Catering and Entertainment Establishment (restaurant, cafe)

Last Update on 06/04/2021

Operating a Catering and Entertainment Establishment (e.g. restaurant, cafeteria, pizza house, pub)

General Information

In order to operate a catering and entertainment establishment in the Republic of Cyprus, natural and legal persons need to obtain a licence to operate such an establishment from the Deputy Ministry of Tourism.

Catering establishments are classified into various categories depending on the nature of the services rendered to the client and are divided into Restaurants, Taverns, Cafeterias or Pizza Houses, Pubs or Bars, Music and Dance, Discotheques, Snack Bars and Cabarets. A catering establishment can be classified into one or more of the above-mentioned categories.

Establishments of every category are divided into three classes (A. B. and C) depending on the nature of building, value and quality of structure, furniture, equipment, level of operation and the level of amenities and services provided.

It must be noted that, the catering and entertainment establishment licence is, usually, closely associated with supplementary permits such as: utilisation of loudspeakers, sale of alcoholic drinks and employment of food handlers (individuals that come into contact with foodstuffs (e.g. kitchen staff, cooks, a chef) that are not pre-packed and are employed in any capacity on the site of a food business). These are different licenses, in their own right, and links for the procedures are provided in the “Related Links”.

A licence to operate a catering and entertainment establishment in the Republic of Cyprus can be granted only to physical persons or legal entities (e.g. private limited company by shares):

  • Resident in Cyprus or citizens of another E.U. member state or legal persons situated in an E.U. member state;
  • The planning permit and building permit for the specific use have been obtained;
  • The manager of the catering and entertainment establishment must be approved by the Deputy Ministry of Tourism.

In case of operating an existing licensed catering and entertainment establishment, the application for a change of operator of a catering establishment can be submitted either through the PSC Cyprus or by post/hand to the competent authority:

Deputy Ministry of Tourism
P.O.Box 24535, 1390 Nicosia
Tel. +357 22691190, +357 22691161
Fax +357 22691249
Email: MariosHasikos@visitcyprus.com
Website: http://www.tourism.gov.cy

  1. In case of the erection of a new building or the alteration or the extension of an existing building of a catering and entertainment establishment:

    Initially, planning permission needs to be obtained. The architectural plans for the proposed establishment must be submitted by the owner of the site to the relevant Planning Authority, specifying the proposed establishment’s category / ies in accordance with the types of establishments permitted under the relevant legislation.

    Upon obtainment of the planning permission, the application for approval of plans for the erection of a new catering and entertainment establishment or modifications in an existing establishment should be submitted, by the owner of the site/building, to the Deputy Ministry of Tourism accompanied by the following supporting documents:

    • Copy of a Planning Permit;
    • Copy of the approved by the Planning Authority plans.

    Thereon, the approved by the Deputy Ministry of Tourism plans must be submitted by the owner of the site/building to the competent local Authority for the issue of the building permit.

    At least one month prior to the commencement into operation, the entrepreneur should submit to the Deputy Ministry of Tourism the application for the classification and licensing of a catering and entertainment establishment along with the following supporting documents:

    • Copy of the Title Deed of the premises;
    • Copy of Identity Card or Passport of the Operator;
    • The «Property Owner’s Solemn Declaration»;
    • The ”Details of the proposed manager of a catering/entertainment establishment”;
    • “Health Certificate for food establishments” issued by the Medical Services and Public Health Services of the Ministry of Health;
    • Copy of the Planning Permit for the specific use;
    • Copy of Residence and Employment Permit (in case of a non-EU national a Residence and Employment permit must be submitted with the application).

    In case a company is involved, the following documents should also be submitted:

    • Copy of Article and Memorandum of Association;
    • Copy of Certificate of Incorporation;
    • Copy of Certificate of Directors and Secretary;
    • Copy of Certificate of Registered Office Address of the company.

    Please note that the above-named documents should have an issue or validation date by the Registrar of Companies of no later than 60 days.

    The classification of catering establishments into the category and class contemplated is made upon the approval of the application, but as regards the final class within a period of three months from the commencement of the operation of the establishment. During this period an inspection by authorised officers of the Deputy Ministry of Tourism is completed under the terms and conditions provided by «The Catering and Entertainment Establishments Law and Regulations».

    The application for a change of operator of a catering establishment should be accompanied by the following documents:

    • Copy of the Title Deed of the premises;
    • The «Property Owner’s Solemn Declaration»;
    • Copy of the identity card or passport of the new operator;
    • The «Former operator’s solemn declaration» (in the event of the death of the operator, a certificate of the executor of the property of the deceased from the District Court, must be submitted);
    • The «Details of the proposed manager of a catering/entertainment establishment» in case a new manager is to be employed.

    In case a company is involved, the following documents should also be submitted:

    • Copy of Memorandum and Articles of Association;
    • Copy of Certificate of Incorporation;
    • Copy of Certificate of Directors and Secretary;
    • Copy of Certificate of Registered Office address.

    Please note that the above-named documents should have a recent issue or validation date by the Registrar of Companies of no later than 60 days.

Upon approval, the applicant needs to pay the fees provided below.

The fees payable by the entrepreneur of the catering establishment for the issue or renewal of the licence to operate or for a copy are as follows (payable either by cash, cheque or bank transfer):

  • Class A΄ €170,86;
  • Class B΄ € 85,43;
  • Class C΄ € 51,26.

The applicant is informed regarding the authorization decision within 3 months from the date that the application form and supporting documents were duly submitted.

The licence to operate is issued in the name of the entrepreneur and is related to a particular establishment. The licence to operate is valid for maximum for one year from the date of issue and expires on the 31st of December of every year.

Administrative Action against a Competent Authority’s Decision

Any person may file an Administrative Action at the Administrative Court against a decision, act, or omission of any competent authority or body.

Pursuant to Article 146 of the Constitution, an Administrative Action may be lodged within 75 days from the date of the decision or act or omission or from the day when such decision or act or omission was notified to the applicant.

The Administrative Court acts as a cassation Court and not as a substantive Court. In other words, the Administrative Court may:
I. Dismiss the Administrative Action
II. Annul wholly or partially the contested decision or act
III. Compel the relevant authority or body to take a certain action

After a decision is annulled, the authority and/or public body must reverse things back to the state prior to when the concerned decision and/or act was executed and reexamine.

Appeal Information

An Appeal may be filed against the Administrative Court’s first-instance decision within a period of 42 days from the date such a decision was given.

At the Supreme Court (Court of Appeal Section) hearing, the contested issue of the appeal remains the legality of the decision or act already adjudicated. However, such a revision of the legality of the decision or act is solely examined on the matters and the extent that the two parties have limited the reasons in the relevant notice of appeal.

The decision adopted by the Supreme Court is considered final in relation to the matter that has been judged.

The entrepreneur of the catering establishment, in the name of which the operating licence is issued, whether the entrepreneur is a natural person or legal person, is obliged to comply with the provisions of The Catering and Entertainment Establishments Law and Regulations, as periodically amended, and specifically, among others, with the following:

Change of ownership

  • The rights of ownership and use over the name of the establishment in the Republic belong to the entrepreneur and are transferable with the transfer of the establishment. Any change of the entrepreneur or manager of the establishment or the alteration in the way of operation of the establishment in respect to services provided, which may not be compatible with the category or class of the establishment, must be duly notified to the Deputy Ministry of Tourism for approval;
  • A new licence must be issued in the event of change of the entrepreneur, name, category or class.

Manager

The manager of the establishment must:
(a) Be a graduate of a recognized Hotel School or a School of Tourist Occupations and have a good knowledge of matters related to food and beverages; or
(b) Be a holder of a leaving certificate of a six-year Secondary School and have one year experience in a catering occupation; or
(c) Have at least three years experience in catering or relative occupations which in the discretion of the Deputy Ministry of Tourism is deemed satisfactory;
(d) Have a clear criminal offence record.
As regards Class A and B establishments the manager must necessarily have the required qualifications under item (a) above.

The name of the establishment

  • The name of every establishment is subject to the approval of the Deputy Ministry of Tourism;
  • The Deputy Ministry of Tourism may reject names which are not appropriate for the category of the establishment or are likely to cause confusion with other existing establishments in the same area;
  • It is desirable that names of new establishments are compatible with Cypriot culture, history, civilization, and special characteristics of Cyprus, be written in latin characters, avoid the use of location names, or include initials or a combination of initials with the words beach when the establishment is not a seaside establishment. It is desirable that foreign names be used only by establishments with special characteristics and services.

Pricelists

  • Every entrepreneur must submit to the Deputy Ministry of Tourism a pricelist for approval, which should include all items served in the establishment providing a detailed description of the food offered. The items served, must be compatible with the category of the establishment;
  • Prices on all items in the pricelists should include all charges such as the 10% service charge, and V.A.T.;
  • Pricelists must be written in Greek and another prevailing foreign language;
  • Prices of all items should correspond to the normal quantity and quality of food, and the food must be prepared and presented in a professional fashion;
  • All establishments irrespective of category, must offer their clients coffee, beer, refreshments or beverages included in the pricelist with no obligation on behalf of the client to order food. The above obligation is not applicable in the case of restaurants, or taverns operating between the hours of 12.00 and 15.00 if this is clearly stated in the approved pricelists and other prominent places of the establishment for the clients’ information;
  • Establishments providing live music must necessarily include in their menu, the music programme, prices for food served with or without music as well as any possible extra charge;
  • The following must be clarified in the pricelists:
    • the kind of fish or meat used for the preparation of the food in every case;
    • whether the items are local, freshly imported or frozen.
  • Cyprus coffee must always be served with potable water;
  • Copies of the approved pricelist must be displayed outside the main entrance of the catering and entertainment establishment, as well as at a prominent place within the catering and entertainment establishment whenever no pricelists are given to clients;
  • Pricelists in all catering and entertainment establishments in the “Restaurant” and “Taverna” categories must include a table d’hote menu for lunch and dinner;
  • It is prohibited for an entrepreneur to receive larger sums than those stated in the approved pricelists.

Numbered Invoices

  • A receipt with a serial number must be issued for every service provided to a client, stating in detail all items offered, as well as the corresponding price for every item. The name of the catering and entertainment establishment as well as the date of issue must be stated in the receipts or invoices;
  • Every invoice must be issued in duplicate;
  • Copies of the invoices must be kept by the entrepreneur until the end of December of the following year in case they are asked for inspection.

Where the entrepreneur uses a cash register for the issue of invoices he or she must:

  • Use a machine which issues detailed invoices with date and, also, the total sum (Z Reading) of the day’s takings with serial numbers;
  • Keep the audit roll of the machine up until December of the year immediately following the date of its issue.

Furniture, crockery, linen

  • Furniture, crockery and linen in every catering and entertainment establishment must be adequate in order to secure comfortable stay and good level of service to clients, smooth operation of services and aesthetic appearance;
  • Class A restaurants must have exceptionally clean table-cloths and linen;
  • Crockery and equipment used for the preparation and serving of food must be made from material which is easy to clean and which does not absorb any substances likely to cause food poisoning;
  • The number of seats or clients of the catering and entertainment establishment must be in accordance to the prescribed capacity of the catering and entertainment establishment.

Management and staff

  • The Manager and staff of the catering and entertainment establishment, must be polite to every client, show willingness and eagerness in the exercise of their duties and offer satisfactory level of service;
  • Work by all departments of the catering and entertainment establishment must be carried out with great care in order to avoid the cause of any possible nuisance to clients;
  • The entrepreneur and manager are responsible:
    • for the good maintenance and hygiene of all areas in the catering and entertainment establishment, as well as for its furniture and equipment;
    • for the swift and high standard of service in all departments of the catering and entertainment establishment;
    • for the serving of well prepared and satisfactory quality and quantity of food;
    • for the provision by the catering and entertainment establishment of all advertised services and amenities;
    • for the appropriate storing and keeping of food and beverages.
  • Every establishment must employ a satisfactory number of well trained staff for the needs of the establishment;
  • All members of the staff must have a health certificate;
  • The staff employed must wear a suitable uniform in accordance with their profession, which must always be kept in good and clean condition. The staff employed for the preparation of food must wear a white blouse and head cap.

Supervision and examination

Every entrepreneur/manager of a catering and entertainment establishment must facilitate the Officers of the Deputy Ministry of Tourism, who visit the catering and entertainment establishment for purposes of inspection. Inspections may be carried out for reasons relating to cleanliness and hygiene of the catering and entertainment establishment, examination of receipts, books or other forms and in general any matter deemed necessary as well as to ensure compliance with the provisions of the relevant Law.

Use of areas by catering and entertainment establishments

It is prohibited to convert/use any area of the catering and entertainment establishment for purposes other than those intended for the establishment, as well as to use halls or outdoors areas without a licence.

Music and Dance Establishments

Music and Dance Establishments must have a live orchestra with at least three musical instruments and a permanent dance floor.

Hours of operation of Establishments

The hours of operation of the catering and entertainment establishments are as follows:

  • From the 1st of May until the 30th of September:
    • restaurants, taverns, pubs, bars, cafeterias, pizza houses and snack bars with or without live music.
      • from Sunday to Thursday they can remain open from 7.00 in the morning until 2.30 in the morning of the following day;
      • on Friday and Saturday they can remain open from 7.00 in the morning of every day until 3.30 of every day of the following day; and
    • discotheques, cabarets and music and dance establishments:
      • from Sunday until Thursday they can remain open from 8.00 in the evening every day until 2.30 the morning of the following day;
      • on Friday and Saturday they can remain open from 8.00 in the evening every day until 3.30 in the morning of the following day; and
  • From the 1st October until the 30th of April:
    • restaurants, taverns, pubs, bars, cafeterias, pizza houses and snack bars with or without live music:
      • from Sunday to Thursday can remain open from 7.00 in the morning until 2.00 in the morning of the following day;
      • on Friday and Saturday they can remain open from 7.00 in the morning of every day until 3.00 in the morning of the following day; and
    • discotheques, cabarets and music and dance establishments:
      • from Sunday until Thursday they can remain open from 8.00 in the evening every day until 2.00 the morning of the following day;
      • on Friday and Saturday they can remain open from 8.00 in the evening every day until 3.00 in the morning of the following day; and

Failure of compliance with any provision of the Law gives the right of legal action.

Entry into Establishment

No persons under the age of seventeen are allowed to enter “Discotheques” “Pubs, ” Bars” and “Music and Dance” establishments, unless they are accompanied by their parent/guardian. In “Cabarets” entry of under seventeen is prohibited. It is the responsibility of the Entrepreneur and/or the Manager to ensure compliance with the above.