The Cyprus Limited: Your Gateway to Entrepreneurial Freedom
What are its advantages?
Have you ever considered establishing a limited liability company in Cyprus? A Cyprus Ltd. offers entrepreneurs a high degree of flexibility and allows them access to the European market. Thanks to the favorable tax regulations and the large number of investors, Cyprus is becoming increasingly popular with private companies. However, before making a decision, you should inform yourself about the structure and process of establishing a Cyprus Limited. We are always available for a free initial consultation so that you can emigrate to Cyprus as an entrepreneur without any problems.
The Cyprus Limited: A brief introduction
The Cyprus Limited is a form of company that is becoming increasingly popular for many good reasons – especially due to the low costs. Below we offer you an overview of the structure and characteristics of such a company formation. Find out what advantages the Cypriot Limited has in the European Union. For example, Cyprus offers an EU VAT identification number after VAT registration.
Why relocating to Cyprus with us is so straightforward
Over 2,000 Clients
We have already assisted over 2,000 clients with their relocation to Cyprus.
Over 850 Company Formations
We have already assisted over 850 entrepreneurs in establishing a Cyprus Limited company.
More than 6 Years of Experience
Unlike agencies, we have been continuously assisting individuals for over 6 years.
Excellent Expertise
We have an expert for every subject, ensuring comprehensive coverage of all aspects.
What is a Cyprus Ltd?
The Cyprus Limited is a limited liability company and is similar to the German GmbH. The term “Limited” comes from English and means “limited”. In this context, the restriction refers to the liability of the shareholders, who are only liable for the debts and obligations of the company up to the amount of the paid-up share capital.
As an independent legal entity, the Cyprus company can enter into contracts, acquire real estate or sell it, and sue or be sued in court. The Cyprus Limited has its own legal personality and is therefore separate from the assets of its shareholders.
The structure of a Cyprus Limited
The company or Cyprus Limited usually consists of the shareholders who provide the equity, and the directors who manage the company. The investors are only liable up to the amount of their contribution to the share capital, while the directors regulate the daily business activities and are responsible for compliance with the legal provisions. The
Advantages of a company in Cyprus
Establishing a Cyprus Limited offers a number of advantages. These include:
- Limited liability: The shareholders are only liable up to the amount of their paid-up share capital. This means that their personal assets are protected in the event of corporate insolvency.
- Tax advantages: Cyprus has one of the lowest corporate tax rates in the European Union. In addition, there are no trade taxes and no withholding tax on dividends, interest and royalties.
- Easy trade within the EU: As a member of the European Union, Cyprus enables the free movement of goods and services within the EU. With a VAT number, a company can easily trade within the EU without having tax problems.
The Cyprus Limited offers a flexible and tax-efficient corporate structure. However, it is important to seek professional advice. This is how you know the tax rates and more exactly. BS-Holding helps you with the process. We are not only familiar with company formations, but also with many other aspects. That’s what makes our full service. We can also rent a car in Cyprus for you. A partnership with us only brings you advantages! We are here for you when you need us.
Share capital and limitation of liability for a Cyprus Limited
Establishing a company in Cyprus is an extremely attractive option for many entrepreneurs. In addition to the limited liability it offers, there are a number of other reasons. These include the flexible tax system, low social security contributions, the favorable business environment with little regulation and the legal stability in Cyprus. But why is the share capital a decisive factor?
The share capital: A fundamental building block in Cyprus: Setting up a business made easy
The share capital for company formation in Cyprus is usually set at €1,000.00 and divided into 1,000 shares of €1 each. This capital serves as a liability limit for the owners of the company. In contrast to the German GmbH, however, this
Flexibility with regard to the share capital for company formation - Cyprus
However, you can also set a higher share capital for the Limited company at any time. However, this leads to increasing registration fees in Cyprus, as these are levied proportionally to the share capital. A higher share capital may be useful if the company wants to apply for a bank loan directly after
Location advantage: Establishing a company in Cyprus
Cyprus is an ideal destination for managing directors and entrepreneurs due to its attractive tax system, competitive company law, investor-friendly policies and highly qualified workforce. That is why the country is an
- Global recognition: The Limited in Cyprus is a globally recognized form of company.
- Low corporate tax: The corporate tax of only 12.5% is very low compared to the EU.
- No trade tax: There are no trade taxes in Cyprus after the company is founded. This significantly reduces operating costs.
- No withholding tax: No withholding tax is levied on dividends, cryptocurrencies, interest and royalties. This further reduces the tax burden.
- VAT number: A VAT number from Cyprus enables smooth intra-European trade.
- Tax exemptions: The inheritance of company shares is tax-free in Cyprus and no tax is levied on the sale of parts of the Limited (up to 100%).
- Private asset management: The Limited in Cyprus is ideal for private asset management.
In addition, the possible uses of a Limited in Cyprus are very diverse. Whether as an active company for your personal dream business, as a holding company for your own company portfolio, as a European offshore subsidiary of an international structure or as an employer for yourself in order to be able to prove income to banks – the options are almost endless. Thanks to the legislation, such investments in Cyprus are really worthwhile. By the way: You can even rent an office in Cyprus with us! Under certain circumstances, you can even establish a company (almost) anonymously in Cyprus.
Your place of residence alone is not decisive: The 60-day rule in Cyprus
The unique factor that makes Cyprus so attractive is the 60-day rule. Thanks to it, you can be considered a tax resident after spending just 60 days a year in Cyprus. This means that international business people and pensioners (learn more about German pension insurance abroad who stay longer than 60 days a year in Cyprus (and in no other country) may already save on taxes. Note: Please note that Cyprus has a double taxation agreement with Switzerland and EU countries such as Germany.
The basics of the 60-day rule for company formation - Cyprus
Anyone who wants to move their residence to Cyprus should familiarize themselves with the 60-day rule. In 2017, it was introduced as a supplement to the previous 183-day rule. This means that you are now considered tax resident if you spend less than 183 days on the island. However, special conditions must apply for this. Anyone who wants to stay in Cyprus for more than 60 days should therefore check carefully whether they meet the requirements. This regulation makes it easier for many people to register their residence in Cyprus.
The conditions of the 60-day rule: Save taxes in Cyprus with your own company
To use the 60-day rule, you must meet certain conditions. First of all, a minimum stay of 60 days on the island in Europe is required in a permanently (min. 12 months) rented or purchased property. In addition, you must not have been in another country for more than 182 days and not be tax resident in any other country. To ensure that the rule is not abused, you must either run a business in Cyprus, be employed or hold an office in a company. These conditions are intended to ensure that only those who actually carry out economic activities on the island benefit from the 60-day rule.
Check whether you meet these conditions in order to emigrate to Cyprus and register your residence and ensure compliance. In an initial consultation with us, you can find out more about setting up a company abroad!
The impact on corporate taxation in Cyprus
This regulation can also be relevant for companies. This is because the
For example, if a German citizen establishes a Cyprus Limited and manages it predominantly from Germany, the tax office could argue that the effective management of the company takes place in Germany. In this case, the company would therefore be liable for tax in Germany and not in Cyprus.
The Non-Dom status and the Yellow Slip - why they are relevant for the Cyprus Ltd.
Apart from the 60-day rule, two other aspects are relevant in order to be able to register a Cyprus Ltd. These are the
What is the Non-Dom status in Cyprus?
If you are looking for a way to make your company more tax-efficient, you should consider the Non-Dom status. It is particularly attractive for entrepreneurs and investors who establish a company in Cyprus, such as a Limited, but also want to receive income from other countries. With the Non-Dom status, you do not have to pay any Cyprus taxes on foreign income that you generate with a company based there.
What is the Yellow Slip in Cyprus?
Germans and other countries that are members of the EU are subject to clear residence regulations in Cyprus. In this context, have you ever heard of the
Therefore, simply contact us so that everything works directly when you emigrate to Cyprus.
What does the 60-day rule have to do with it?
The 60-day rule has a close connection to the Non-Dom status and the Yellow Slip in Cyprus. Anyone who spends
Rescue your business from crisis and save on taxes in Cyprus!
Benefit from attractive tax regulations and a high quality of life in Cyprus. Our experienced team will guide you through the complex tax landscape and help you effectively reduce your tax burden. Cyprus offers not only tax advantages but also a pleasant climate, beautiful beaches, and a vibrant culture.
Who is the right tax advisor/law firm for company formation in Cyprus?
Establishing a company in another country can be a complex task – especially when it comes to tax issues and paperwork. In Cyprus, however, there are specialized consulting companies with tax advisors and lawyers who can provide you with support in company formation and tax advice. One of these companies is us – Bundschuh & Schmidt Holding Limited (BS-Holding) with an operating facility service for maximum security during establishment. BS-Holding, based in the city of Paphos, offers customized solutions and the highest quality. Our expertise lies in the areas of emigration from Germany, Austria or other parts of the world, company formation and tax advice. Our experienced employees support entrepreneurs in mastering the smooth transition to Cyprus.
With our extensive knowledge of Cypriot tax law, we not only help our clients to establish their company. With our services, we ensure that you make the best possible use of all the advantages and save on corporate taxes. We can even take care of the accounting for you. The following applies: Be careful with non-transparent offers! Often there is no precise information at the beginning when it comes to estimating costs. Then you can actually expect fraud in almost all cases. With us, you will find the prices on our site so that you know exactly which fees apply.
Establish a company individually and personally
Every Cyprus Holding company formation is as unique as you are. Therefore, it is particularly important for us to thoroughly understand you and your business model in order to offer you tailored solutions with our service. Whether you are looking to establish a startup with a Cyprus Limited company or expand an existing business – we consider all aspects of your situation with low fees. This way, we ensure that you benefit from the optimal advantages of Ltd. company formation in Cyprus. Our experienced team of experts will guide you through every step of the formation process and your relocation to Cyprus, providing you with comprehensive expertise on the subject.
We not only assist you with selecting the appropriate company structure and preparing the necessary documents, but also advise you on tax and legal aspects. Furthermore, we offer a wide range of services. This ensures that your company has a successful start in Cyprus. We support you in achieving your business goals, allowing you to save on
For further information or a specific offer, simply click on the “Contact” page in the top left and fill out the form on the right side of the page. You are also welcome to schedule a phone call with us. In a personal consultation, we will specifically address your questions regarding company formation in Cyprus. Afterwards, we will send you the relevant facts via email and inform you, for example, about the annual fees. You should always account for one recurring fee: the €350 fee that is incurred annually after registration with the Commercial Register (Registered Office).
Take the first step: Relocate your residence to Cyprus
The decision to establish a Cyprus Limited company for a startup is a significant step that can open up many options for you. By forming a company, you benefit from the numerous advantages of this business model. With the right information and sound advice, you can ensure a successful relocation to Cyprus and establish a company abroad with an application. A Cyprus Limited company allows you to establish a new business in Cyprus and take advantage of the country’s attractive tax framework. The island offers a stable economy, a positive business climate, low
With the Non-Dom program, you save even more money and enjoy Cyprus’s very special tax advantages. By establishing a company, permanent establishment, or an offshore company, you can conduct international business from your virtual office, benefit from low tax rates, and expand your business activities on a European and global level. Furthermore, Cyprus offers a robust legal system that ensures the protection of your business interests. Therefore, seize the opportunity and explore the diverse possibilities that a Cyprus Limited company can offer you. Schedule your free initial consultation today and take the first step towards your new company in Cyprus. Our experts are available to provide you with comprehensive advice, tips, and support.
We ensure that you achieve your entrepreneurial goals and enjoy life in Cyprus by the sea and near various attractions. Finally fulfill your dream with a little preparation!
