Cyprus Limited Company - Formation Guidance

Company Type	Time to Incorporate	Cost
LLC	5 days	£2330

We are specialists in Cyprus company incorporations, we can incorporate your Limited company for £2325, the company formation procedure normally takes five days.

Are ready made companies available?

Yes

Timescale to incorporate a Cyprus private limited company

It normally takes five days to incorporate your company and you do not have to visit Cyprus.

Company Directors

Only one director is required and can be an individual or a corporate

Director nationality

A director can be of any nationality

Director confidentiality

The names of the initial directors are stated on the records lodged with the Registrar. Further appointment and resignation details are lodged with the Registrar. Searching company details in the Cypriot register is complex; a person would have to ask a Cypriot-based person to do a physical search of public company information.

Minimum number of directors

Only one director is required

Corporate directors

Yes, corporate directors are allowed

Nominee directors

Nominee directors are allowed. In many cases, it is advisable to have a nominee Cypriot director; which formacompany can provide, so that the company can claim Cypriot residency, and therefore take advantage of tax treaties of which Cyprus is a party.

Resident director

There is no requirement to appoint a local resident director, but many clients use our nominee Cypriot director service.

Shareholders

Shareholders nationality

The shareholder can be any nationality

Minimum number of shareholders

Only one shareholder is required

Corporate shareholders

The shareholder can be a Corporation

Nominee shareholders

Nominee shareholders are allowed. Formacompany can provide a nominee shareholder

Resident shareholders

It is not a requirement to appoint a local resident shareholder, and taxable residence does not depend on the residency of the shareholders

Shareholder confidentiality

The subscribers of the company appear in the first company statutes, which are registered with the Registrar. Changes in shareholders should also be registered.

Capital & Financial's

Share capital

There is no standard share capital. A company pays a small stamp duty, based on the authorised share capital.

Share capital currencies

Shares should be in Euros; the currency of Cyprus. Older companies may have shares denominated in Cypriot Pounds.  

Paid-up share capital

One share, with some nominal value.

Company Secretary

Cypriot companies need a secretary. You do not require a resident secretary, but if you need to establish tax residency for the company, your company needs to demonstrate that management and control of the company take place in Cyprus.
Therefore, and for ease of administration, if any papers need to be signed by local authorities, it is advisable to have a resident secretary

Maintaining company records in Cyprus

The company does not have to keep records in Cyprus. If the company chooses to keep records they can be kept anywhere in the World.

Accounts or financial statements filing

Accounts need to be audited and filed every year. We can assist with the accounting, and the appointment of an auditor. Accounting rules are very flexible and are based on British Company legislation and norms.  

Company taxes on profits

A company deemed resident in Cyprus has to pay corporation tax at 10%. Non-Resident Cyprus companies are not subject to corporation tax, but may be considered resident in its country of main trading. Resident companies can take advantage of the following concessions:

• Capital gains tax on the sale of shares in subsidiaries is payable only if the company whose shares are being sold is not listed on a recognized stock exchange and owns freehold property in Cyprus
• Capital gains on the sale of real property outside Cyprus is reduced by inflation and there is double tax relief available in accordance with tax treaties
• Former losses can be carried forward against future profits
• Dividends from foreign shareholdings are exempt from tax in normal circumstances. An intermediate holding company could easily pay no taxes on its income.

European VAT Number

It is easy to obtain a European VAT number for your company, without a visit and simply supplying information proving that a European trading activity has started.

Taxes on Distribution of Corporate Income

Dividends for all companies are not subject to withholding taxes. Royalties connected to the use of an asset outside Cyprus, and other payments connected with non-Cypriot incomes have no withholding taxes. Film royalties may be subject to 5% withholding taxes.

Ready made company

We have a stock of ready made companies in good standing - please contact us for an up to date list.