How Long Does it Take to Move to Cyprus and How to Open a Company There in 7 Days
November 02, 2021
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The passport program of Cyprus has been canceled for a year, but it is still possible to obtain resident status on the island. The experts from the First Class Hotel company told about immigration programs, rules and advantages of opening a company on the island.
The Current Situation on the Cyprus Real Estate Market
The pandemic and the cancellation of the Citizenship by Investment program affected the Cyprus real estate market for a short time. Prices remained stable. The number of transactions decreased in 2020 and began to recover in 2021: since the beginning of the year, sales to foreign buyers have increased by 34%, and the number of transactions increased by 285%.
How to Become a Resident of Cyprus Today
Schemes for obtaining resident status are still in effect for investors. One of the simplest is the program for obtaining a permanent residence permit.
Permanent residence of category F, or permanent residence for financially independent persons
Wealthy foreigners who want to live in Cyprus without working can obtain a permanent residence permit of category F. To obtain the status, the applicant must submit the following documents.
Confirmation of annual income outside of Cyprus (tax return, income from shares, bank deposits, rental of property, etc.)
Contract of sale or lease of real estate.
A certificate of non-conviction, birth and marriage certificates, medical insurance, a statement that the applicant for permanent residence does not intend to work in Cyprus.
All documents must be officially translated into Greek or English and apostilled.
Together with the investor, the status can be obtained by a spouse and children under 18 years of age.
The term of consideration of the application is approximately 18-20 months.
Permanent residence of category 6(2), or permanent residence for the purchase of real estate
This scheme is an accelerated and simplified procedure for issuing permanent residence to wealthy investors who plan to live in Cyprus without working.
This permanent residence is an investment. To obtain the status, the applicant must meet the following requirements.
Invest in residential real estate (new buildings only) worth at least €300,000 + 19% VAT or commercial real estate worth at least €300,000 (without VAT).
Prove an annual income of at least €30,000. The minimum required annual income increases by €5,000 for each dependent family member and by €8,000 for each dependent parent.
Confirm that the money for the investment came from abroad.
You will also need a certificate of no criminal record, birth and marriage certificates, medical insurance, a statement that the applicant for permanent residence does not intend to work in Cyprus. All documents must be officially translated into Greek or English and apostilled.
The program is distinguished by an expanded family composition. Together with the investor, the status can be obtained by the spouse, adult children (18-25) and parents. Everyone must submit a certificate of no criminal record from the country of residence with an English translation and an apostille.
The term of consideration of the application 2-3 months.
Examples of real estate in Cyprus from First Class Homes:
890 000 €
Apartment in Limassol, Cyprus
118 sq.m33
Residence
Bright three-bedroom apartment in a new building in the resort area of Potamos Germasoia in Limassol. The area is known for Dasudi Beach with gray sand, where there are volleyball courts, an outdoor pool and rental of water sports equipment. The living room is combined with an open-plan kitchen and dining room, from where there is access to two...
BLUE SKY HOUSES
3 368 000 €
Land in Limassol, Cyprus
103011 ares
For sale land of 103011rs in Limassol.
Mercury Group
7 500 000 €
Commercial property in Limassol, Cyprus
4371 sq.m
For sale business of 4371rs in Limassol. The owners will be leaving the furniture with the sale. The property is at present let to one of the largest sporting companies worldwide for a term of 10 years from 10 November 2015 at a current rent of EUR262,080 euro lease provides for rent reviews and increase 4% every 2 years. Photos on individual...
Mercury Group
880 000 €
Mansion in Paphos, Cyprus
137 sq.m33
Residence
A luxury villa complex is located on the coast of Paphos. Each villa has a swimming pool, garden, balconies, terrace. The villas offer incredible views of the sea.
NF Group
940 900 €
Villa in Paphos, Cyprus
226 sq.m433
Remote Transaction
Welcome to your luxurious 3-bedroom villa nestled in the beautiful coastal city of Paphos, Cyprus. This stunning property offers an exquisite blend of modern design, comfort, and breathtaking views.
As you step inside, you’ll find a spacious and elegantly living area, adorned with stylish decor and flooded with natural light. The...
Foutina
385 000 €
Townhouse in Paphos, Cyprus
88 sq.m1
Residence
Surrounded by orchards and ensconced within landscaped gardens, comprises 26 private three-bedroom villas. The contemporary designs are available as semi-detached, which enjoy a large communal swimming pool, and detached which overlook a 1,500m² landscaped communal garden and also have the option of a private swimming pool. Private villas offer...
Mercury Group
215 000 €
Studio in Paphos, Cyprus
38 sq.m11
BLUE SKY HOUSES
455 000 €
Apartment in Paphos, Cyprus
118 sq.m32
Residence
The historic old quarter, located away from the lower part of the city and the main tourist area, offers a more relaxed atmosphere, as well as a number of cultural attractions. Stroll through this charming and laid-back part of the city to see the elegant colonial-era buildings and the modern commercial center of the city. Ktima is an ideal...
BLUE SKY HOUSES
645 000 €
Villa in Paphos, Cyprus
141 sq.m32
Residence
This unique complex, located in the village of Holoraka on the outskirts of Paphos, is characterized by attractive modern architecture with spacious and comfortable green areas. These three-bedroom villas for sale in Paphos combine the use of white finishes and light concrete in an original way, and the decorative walls are also made of concrete...
BLUE SKY HOUSES
395 000 €
Commercial property in Paphos, Cyprus
205 sq.m
A 2-storey building in Paphos is for sale. It consists of a shop, a 1-bedroom apartment on the ground floor and a 3-bedroom apartment on the 2nd floor.
Building area: 228 m2 Commercial Zoning coefficient: 120%Coverage coefficient: 50%Maximum number of floors: 3 (with a view to the 4th floor)
Ideal for offices, clinics, medical centers, shops,...
BLUE SKY HOUSES
244 000 €
Apartment in Larnaca, Cyprus
90 sq.m22
Tamara Gardens 2 complex will soon appear in Livadia district, Larnaca city. The project consists of five separate blocks and includes two and three bedroom apartments, ground floor apartments have private gardens, penthouses with roof terraces.
The project is strategically located a few minutes from the new marina and the port of Larnaca.
BLUE SKY HOUSES
483 000 €
Villa in Gazimagusa, Cyprus
334 sq.m433
ResidenceOnline ViewingRemote Transaction
Villas in a Central Location in Tuzla Gazimağusa
Cyprus is the third biggest island in the Mediterranean. Gazimağusa is a popular city in Northern Cyprus, home to the biggest university on the island. Located in the northeastern part of Cyprus Island, Gazimağusa is an important port city. İskele Long Beach offers a short driving distance from...
TEKCE
194 000 €
Apartment in Iskele, Cyprus
79 sq.m211
Online ViewingRemote Transaction
Apartments Near the Sea in İskele Boğaz
Cyprus island is the 3rd biggest island in the Mediterranean. Island’s main sources of income are tourism and education. İsleke, located in Cyprus’s eastern coast, hosts developed complexes. The investment region, which became the subject of Forbes magazine, has been one of the most attractive regions for...
TEKCE
295 000 €
Villa in Larnaca, Cyprus
142 sq.m34
The asset consists of an unfinished house and an adjacent section plot in Livadia, Larnaca.
It includes: the immediate territory of the property consists of residential complexes and undeveloped land plots.
BLUE SKY HOUSES
327 000 €
Apartment in Kyrenia, Cyprus
186 sq.m433
ResidenceOnline ViewingRemote Transaction
Sea and Mountain View Apartments with Infinity Pool in Girne
Girne is one of the biggest cities of the North Cyprus. Standing out with its historical riches, Girne hosts various historical buildings such asrion Castle. Located in a port area, Girne Castle, which is an important landmark in the area, was built in the 16th century. The city...
Permanent residence under the accelerated scheme. 3 bedroom villa 300 m from the beach in Kissonerga - the nearest suburb of Paphos, within walking distance of shops, restaurants, hotels, bus stop. 5-7 min drive to the city and English schools and Coral Bay. 15 3-bedroom villas - Private swimming pool- Air conditioners and electrical appliances-...
ABC CYPRUS HOMES
1 280 000 €
House in Limassol, Cyprus
200 sq.m43
Residence
Beautiful location in Parekklisia, with undisturbed panoramic view of mountains, Parekklisia village and partly sea.
New regional school will be build 300 meters from the house.
Structure factor will be increased from 25% to 40% or higher within the year 2024.
Near house amenities like pharmacy, doctor, supermarket, coffee shops etc
5-6...
Mercury Group
2 012 000 €
Office in Limassol, Cyprus
235 sq.m
Masterful design and state-of-the-art construction characterize this modern business center. The building offers spacious luxurious offices with 4 floors and 49 parking spaces. Each floor consists of 2 separate large offices individually designed with sophistication. Each office has exquisite quality layouts for a professional business...
Mercury Group
4 500 000 €
Villa in Paphos, Cyprus
439 sq.m554
Residence
Nestled in the charming village of Chloraka, just a few minutes drive from the vibrant city of Pafos, this villa enjoys a prime location that combines tranquility with convenience. The village itself offers easy access to a wide range of amenities, ensuring that residents have everything they need within reach.
The stunning villa is designed...
Business immigration is a mechanism for accelerated company registration
An investor can also apply for permanent residence by registering a company in Cyprus under an accelerated procedure. For foreign companies, this mechanism is an opportunity to launch a business within 7-10 days and start paying taxes in Cyprus.
It is profitable to do business in Cyprus, as the corporate tax rate is one of the lowest in Europe – 12.5%. But it applies only to those companies whose management and control is carried out on the island, that is, tax residents.
Dividends received by a Cyprus company are not taxed and are not taken into account when calculating the net profit tax. Dividends are subject to a special tax of 17% only if the actual owner has a domicile in Cyprus (a tax resident who has lived on the island for more than 17 years out of the last 20). Non-domicile shareholders, who do not permanently reside in Cyprus, are exempt from taxes on dividends worldwide and passive interest income.
The regulation was introduced in the fall of 2020 and is just beginning to gain popularity. The Government of the country expects that this mechanism will attract more foreign investment into the country's economy, as well as stimulate the influx of highly qualified specialists to the island, which is especially important for the IT sector.
Applications from investors under this scheme are accepted by the Ministry of Energy, Trade and Industry of Cyprus through a single window service. This means that through it you can establish a company - approve the name, register in the register of Cypriot companies and the social insurance system, get the status of a payer of income tax and VAT. And also to obtain a residence and work permit in Cyprus for the company's employees, if they are citizens of third countries.
Requirements for Applicants
Both startups and companies that move their head office or open a branch in Cyprus can apply. To become a member of this program, they must meet the following criteria.
The company is physically present in Cyprus with an independent office operating on the island.
The current business shows a minimum turnover of €500,000 per year for three of the last five years.
A startup can present a five-year business plan illustrating the growth potential.
In addition, companies will be required to submit:
a cover letter of intent to establish a business in Cyprus;
copies of the constituent documents of a company existing in another country;
financial statements about work in another country for the last three out of five years.
Who Gets Resident Status When Starting a Business
Staff. According to this program, employees of the company can obtain a residence permit on the basis of employment. Visa processing in this case is handled by the employer. Important: the employee must be registered in the insurance system, and the amount of salary must be at least €2,500 per month.
A residence permit is issued in two months for a period of three years. A passport can be issued only after seven years of permanent residence and work on the island.
In mid-October, the Council of Ministers of Cyprus decided to revise the rules and criteria for the accelerated procedure for registering foreign business on the island.
One of the initiatives is the accelerated issuance of citizenship to people who work for foreign companies in Cyprus. If the innovations are adopted, then they will be able to apply for citizenship not in seven years, but in five.
Management. The head of the company can immediately apply for permanent residence, if they employ at least five people and invest €300,000 and or more in business development. The funds must be obtained from foreign sources.
They also need to have a residence address in Cyprus and confirm an annual income of €30,000, if they are served alone. The amount increases by €5,000 for each dependent family member and by €8,000 for each dependent parent.
Permanent residence status is indefinite, but the cardholder cannot spend more than two consecutive years outside Cyprus. Five years after obtaining the status, an investor can apply for citizenship.
Still have questions about immigration by opening a company in Cyprus? The specialists of First Class Homes will be happy to help you.
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