Starting a Business - Cyprus

100% foreign (including non-EU) ownership of a Cyprus private limited company is permitted. A single non-Cypriot individual may be the sole shareholder and, provided they are Cyprus-resident, the sole director; non-resident foreign owners must appoint an additional Cyprus-resident director or local legal representative.

There is no statutory minimum share capital for a standard private limited company; a nominal authorised capital of €1,000 (or even €1) is legally valid and shares need not be fully paid up at incorporation. The Business Facilitation Unit (BFU) Foreign Interest Company track is an exception: it requires a €200,000 capital injection originating from the UBO's foreign account, evidenced by SWIFT confirmation.

Key steps: (1) Reserve/approve company name via eFiling or in person; (2) have a Cyprus-licensed lawyer draft the Memorandum and Articles of Association and execute form HE1 (statutory declaration); (3) file HE1 plus the M&A and relevant HE forms electronically or in person with the Registrar; (4) pay the registration fee (€165 standard; €265 for expedited processing); (5) receive the Certificate of Incorporation; (6) register for Income Tax (Tax Identification Number) and, if applicable, VAT with the Tax Department; (7) register with the Social Insurance Services if employing staff.

Standard incorporation takes approximately 5–10 business days via the eFiling platform. An expedited track is available for an additional €100 (total €265). As of 1 January 2026, stamp duty on all documents submitted to the Registrar has been abolished under Law 239(I)/2025, reducing prior ancillary costs.

The Registrar operates a fully digital eFiling portal (efiling.drcor.mcit.gov.cy) through which name searches, name approvals, and company incorporation documents can be submitted without needing physical presence. The Point of Single Contact (PSC) portal at businessincyprus.gov.cy consolidates multi-authority steps (Registrar, Tax Dept, Social Insurance) for streamlined registration.

Non-EU nationals who own ≥50% of a Cyprus company and inject a minimum of €200,000 from abroad may register as a Foreign Interest Company via the Business Facilitation Unit (BFU). This track is processed within ≤10 business days and grants the company fast-track, unlimited work/residence permits for third-country national specialists and managers, but requires dedicated (non-virtual) office premises and demonstrated commercial substance.