Steps in Registering a Cyprus Company

guest post by Michalis Milonas


For a variety of reasons, Cyprus has been the perfect destination of investors who wish to have minimal tax liabilities. It stands-out against its fellow European Union Members because of its low tax rates and highly secured and confidential banking system.

If interested to pursue a Cyprus company registration, company owners are expected to follow the following administrative procedures:

Decisions on the Type of Legal Business
The government allows the establishment and registration of legal entities belonging to private or public companies, branch office of a foreign company, European companies or Societas Europeas, general or limited partnerships, and trade or business names.

Eligibility for Registration
The government allows legal and physical entities both from EU or non-EU countries to register a company in Cyprus. However, it is necessary that the said company acquire the services of a corporate lawyer duly licensed by the Cyprus Bar Association for the preparation of the Memorandum of Articles of Association together with the signed HE1 Declaration Form.

Approval of Company Name
After finding a lawyer that could represent the company and assist it with the legal documents required by the rules and regulations of the country, it is time for the approval of the Company Name. This can be done through the assistance of the hired lawyer or by the applicant himself. He may refer to the website of the Register and do a query with a list of possible company names in mind. He may then fill-out the Point of Single Contact Form and submit it to the Registrar or PSC together with the required payment for the relevant fees. In some instances, lawyers may offer “shelf names” to their clients for a speedier registration process.

Submission of Required Documents
The approval of your company name signals the submission of legal documents needed for the pursuance of the registration. These materials are as follow:
a. Memorandum of Articles of Association
b. Amount and Division of Nominal Share Capital
c. Relevant information of the proposed directors and secretaries, which includes their names, passport details and addresses
d. Proposed addresses of the company to be registered
e. Certified copies of the passports of its ultimate beneficial owners
f. Bank reference for the ultimate beneficial owners
g. Chain of ownership for the Cyprus Company with the indicated names of its ultimate beneficial owners
h. Other requirements required by the Know Your Clients (KYC) in compliance to the Anti-Money Laundering Law set by the CBA
i. Duly filled out Declaration Forms HE1, HE2, HE3
Payment of Fees
The following expenses are the minimum amount you need to pay for the registration of a Cyprus company:
a. €102.52 for the subscription fee plus an additional 0.6% of the nominal share capital as payment for the subscription tax
b. €51.27 for the submission of the HE1, HE2 and HE3 forms
c. Additional fees for optional services, primarily the translation of documents etc
d. An optional €85.43 for those who wish to accelerate the registration process

The Time Table
Once these has been submitted to the Registrar, the company owner may wait for 2 to 5 business days for its approval and registration; if and only if all the submitted documents are free of errors and omissions. After which, you are expected to file for a tax identification number at the Inland Revenue Department.

There are several technicalities required in the registration of a Cyprus company. For a speedier and more convenient process, it is best to find the perfect Cypriot partner agent adept with these processes.




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