Doing Business in Cyprus
Cyprus has demonstrated how a small island can grow into a haven for modern business. The reasons are many and include among others the Strategic Location, the Sophisticated Infrastructure, the Highly-Educated Workforce and the Favourable Tax System.
Since Cyprus became a full EU Member State, it has adopted the European Union’s Legislative Framework regarding Labour Relations, however labour costs are significantly lower in Cyprus when compared with the EU average.
Cyprus also offers a number of tax advantages:
- The uniform Corporate Tax rate of 12.5% is the lowest in the EU;
- Cyprus has entered into Double Tax Agreements with over 47 countries;
- Investment Income is completely Exempt from Tax under certain conditions;
- As from January 2012, the new tax provisions offer 80% tax exemption of worldwide royalty income generated from Intellectual Property owned by Cypriot Resident Companies (net of any direct expenses).
Also the country provides an efficient Intellectual Property Tax Regime coupled with the protection afforded by EU Member States and by the signatories of all major Intellectual Property Treaties and Protocols. The infrastructure is ideally suited for businesspeople who need to get things done. Thanks to its modern road network, extensive port facilities and two international airports, travel and transport in and beyond Cyprus is fast, efficient and economical.
For those planning to establish a company in Cyprus, the registration process is both fast and straightforward, with administrative procedures greatly simplified in recent years to allow for the speedy registration of companies. Moreover there is an efficient network of support services in place, including advice on a whole host of sectors, including the legal system, accountancy, banking and insurance services.
All these, coupled with the comparatively low operating costs, the high standard of living and the countless other lifestyle advantages on offer, make Cyprus the perfect place for a modern business.