Set Up a Subsidiary Company in Cyprus

Establishing a subsidiary company in Cyprus can be a strategic move for your business. Get complete expert guidance and support for your European expansion.

Set Up a Subsidiary Company in Cyprus

Expansion into Cyprus

Cyprus offers a strategic gateway for businesses establishing a European subsidiary company, renowned for its low corporate tax rate, extensive network of double taxation treaties, no withholding tax on dividends for non-residents, advanced telecommunications infrastructure, and efficient banking services. A subsidiary company in Cyprus is treated as a limited liability company and must have a unique name distinct from the parent company before incorporation. With streamlined procedures and full foreign ownership allowed, Cyprus is an ideal choice for international expansion.

Unlocking the Cyprus Subsidiary Company Benefits

Open a Subsidiary Company in Cyprus Now?

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Favourable Corporate Tax Regime

Cyprus offers one of the lowest corporate tax rates in the EU at just 12.5%. This makes it a strategic location for multinational companies seeking to minimise their overall tax burden while ensuring compliance with EU tax standards.

Extensive Double Tax Treaty Network

Cyprus has double taxation agreements with over 65 countries, including the UK, USA, Russia, India, China, and EU states. These treaties help reduce withholding taxes on dividends, interest, and royalties, enhancing tax efficiency in cross-border operations.

Efficient Incorporation and Compliance

Cyprus has double taxation agreements with over 65 countries, including the UK, USA, Russia, India, China, and EU states. These treaties help reduce withholding taxes on dividends, interest, and royalties, enhancing tax efficiency in cross-border operations.

EU Membership and Market Access

Cyprus offers access to the EU’s single market. A subsidiary in Cyprus allows businesses to sell across all 27 EU countries without trade barriers, ensuring regulatory consistency and free movement of capital and labour.

Strong Legal System

Cyprus offers a business-friendly legal framework rooted in English Common Law, ensuring predictability, transparency, and investor protection. This system is trusted by international investors, especially from the UK and the Commonwealth.

Access to Skilled, Multilingual Professionals

Cyprus boasts a highly educated workforce fluent in English, Greek, Russian, and more, facilitating easy management of legal, accounting, and operational activities for international clients.

360 degree support for your incorporation requirements

Subsidiary Company in Cyprus

Why Choose Subsidiary Company in Cyprus?

Enjoy low taxes, full EU access, and a fast setup. Our experts ensure a smooth, compliant launch for your business in Cyprus.

FAQs

A subsidiary company in Cyprus is typically established as a private limited liability company (Ltd), separate from the parent company. It must have a unique name and is subject to Cyprus Companies Law, Cap. 113. 

Yes, 100% foreign ownership is allowed. There are no restrictions on the nationality of shareholders or directors, making it highly accessible for international investors. 

The entire incorporation process usually takes 5 to 10 working days, depending on document preparation and name approval by the Registrar of Companies. 

  • Name approval from the Cyprus Registrar of Companies 
  • Preparation and submission of Memorandum and Articles of Association 
  • Appointment of directors and secretary 
  • Provision of a registered office address in Cyprus 
  • Tax Identification Number (TIN) application 
  • VAT registration (if applicable) 
  • Bank account setup 

Cyprus offers a 12.5% corporate tax rate, one of the lowest in the EU. Other benefits include: 

  • No withholding tax on dividends paid to non-residents 
  • Notional Interest Deduction (NID) on equity 
  • Tax exemptions for gains from the sale of shares under certain conditions 

Yes, if the annual turnover exceeds €15,600 or if the company is involved in intra-EU trading. The VAT rate is 19%, with reduced rates of 5% and 9% for certain goods/services.