Cyprus is the third largest island in the Mediterranean combining high quality of life with a plethora of opportunities for economic growth.
The following facts have contributed to establishing Cyprus as a high-tech business hub and the perfect destination to start or grow technology companies:
- Highly educated and experienced human talent with more than 80% of locals speaking English/another foreign language.
- Advantageous and transparent EU approved tax regime (corporate tax of 12.5% and many taxation treaties).
- Full access and many trade agreements to European markets and easy access to other major markets.
- Low cost of doing business.
- Strong business support that makes starting and running a business easy.
- Excellent regulatory structure.
- Positive economic outlook.
This has lead to many successful tech giants relocating or expanding in Cyprus and many local companies developing their own proprietary technology allowing them to grow globally and contribute to this new eco-system being developed in Cyprus.
The World Bank has published the “Doing Business 2020” report which states that Cyprus is climbing it’s ranking steadily. Currently it is at position 54, and it has made starting a business less expensive by reducing the cost to register a company. Cyprus has also made paying taxes easier by implementing an online system for filing and paying mandatory labor contributions.
- The corporation tax rate for all companies is 12.5%
- IP Box: Royalty income, embedded income and other qualifying income derived from qualifying intangible assets in the ‘old’ Cyprus IP box are eligible 80% tax reduction of the net profit
- Investments from the Cyprus Investment Program. Applicants have to invest at least €75.000 in a certified innovative enterprise, giving raise to new funding opportunities for tech companies and start-ups.