Why registering a company in Cyprus can be so attractive

In the increasingly competitive modern business market, companies must do everything they can to maximise their chances of success. Financial considerations in particular are more pertinent today than ever before, and with this in mind, many companies are turning to new ways of conducting business in order to give themselves a competitive advantage.

Thanks to its beneficial tax system, Cyprus is proving itself to be one of the most popular jurisdictions for holding, trading and intermediary companies to conduct international business.

We're here to help by enabling companies in numerous sectors enjoy the many benefits of establishing a business presence in the popular European country of Cyprus. Below, you'll find lots of useful information on the advantages of registering a company in Cyprus, including who can benefit and how to do it.

The advantages of Cyprus company registration

So what is it that makes Cyprus such a popular country in which to form a company?

• Significant tax savings – Cyprus enjoys one of the lowest corporation tax in Europe: just 15% on net profits.
• Confidentiality – company information is protected by law, subject to applicable disclosure and reporting requirements.
• Tax-efficient dividends – generally no Cyprus withholding tax for non-resident shareholders, subject to exceptions.

These advantages alone would be enough to persuade many to register their company in Cyprus, but there are other reasons to do so as well. It's quick and easy to do, whether you're registering your own or buying an off-the-shelf company.

Furthermore, companies based in Cyprus benefit from reduced operating expenses and an excellent network of countries with which Cyprus enjoys double taxation treaties.

With generally no Cyprus withholding tax on dividends paid to non-residents and a broad tax exemption on gains from the disposal of securities, Cyprus offers attractive opportunities for international business and investment, subject to applicable conditions and exceptions.

More about Tax and Cyprus

A Cyprus offshore company enjoys one of the lowest corporate tax rates within the EU, a flat rate of only 15% on net profits.

To fully appreciate the advantages of doing business through a Cyprus company, compare its corporate tax rate with those of other European countries, such as the UK, Germany, Greece, France and Sweden. Comparisons with offshore jurisdictions such as the BVI, Panama or Seychelles should also take account of their different legal frameworks, tax rules and business purposes.

Furthermore, non-resident shareholders can generally receive dividends from a Cyprus company without Cyprus withholding tax, subject to applicable exceptions. Their tax obligations in their country of residence should also be considered.

Who can benefit from registering a company in Cyprus?

Numerous kinds of businesses will find significant advantages to operating through Cyprus, with common sectors including international trading and property, e-business, investment holding, insurance, employment and shipping. However, this list is by no means exhaustive, and if you'd like to talk with one of our experts about whether your business could benefit, request a callback today.

How to register a business in Cyprus

It is a simple and hassle free process to form a company in Cyprus and we're here to make the registration process for you even more quick and easy. If your company is yet to take advantage of the many benefits to be gained from operating through Cyprus, find out more about the legal requirements of Cyprus company formation and read more about the costs involved.