Foundation Company in Cyprus

Company formation in Cyprus is attractive because Cyprus is a member of the EU. At the same time, the corporation tax is only 12.5%.

The company name must end with “Limited” or “Ltd.” (no other suffix is ​​allowed) and must be approved by the Registrar of Companies and Official Receiver Department. This procedure usually takes 2 to 4 working days.

COMPANY NAME

SHAREHOLDERS

The number of shareholders in a company can be from 1 to 50. A shareholder can be a natural or legal person of any nationality. Details of shareholders such as their name, address and nationality are part of the public record; however, they may avail themselves of a nominee service by appointing a nominee shareholder, which we may provide by virtue of an agreement or deed of trust for a reasonable fee. CAPITAL

There are no minimum or maximum share capital requirements in a Cyprus private limited company. However, for practical purposes it is recommended that companies are incorporated with a minimum share capital of €1,000 divided into 1,000 shares of €1 each.

Memorandum and articles of association

To register a company, a memorandum and articles of association must be drawn up and submitted to the company register. and the founding document specifies the activities that the company can carry out, and the articles of association specify the rules for the company’s internal management.

Directors and secretary

Cypriot companies are managed and controlled by the board of directors. A company must have at least one director. There is no restriction on the nationality of directors and both natural and legal persons can be directors of a Cypriot company.

Management and control of the business determines the tax status of the business. It is therefore customary for the majority of directors to be Cypriot residents. In this case, the company is considered resident in Cyprus for tax purposes.

Details of directors are part of the public record; however, our company can provide a nominee director if necessary for a reasonable fee.

The company secretary can be either an individual or a legal entity and is responsible for administrative matters relating to the company.

Directors and Secretary

Each company must have a domicile and address in Cyprus which must be registered and updated at the Registrar’s office.

Offices in cyprus

A Cyprus limited company can operate from abroad or have a fully-fledged office in Cyprus. There are certain regulations and procedures that must be met if the company wants to set up a full-fledged office in Cyprus.

Meetings

Company meetings do not need to be held in Cyprus.

Registration time

The process usually takes between 2 and 3 weeks; however, urgent treatment may be requested.

Recording of maintenance payments

From the second year, there are recurring maintenance fees of €600 (excluding Annual Fee and VAT, if applicable). These include:

Provision of domicile and registered address

Provision of company secretary

Note: From June 2011, all companies registered in Cyprus must pay an annual government tax by 30 June each year (regardless of the date of incorporation). This fee of €350 must be considered good and for the business name to be kept in the register kept by the registrar.

Taxation

Under Cypriot tax laws, companies are deemed to be tax resident in Cyprus if the management and control of the company is in Cyprus and are taxed at 12.5% ​​of profits. However, non-resident companies are not subject to Cypriot tax provided that the management and control of the company is exercised outside Cyprus and the company does not derive any income in Cyprus. It should be noted that in such cases the company may not benefit from the Cypriot double taxation treaty network.

Cyprus has entered into double taxation agreements with over 60 countries worldwide.

Auditing and Accounting

A Cypriot limited liability company must submit audited accounts to local tax authorities and the Department of the Registrar of Companies and Official Receiver. Corporate law requires a company to keep correct accounting records in accordance with International Accounting Standards (IAS). The first reporting period can be up to 18 months from the date of incorporation, after which accounts must be prepared annually. The appointment of a Cypriot auditor is required.

Our services include:

  • Name check and approval
  • Completion of incorporation documents at the registrar of companies
  • Registration forms
  • Payment of state subscription fee on the authorized capital up to €1,000
  • Provision of domicile and registered address for one year
  • Provision of company secretary for one year
  • Registration with the Cyprus Tax
  • Department and obtaining a Cypriot tax number
  • Rubber stamp

Note: If you apply for a business bank account outside Cyprus, you must order a complete set of company documents.

Documents required

Provide the following documents to all directors, shareholders, beneficial owners and authorized signatories:

  • Notarized copy of valid passport.
  • Original or certified copy of utility bill for electricity, water, heating/ account statement (as verification of residential address, dated within three months).
  • Original or certified copy of Bank reference letter (dated within three months).
  • In cases where shareholders and/or directors are corporate bodies, fully waived set of corporate documents and certificate of good standing (for companies registered more than one year).


IMPORTANT NOTE:
LICENSABLE BUSINESS ACTIVITIES

If you carry out any activity without the required license or permit issued by any relevant authority in any jurisdiction, KGN Services will not be able to assist you with the incorporation or bank account creation in connection with such unlicensed activity

Licensable activities include, but are not limited to: the provision of financial services involving the trading / brokerage of currency, financial and commodity-based derivatives and other securities; to offer investment advice to the public; insurance and banking; operation and administration of collective investment schemes and mutual funds; payment processing services; money exchange, money transfer or money brokerage; asset management; safe custody services; games, games and lotteries.

Contact us if you need help licensing your financial, Forex brokerage or gaming company.

SHIPPING COSTS

Shipping business documents or banking kits to your destination requires an additional fee and is automatically added to your order when ordering. Shipping costs for international courier services are automatically calculated depending on geographic zones.

Contact form Company problems

Contact us on tel. +45 50120000, or email kgn@kgn.dk, or the contact form below, and we will contact you as soon as possible, with a view to discussing your case.

Contact form Cyprus

Contact us on phone +45 70231422, or email kgn@kgn.dk, or the Contact form below, and get answers to your questions about setting up companies in Cyprus. We always offer a free estimate on the incorporation of companies in Cyprus.

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