and comprehensive support.

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