Business Facilitation Unit – Registration of Companies with Foreign Interests

Eligible businesses must meet one of the following criteria:

1. The majority of the company’s shares are owned by third-country nationals.

2. In case that, the percentage, of the company’s shares, owned by a third-country national is equal or less than 50%, the company is eligible if that foreign participation has a value of at least €200.000.

In both cases above (1&2), the ultimate beneficial owner (UBO) must deposit an amount of €200,000 in an account held by the company in a credit institution licensed by the Central Bank (payment institutions are not included). Alternatively, the company can submit evidence of an investment amounting to €200,000, for the purposes of operating its business in Cyprus (e.g. office purchase, office equipment purchase, etc.).

If more UBOs exist, then this amount can be deposited or invested by a single UBO or collectively.

3. Public companies registered on any recognised stock exchange.

4. Companies of international activities (formerly off-shore), which operated before the change of regime, whose data are held by the Central Bank.

5. Cypriot shipping companies.

6. Cypriot high-tech/innovation companies*

7. Cypriot pharmaceutical companies or Cypriot companies active in the fields of biogenetics and biotechnology.

8. Companies of whom the majority of the total share capital is owned by persons who have acquired Cypriot citizenship by naturalization based on economic criteria, provided that they prove that the conditions under which they were naturalized continue to be met.

For cases 3-8, the investment criterion is also applicable and the company’s initial investment in the Republic of at least €200,000, must be proven by presenting the appropriate certificates (e.g. bank statement at the time of deposit of the amount or proof of investment (purchase of office space and/or office equipment)).

* An enterprise qualifies as ‘High Technology Company’ if:

(a) it is already established and has a presence in the market, and

(b) it has a high level or experimental R&D intensity, and

(c) it developed product/s that fall into one of the following categories: products related to aviation and space industry, computers, information and telecommunication technology (ICT), pharmaceuticals, biomedical, research and development equipment, electrical machinery, chemicals, non-electrical machinery.

I. Provision of services relating to the establishment of businesses:

Ability to complete all registrations for the establishment of a business at the One-Stop Shop Section of the Business Facilitation Unit:

− Approval of company name and registration (in collaboration with the Department of Registrar of Companies and Intellectual Property)

− Registration in the Employers’ Register (Social Insurance Services)

− Entry in the Tax Register for Indirect Taxation (VAT) and Direct Taxation (Tax Department)

II. Guidance regarding the necessary permits for the activation and establishment of businesses in Cyprus:

Guidance throughout the business’s life cycle, from the development of a business plan, the guidance on necessary licensing, the placement of the business in the market, the registration of the business entity and / or the trade mark of the business, the recruitment of employees and many other related issues.

III. Registration of companies in the Register of Companies with Foreign Interests

Evaluation by the Unit whether companies wishing to employ nationals from third countries fall under the criteria of companies of foreign interests, as defined below. In case of eligibility, these companies will be registered in the above-mentioned Register, which will be notified to the Civil Registry and Migration Department (CRMD).

The procedure to be followed under the Business Facilitation Unit is described as follows:

a) Businesses wishing to transfer their operations or expand their activities in Cyprus, must express their interest by submitting a relevant request to the Business Facilitation Unit of the Ministry of Energy, Commerce and Industry through email. The email must be accompanied by a letter of expression of interest for the establishment or expansion of their activities in Cyprus. The letter of intent should include a brief description of the company, activities (nature of business as stated in the Articles of Association), number of staff, expansion plans, etc. The request supported by the necessary documents (Annex I, only copies of the certificates are required in electronic form) should be sent to the following email address: bfu@meci.gov.cy.

b) The Unit will inform the investor in writing of the next steps and the documents that would have to be submitted in accordance with the services he/she wishes to utilize.

c) All the necessary registrations for the establishment of the company will be completed within seven (7) working days from the date of submission of all the necessary documents to the Ministry of Energy, Commerce and Industry.

The confirmation of the registration of an eligible company in the Register of Companies with Foreign Interests will be done by electronic means (by email).

Please note that, the certificates to be sent as accompanying documents should be numbered and named exactly as mentioned in Annex I.

Applications must only be sent to the above-specified email (bfu@meci.gov.cy).

Business Facilitation Unit (BFU)
Ministry of Energy, Commerce and Industry
Trade Service Building (3rd Floor)
10 Andrea Araouzou Str.,
1421 Nicosia
FΑΧ: +357 22376493

• Email (for applications only):
  bfu@meci.gov.cy

Contact information for enquiries regarding:

• The BFU policy:

Ms. Katerina Solomou
Tel.: +357 22867193
Email: ksolomou@meci.gov.cy 

• Registration stipulations

Mr. George Panayi
Tel.:+357 22867181
Email: gpanayi@meci.gov.cy

Mr. Iosif Alambritis
Tel.:+357 22867244
Email: ialambritis@papd.mof.gov.cy

• Taxation

Ms. Maria Nicolaou
Tel. :+357 22308006
Email: manicolaou@tax.mof.gov.cy

• Social Insurance

Ms. Chrystalla Paraschou-Constantinou
Tel. : +357 22409731
Email: cconstantinou@sid.mlsi.gov.cy