On 18/12/2024, the Council of Ministers has approved the revised Cyprus Start up scheme, including revisions that will be attractive to talented entrepreneurs from non – EU countries, where they will be allowed to work and reside in the republic of Cyprus with the goal to set up, establish and operated new and innovative start-ups.
The main revisions to the Start-up scheme are as have been announced are:
- An extension to the duration of the residence from 2 to 3 years, with a possibility of 2-year renewal, instead of 1 year.
- A decrease of the required percentage of equity that the non – EU applicants must have in the Cypriot company from 50% to 25%, being more easier for diverse applicants to be qualified.
- An increase to the ability of employing non – EU nationals from 30% to 50% of the company’s entire staff
- In case that the start-up investment in Cyprus is equal to or exceeds €150,000, then will have the option of hiring additional foreign personnel.
- The implementation of different evaluation criteria for start-ups that have sales revenues of at least €1,000,000, and whose research and development expenditures amount to at least 10% of their total operating expenses in one of the past 3 years.
The aforementioned revisions will be effective from January 1, 2025.
The revised scheme seeks to attract start-ups at various stages of their development, from early ventures to already set up and established businesses by offering more flexibility strengthening the innovation and entrepreneurship ecosystem in Cyprus.
If you would like more information about how GCPLAW can help you, feel free to contact:
Emilios Koulountis,
Manager of the Corporate Department
emilios@gcplaw.com.cy
