Starting a company in Cyprus? Here’s what you need to know to navigate the process smoothly, from your first steps to the final paperwork. Plus, find out why Cyprus is a prime location for savvy entrepreneurs.
Why Cyprus is an Ideal Choice for Business
Great Tax Benefits: Cyprus offers one of the lowest corporate tax rates in the EU at just 12.5%.
International Tax Advantages: Cyprus has tax agreements with over 50 countries, making international business more cost-effective.
Strategic Location: Sitting at the intersection of Europe, Asia, and Africa, Cyprus is a prime location for businesses eyeing international expansion.
Quick and Easy Setup: With low fees, minimal red tape, and a quick 7-10 working day process, starting a business in Cyprus is straightforward.
Starting with the Right Legal Help
In Cyprus, you will need a licensed lawyer to prepare key company documents like the Memorandum and Articles of Association.
Picking the Perfect Company Name
Private companies must end their names with “Limited” or “Ltd.”
Public companies should have endings like “Public Company Limited” or “PLC.”
The name cannot be too similar to existing companies or brands or be generic.
Misleading or restricted words need special approval.
Incorporation Steps Simplified
- Company bylaws (Memorandum and Articles of Association)
- A sworn statement by the lawyer
- Address of your registered office
- Initial directors and secretaries’ details
Public Companies: You will need additional documents to secure a start-of-business certificate before you begin operations.
Final Approval from the Authorities
After checking all your documents, the Registrar of Companies will issue your certificate of incorporation. This marks the official start of your company.
Reporting Key Stakeholders
If anyone owns more than a 25% share in your company, their personal details need to be submitted to a national register within a month of starting the business.
Trademark Protection in Cyprus
While you are in the process of registering your company, it is also a great time to think about trademark protection. A trademark is a unique mark that distinguishes your products or services from those of other companies. In Cyprus, trademarks are governed by the Trademarks Law and regulated by the Intellectual Property section of the Department of Registrar of Companies and Intellectual Property.
What can Function as a Trademark?
Your trademark can be made up of signs, words, pictures, letters, numbers, shapes of the products, colors, or even sounds.
For your trademark to be eligible for registration, it must be distinctive, meaning it can set your products or services apart from others.
Grounds for Refusal
Be aware that your trademark application may be rejected for various reasons, such as similarity to existing trademarks, or if it conflicts with public morals or order. A qualified lawyer can help you navigate these complexities.
Starting a company in Cyprus is both advantageous and straightforward if you know the steps to take. With its unbeatable tax benefits, international agreements, and strategic location, Cyprus is an entrepreneur’s dream. As always, consult a qualified lawyer to ensure you have covered all your bases.
This is for general informational purposes only and should not be construed as legal advice.