Why Start an LLC in Cyprus?

The limited liability company or LLC – the first choice of most investors, no matter the country they are in. This business form has many advantages, and when paired with a specific country, it can bring substantial benefits to its owner. This is the case of Cyprus, where this legal form can be used for undertaking most commercial activities. However, this is not the only reason to choose it, as you will discover in the following lines.

Simple registration requirements and quick incorporation

To start from the beginning, two of the advantages of opening an  LLC in Cyprus are linked to its creation.It has very simple incorporation conditions which, if you work with a specialized service provider, can lead to the registration of the company in about a week.

You may ask what those registration conditions are. You simply need:

a local registered address – you can obtain that through a virtual office;

to appoint a director, who doesn’t even have to be a Cypriot resident, if you are a foreigner;

to gather a few documents, you can hand over or send to the service provider who will prepare the application file.

And yes: the company can also be registered remotely.

The LLC is available for registration in most countries around the world

If you are a foreign entrepreneur, it makes sense to choose a legal form that you are already acquainted with in your home country, and this is the LLC. This business form can be registered in most states around the world, and Cyprus is no different. Moreover, the LLC can also be used to expand an enterprise that you already own in another country.

The Cypriot LLC is the most versatile business form

Do you want to start a small business, and you don’t want to register as a sole trader? The limited liability company can spare you the risks associated with the unlimited responsibility for any potential debts.

Or maybe you want to take your chance with a medium-sized business from the start: again, the LLC is the perfect choice for an enterprise where you can also have a few employees.

The LLC is a great asset protection tool

To expand a little over the limited liability feature, the LLC is a great asset protection tool, as it is meant to help you keep your personal assets safe from those of the business. To better understand: the law requires a minimum capital of 1 euro for this business form, which means total protection for your personal property against the debts the company may incur.

Cyprus offers one of the most favorable taxation systems in the EU

Starting a business in Cyprus, including through an LLC, gives you access to one of the lowest corporate taxes in the European Union, of only 15%. Apart from that, you can also benefit from other fiscal benefits, such as lower withholding taxes, and even access to an impressive network of double taxation treaties.

Why start an LLC in Cyprus? These are some of the main reasons that should make you choose not only this business form, but also this country, especially if you want to operate in one of the best EU countries from a taxation point of view.