Introduction
Cyprus is a country with a long-standing tradition of self starter businesses (many of the local companies bear the names of their founders) and with an open multicultural society. Recently, the Government of Cyprus has been making steps to design policies necessary to attract startups.
One such step is a “Cyprus Startup Visa Program”, which enables individuals and groups of individuals who either have already established a startup or have an entrepreneurial idea and capital to move to Cyprus. The purpose of the Program is to enable non-EU nationals and their families that will choose to set up their startup in Cyprus to acquire a secure residency status in the country. The Program was adopted by the Government of Cyprus in 2017 to stimulate productive investment in the country.
Angstrom Group can help you obtain the necessary documents and permits, set up bank account and and register your business, set up office and infrastructure, find accounting and legal services and other steps in order to ensure your successful start in Cyprus.
What are the benefits of doing business and living in Cyprus?
Developed IT infrastructure
2. Dynamic startup ecosystem (availability of various sources of funding, incubators, accelerators, co-working spaces, events, mentors and close-knit community of entrepreneurs)
3. Access to EU markets and stable EU currency
4. Access to Middle East and North African markets
5. Human capital that offers a variety of skills and languages
6. Beneficial tax system
7. Intellectual rights and data protection
8. Safe country for living, raising family and doing business
Startup Visa Scheme
The scheme consists of two parts, individual and team; which means that both individual investors and groups of investors can apply.
In order to obtain Cyprus Startup Visa, applicants must meet certain criteria:
Applicants for Cyprus Startup Visa must be Non-EU nationals,
In case of an individual startup, the founder is eligible to apply for the Cyprus Startup visa,
In case of a group startup, the maximum number of five persons (at least one founder and other senior executives with the right to stock option), are eligible to apply for a Cyprus Startup visa.
The investors, be it individuals or a group of investors, must have a startup capital of at least EUR 50,000,
The startup should present an innovative business or business plan. Those businesses will be considered as innovative where the R&D cost represents at least 10% of the company’s operating costs in at least one of the three years of operation before submission of the application. In case of new business the evaluation will be based on the company’s Business Plan submitted upon application,
Headquarter must be set-up in Cyprus,
The effective management must take place in Cyprus,
The startup must have Cyprus Tax Residency,
All applicants must have an undergraduate degree or an equivalent professional qualification,
All applicants must be fluent either in Greek or English.
There will be 150 Cyprus Startup Visas issued during the two years period of the Cyprus Startup scheme starting February 2017 until February 2019.
The evaluation of the success or failure of the business will be assessed by the Ministry of Finance or by the relevant authorities at the end of the second year by taking into consideration the number of employees, taxes paid in Cyprus, exports and the extent to which the company promotes research and innovation.
The Cyprus Startup Visa is an excellent opportunity for talented entrepreneurs and their executives from third countries to move to a safe country and establish their own innovative startup companies in the European Union.