COMPANY FORMATION IN CYPRUS

COMPANY FORMATION SERVICES WE OFFER:

Michael Chambers & Co LLC is a leading law firm based in Cyprus that specialises in providing company formation services to both domestic and international clients. Our firm has a team of experienced lawyers, accountants, and business consultants who can guide you through the process of setting up your business in Cyprus, from the initial stages of incorporation to ongoing compliance and taxation issues.

Our services include:

Business Structuring: We can advise you on the most appropriate legal structure for your business, taking into account your specific needs and objectives. Whether you require a private limited company, public limited company, partnership, or sole trader, we can help you choose the most suitable structure.
Company Registration: We can assist you with the registration of your company with the Registrar of Companies and Official Receiver of Cyprus. Our team can help you prepare and file all the necessary documents, including the Memorandum and Articles of Association, the certificate of registration of the company name, and the application form.
Tax Planning: Cyprus offers several tax benefits to companies, including a low corporate tax rate of 12.5%, a wide range of double taxation treaties, and exemptions on certain types of income. Our firm can advise you on the most tax-efficient way to structure your business, and can help you navigate the complex tax laws and regulations in Cyprus.
Banking and Finance: We can assist you with opening a bank account in Cyprus. We can also advise you on the various banking and finance options available to you, including loans, credit lines, and other forms of financing.
Immigration: If you are a non-EU citizen and plan to relocate to Cyprus to run your business, our firm can assist you with obtaining the necessary immigration permits and visas.
Ongoing Compliance: Our team can help you ensure that your business complies with all the legal and regulatory requirements in Cyprus, including annual reporting, tax filings, and other statutory obligations. We can also advise you on employment law, data protection, and other areas of corporate governance.

At Michael Chambers & Co LLC, we are committed to providing our clients with high-quality, personalised service that is tailored to their specific needs. Our team has a deep understanding of the Cyprus legal and regulatory environment, and can help you navigate the complexities of setting up and running a business in Cyprus.

WHY REGISTER A COMPANY
IN CYPRUS

There are several reasons why you may want to consider registering a company in Cyprus, including:

Favorable Taxation: Cyprus has one of the lowest corporate tax rates in Europe at 12.5%, making it an attractive destination for international businesses looking to establish a presence in the EU. Additionally, Cyprus has signed double taxation treaties with over 60 countries, which can help to reduce the tax burden on businesses.
Strategic Location: Cyprus is located at the crossroads of Europe, Asia, and Africa, making it an ideal hub for businesses looking to expand into these regions. The country also has excellent transport links, including two international airports and two major ports.
Business-Friendly Environment: Cyprus has a business-friendly environment, with a stable economy, a skilled workforce, and a robust legal system. The country is also a member of the EU and the Commonwealth, which can provide businesses with access to a wide range of markets.
Easy Company Formation: The process of registering a company in Cyprus is relatively straightforward, with low registration fees and minimal bureaucracy. It typically takes around 7-10 working days to register a company in Cyprus.
Access to EU Markets: As a member of the EU, Cyprus provides businesses with access to the EU market of over 500 million consumers. This can be particularly beneficial for companies looking to expand their operations within the EU.

Overall, Cyprus offers a range of benefits for businesses looking to establish a presence in the region. From its favorable tax regime to its strategic location and business-friendly environment, there are many reasons why you may want to consider registering a company in Cyprus.

The process of registering a company in Cyprus involves several steps, including:

- Choose a Business Structure: The first step is to decide on the legal structure of your business. Cyprus offers several options, including a private limited company (Ltd), a public limited company (PLC), a partnership, and a sole trader.
- Reserve a Company Name: Once you have decided on the legal structure of your business, you will need to choose a name for your company.
- Draft and Sign the Memorandum and Articles of Association: The next step is the drafting of the Memorandum and Articles of Association, which outline the objectives, rules, and regulations of your company. Once this is done, the documents must be signed by the shareholders and the directors of the company.
- Register with the Registrar of Companies: Once the Memorandum and Articles of Association have been signed, we proceed with registering your company with the Registrar of Companies of Cyprus.
- Obtain a Tax Identification Number: After registering with the Registrar of Companies, we proceed with obtaining a Tax Identification Number (TIN) from the Cyprus Tax Department. This number is required for all tax-related transactions in Cyprus.
- Register with the Social Insurance Department: If you plan to employ staff in Cyprus, we will need to register your company with the Social Insurance Department. This will enable you to make contributions towards social insurance and other social security schemes.
- Open a Bank Account: The final step is to open a bank account in Cyprus. This will enable you to carry out business transactions and pay taxes.

FAQs

TYPES OF CYPRUS COMPANIES
Limited Liability Company (LTD).
Branch of an Existing Foreign Company.
Partnership.
WHAT IS THE APPLICABLE LAW TO A CYPRUS COMPANY?
The Cyprus Companies Law, CAP.113.
DO I NEED TO VISIT CYPRUS TO REGISTER A COMPANY?
No, it is not required to visit Cyprus in order to register a company. Everything can be arranged online, and we handle the whole procedure.
HOW DO I SUBMIT CYPRUS COMPANY NAME?
Desirable names are submitted to the Registrar of Companies for approval. It can take between 2-5 working days to obtain name approval. Name applications can be rejected due to similarity with Company names already registered. Company names must end with the suffix LTD or LIMITED.
HOW LONG DOES IT TAKE TO REGISTER A CYPRUS COMPANY?
After name approval, it usually takes 5-10 working days, depending on the workload of the Cyprus Registrar of Companies.
ARE CYPRUS SHELF COMPANIES AVAILABLE?
Yes, we do offer pre-registered Cyprus companies. These can be modified in accordance with a client’s preferences.
IS A REGISTERED COMPANY OFFICE REQUIRED?
It is a requirement of a Cyprus Company to maintain a registered office in Cyprus. A physical address is needed and not a P.O. Box.
IS A COMPANY SECRETARY REQUIRED?
It is a requirement for the Cyprus Company to appoint a Secretary. This can either be a natural person or a legal entity, preferably a Cyprus resident, but it can be of any nationality.

IS COMPANY DIRECTOR REQUIRED?
It is a requirement for the Cyprus Company to appoint at least one director. This can either be a natural person or a legal entity. The director must be a resident of Cyprus in order to meet residency criteria for tax purposes.
IS THERE A MINIMUM AND MAXIMUM ON CYPRUS COMPANY SHAREHOLDERS?
There is a minimum requirement of 1 Shareholder and a maximum of 50. The same person or legal entity can act as Shareholder, Director and Secretary.
IS THERE A MINIMUM SHARE CAPITAL FOR A CYPRUS COMPANY?
There is no minimum share capital requirement to register a Cyprus company. The usual share capital for practical purposes is 1000 shares of €1 each.
IS THERE ANY ANTI-MONEY LAUNDERING LEGISLATION IN PLACE?
Yes, as Cyprus is a member of the EU, it has harmonised its legislation with the EU. On 18 February 2021, the Cypriot Parliament approved the Prevention and Suppression of Money Laundering (Amendment) Law 2021, bringing the Cypriot AML regime in line with its EU obligations by implementing the requirements of the EU’s Fifth Money Laundering Directive 2018/843.
WHAT DETAILS ARE FILED WITH THE REGISTRAR OF COMPANIES AND FOUND ON PUBLIC RECORD?
The Memorandum & Articles of Association, Shareholder, Director, Secretary and Registered Office. The identity of the Beneficial Owner can be protected through the use of Nominees. However, it is now a requirement for companies to submit the UBO details to the Beneficial Owners Register of Companies.
IS IT A REQUIREMENT TO HAVE A BANK ACCOUNT IN CYPRUS?
Even though there is no requirement for a Cyprus company to maintain a bank account in Cyprus, in cases where the company does have a physical presence and the UBO is located in Cyprus, we do provide bank account opening services with local Cyprus banks. In all other instances, we open accounts with Electronic Money Institutions (EMIs).
HOW LONG DOES IT TAKE TO OPEN A BANK ACCOUNT?
Depending on the type of bank account, it can take between 7 – 28 working days for the account to be opened.

TYPES OF CYPRUS COMPANIES

Limited Liability Company (LTD). Branch of an Existing Foreign Company. Partnership.
WHAT IS THE APPLICABLE LAW TO A CYPRUS COMPANY?

The Cyprus Companies Law, CAP.113.
DO I NEED TO VISIT CYPRUS TO REGISTER A COMPANY?

No, it is not required to visit Cyprus in order to register a company. Everything can be arranged online, and we handle the whole procedure.
CYPRUS COMPANY NAME

Desirable names are submitted to the Registrar of Companies for approval. It can take between 2-5 working days to obtain name approval. Name applications can be rejected due to similarity with Company names already registered. Company names must end with the suffix LTD or LIMITED.
HOW LONG DOES IT TAKE TO REGISTER A CYPRUS COMPANY?

After name approval, it usually takes 5-10 working days, depending on the workload of the Cyprus Registrar of Companies.
ARE CYPRUS SHELF COMPANIES AVAILABLE?

Yes, we do offer pre-registered Cyprus companies. These can be modified in accordance with a client’s preferences.
REGISTERED OFFICE OF THE COMPANY

It is a requirement of a Cyprus Company to maintain a registered office in Cyprus. A physical address is needed and not a P.O. Box.
CYPRUS COMPANY SECRETARY

It is a requirement for the Cyprus Company to appoint a Secretary. This can either be a natural person or a legal entity, preferably a Cyprus resident, but it can be of any nationality.

CYPRUS COMPANY DIRECTOR

It is a requirement for the Cyprus Company to appoint at least one director. This can either be a natural person or a legal entity. The director must be a resident of Cyprus in order to meet residency criteria for tax purposes.
CYPRUS COMPANY SHAREHOLDERS

There is a minimum requirement of 1 Shareholder and a maximum of 50. The same person or legal entity can act as Shareholder, Director and Secretary.
SHARE CAPITAL OF A CYPRUS COMPANY

There is no minimum share capital requirement to register a Cyprus company. The usual share capital for practical purposes is 1000 shares of €1 each.
IS THERE ANY ANTI-MONEY LAUNDERING LEGISLATION IN PLACE?

Yes, as Cyprus is a member of the EU, it has harmonised its legislation with the EU. On 18 February 2021, the Cypriot Parliament approved the Prevention and Suppression of Money Laundering (Amendment) Law 2021, bringing the Cypriot AML regime in line with its EU obligations by implementing the requirements of the EU’s Fifth Money Laundering Directive 2018/843.
WHAT DETAILS ARE FILED WITH THE REGISTRAR OF COMPANIES AND FOUND ON PUBLIC RECORD?

The Memorandum & Articles of Association, Shareholder, Director, Secretary and Registered Office. The identity of the Beneficial Owner can be protected through the use of Nominees. However, it is now a requirement for companies to submit the UBO details to the Beneficial Owners Register of Companies.
IS IT A REQUIREMENT TO HAVE A BANK ACCOUNT IN CYPRUS?

Even though there is no requirement for a Cyprus company to maintain a bank account in Cyprus, in cases where the company does have a physical presence and the UBO is located in Cyprus, we do provide bank account opening services with local Cyprus banks. In all other instances, we open accounts with Electronic Money Institutions (EMIs).
HOW LONG DOES IT TAKE TO OPEN A BANK ACCOUNT?

Depending on the type of bank account, it can take between 7 – 28 working days for the account to be opened.

Contact Us

25 Voukourestiou Street, Neptune House, 1st Floor, Suite 11 Limassol, Cyprus, CY – 3045

info@chambers.law

+357 25 81 99 66

+357 25 81 99 60