Requirements for setting up a company in Cyprus
The detailed requirements and pertinent information for setting up a Company in Cyprus are:
Name of Company
Choosing a Company Name in Cyprus: Guidelines & Approval Process
When registering a company in Cyprus, selecting the right company name is a key step. To increase approval chances, it’s recommended to submit 2–3 alternative company names for review by the Cyprus Registrar of Companies.
The Registrar will reject names that are too similar to existing registered entities or contain restricted terms like “King,” “Queen,” “Corporation,” or other sensitive words. The approval process typically takes 3 to 5 business days.
At Lyssiotis Law, we handle the entire name approval process, including submission and communication with the Registrar. Once your company name is approved, we proceed with preparing and filing the Memorandum and Articles of Association, officially registering your company in Cyprus.
Whether you’re forming a Cyprus Limited Company, setting up a tech startup, or relocating your EU headquarters, we ensure a fast and compliant company setup.
Memorandum and Articles of Association
Every Cyprus limited liability company must have a Memorandum and Articles of Association, which define its business activities (object clauses) and outline its operational structure.
We offer a reliable, pre-approved template used widely in Cyprus company registrations. This can be customized to match your business needs.
To accurately draft the first three object clauses, which describe your company’s core activities, we kindly ask for detailed information about your planned business operations. This ensures your company is properly structured and fully compliant with Cyprus law.
Share Capital
In Cyprus, there are no legal requirements for minimum or maximum share capital when incorporating a limited liability company. This provides flexibility to shareholders, as not all shares need to be subscribed at the time of incorporation.
Furthermore, there is no obligation to deposit funds into a corporate bank account, nor is there a requirement to block any portion of the share capital. This streamlined and business-friendly approach makes Cyprus company formation attractive for startups, international businesses, and holding structures.
This ease of setup, combined with Cyprus’ low corporate tax rate and favorable business environment, has positioned the country as a preferred destination for company registration within the European Union.
Shareholders
A Cyprus limited liability company must have at least one shareholder to meet legal requirements. For those seeking privacy, shares can be held by trustee companies in Cyprus acting in trust for the beneficial owners, allowing for confidentiality without public disclosure of shareholder identities.
This structure provides an effective way to maintain shareholder anonymity while complying with Cyprus company law, making it an attractive option for international investors and businesses valuing discretion.
The following information is needed for each shareholder:
- Full Name
- Address
- Passport Number
- Nationality
- Occupation and
- Number of shares to be held
- Bank Reference or Utility Bill
Secretary
The secretary is recognized by the law as an officer of the company appointed by and responsible to the directors. The responsibilities of the secretary include mainly the maintenance of the statutory books and the minute books.
Director
Every company must have at least one director who may be an individual or a company. For each director you wish to appoint, we need the following:
- Full Name
- Residential Address
- Occupation
- Nationality
- Passport copies (data page only)
If you wish, a nominee director can be appointed by our office. The nominee local director is suitable in cases where:
- you want to maintain anonymity, and/or
- the management and control of the company is to be exercised in Cyprus, and therefore the company is to be taxed in Cyprus.
Registered address
Every company registered in Cyprus is required to have a registered office address within Cyprus. This local address is where all official documents and legal notices are served.
Importantly, the company’s business address can differ from the registered office and may be located anywhere globally. Unless you specify otherwise, our office address will be used as your company’s registered office, ensuring compliance and seamless communication.
Period needed to register a company
The time required for the incorporation of a Cyprus Company is about 20 working days from the date we receive the required information from client and the approval of the company name from the Registrar.
Bankers, currency and signatories
Cyprus banks facilitate smooth money transfers with no foreign exchange restrictions, making international business effortless.
If you have a preferred bank, please share the bank’s name, the desired account type and currency, along with the details of the authorized signatories for the account setup.
Annual Reporting
Annual accounts audited by independent qualified auditors must be submitted. Annual Tax Return must be submitted.
Taxation
- Corporate tax rate is 12.5%, the lowest in Europe.
- No withholding tax is imposed on the payment of dividends, interest or royalties, made from Cyprus Company to any company or individual in any country in the world.
- Tax losses can be carried forward indefinitely to be set-off against future profits.
Confidentiality
The Registrar of Companies publicly discloses the names of a company’s registered shareholders in Cyprus. To ensure the anonymity of beneficial shareholders, our office offers professional nominee shareholder services.
While nominee shareholders appear in public records, a declaration of trust and a blank transfer of shares agreement are provided to safeguard the interests of the true beneficial owners, ensuring full privacy and legal protection.
Trading Restriction
No restrictions. Permits for certain types of businesses must be obtained prior to the commencement of operations.
Formation costs
The formation costs for a company vary according to the share capital involved and other factors. Our professionals can discuss clients’ needs and give a made to measure fee.
Company certificates and documents
On registration of the company, we can supply the owners with full documentation, properly legalized and translated into English comprising:
- Certificate of registration
- Memorandum and Articles of Association
- List of Directors, Secretary and Shareholders
- Address of the company’s registered office
- Share Certificate(s)
- Power of Attorney (annually)
- Any other information concerning the company’s activities up to the date of its establishment.