The program allows entrepreneurs or a team from countries outside of the EU and the European Economic Area to reside in Cyprus with the purpose of establishing, operating and developing their startup with a great growth potential under the EU umbrella.
This is mainly a reminder for entrepreneurs, inventors and investors that the Cyprus Startup Visa program is still valid until February 2019. The program allows entrepreneurs or a team from countries outside of the EU and the European Economic Area to reside in Cyprus with the purpose of establishing, operating and developing their startup with a great growth potential under the EU umbrella.The main requirements for enterprises are to be considered innovative ( if its research and development costs represent at least 10% of its operation costs in at least one of the three years before application an certified by an external auditor)
Also the Business Plan must provide that the enterprise’s head offices and tax domicile be established in Cyprus. The head offices may be common co-working spaces (eg business accelerators, incubators, digital hubs etc) or co-location with other enterprises.
Benefits for the Startup founders. The approved individuals for the scheme will benefit from the following:
- Right to economic activity and residence in the Republic for one year, and with the possibility of renewal for at least another year.
- Right to self-employment or right to paid employment in his/her registered company within Cyprus.
- Prospective residence in the Republic without any maximum time restrictions, if the enterprise succeeds.
- Enjoyment of family reunification, if the enterprise succeeds.
- Prospective recruitment of specific number of personnel from non-EU countries without prior approval of the Department of Labor, in case of success of the enterprise. The success or failure of the enterprise will be assessed at the end of the second (2) year.
- Family residence in the case the enterprise succeeds.
- Cyprus registered startup will enjoy all the attractive tax incentives of Cyprus companies.
- Shareholder will enjoy the reduced income tax, deductions and tax exemptions based on the local tax legislation.
- Employees have the advantage to be taxed as Cyprus citizens thus benefit from the local personal tax regime.