Company Registration in Cyprus

The Cyprus Free Zone Company (Larnaca Free Zone Company)

Business registration in Cyprus as a free zone company, locally known as Larnaca Free Zone Company, is a company structure in the special economic zone of Cyprus. This free zone is an industrial area located near the Larnaca International Airport that offers government-funded industrial land with good industrial infrastructure.

The companies established in the Larnaca Free Zone Company are liable to pay a standard corporate income tax of 12.5%. However, the companies in the free zone can benefit from features such as paying VAT later for products imported into the EU and VAT exemption for non-EU goods being transported. This company structure is best used for light manufacturing business activities for products re-exported to other European countries.

The Cyprus Public Limited Company (Public Company Limited by Shares)

For company registration in Cyprus, you need a minimum of seven shareholders, two directors, and a minimum capital of €25,000. You can pay 25% of the capital at the time of incorporation, with the remaining amount payable later.

The company shareholders and directors can be of any nationality, while the company secretary must be a resident of Cyprus. A public limited company in Cyprus is mandated to employ one auditor and submit annual financial statements to the tax authority in Cyprus and the Cyprus Registrar of Commercial Entities.

This company structure is most preferred by businesses that wish to list their company shares on the Cyprus Stock Exchange or other European stock exchanges.

The Cyprus Branch Office

Set up a company in Cyprus as a branch office, which is an extension of the parent company. The branch office is the most popular company structure for foreign entrepreneurs who wish to expand their business operations in Cyprus. This company structure does not require any minimum capital for incorporation, but it mandates appointing a representative for the branch office.

Company registration in Cyprus as a branch office is one of the cost-effective businesses set up option for international investors. A branch office is required to file annual financial statements and is liable to pay a minimum standard corporate tax of 12.5%, making it a strategic option for foreign businesses to establish their company presence in the EU market and access the larger market population.

The Cyprus Representative Office

Company registration in Cyprus as a representative office is for the foreign entrepreneurs that is looking to expand their business to Cyprus. This company structure is an ideal option for foreign entrepreneurs. It is mandatory for a representative office in Cyprus to appoint an individual to represent the parent company in the country and also have a local registered office before company incorporation.

The Cyprus representative office is exempt from paying corporate income tax as this company structure is not allowed to generate profits. This company structure is only used for marketing, research and promotion of the parent company’s products and services. If you are a foreign entrepreneur looking to enter the Cyprus market, Enterworld is here for you.

Cyprus Holdings LLC

A Cyprus holding company is a limited liability company that is used for holding shares in other companies. Many entrepreneurs and business investors choose a holding company to own and manage multiple businesses. The holding companies are used to group different businesses under a single ownership for easier management.

Cyprus is considered as one of the best places in Europe to set up a holding company due to its attractive tax benefits, including double tax treaties and a reliable legal system. In this type of company structure, you can have between 1 and 50 shareholders, who can be of any nationality. The minimum capital required to set up a Cyprus holding company is just €1,000, making it an attractive option for foreign investors and international entrepreneurs.

Trust

A Trust in Cyprus is a legal structure set up by an individual known as the settlor, who transfers assets into the trust to be managed by a trustee for the benefit of the beneficiaries. The entire process of company registration in Cyprus as a Trust will take approximately 2 to 3 weeks. A trustee is responsible for managing and controlling the wealth and ensuring asset protection.

If you establish a Cyprus International Trust, you can hold assets worldwide, whereas a domestic trust is limited to holding assets within Cyprus. Cyprus International Trusts must be registered with the Cyprus Bar Association, including detailed information about the trust, its name, date of settlement, and the appointed trustee. This regulatory framework ensures transparency, legal compliance, and enhanced protection for global investors.