Legal Requirements to Create ‘Substance’ in Cyprus a Positive Move for Offshore Businesses
Last year, new foreign company legislation was passed known as ‘deoffshorisation.’ This legislation, which came into effect from 1st January 2015, meant that countless offshore company structures established in Cyprus needed to make adjustments to their offshore entities in order to be compliant with the new law.
The legislation affirms that any individual or company with a 25% or more ownership in a foreign company or organisation must be categorised as a ‘controlling entity,’ meaning that changes to their legal form must be made – primarily in the form of greater substance within an offshore organisation.
Since the legislation was implemented, countless offshore structures have adjusted their operations and built up substance in their structures by establishing operational offices in Cyprus and by directly appointing physical persons to their structure.
Substance in Cyprus is essential in order to support Cyprus tax residency status, support transfer pricing challenges, defend beneficial ownership challenges and exchange information transparently and confidently. The increase in substance has also led to an increase in employment, the attraction of more talent and a boost to the economy.
Cyprus’ strategic location combined with its developed legal system, full EU membership, competitive corporate tax rate of 12.5%, business-friendly environment and low operational costs make it the ideal location for establishing substance in.
However businesses cannot increase substance without the support of a reliable and knowledgeable agency to assist them throughout the procedure.
How can Fairfax Yeaman assist?
Fairfax Yeaman works hard to support its clients with a wide range of services designed to assist with increasing substance in Cyprus. Their team of specialists can assist you with the following services:
Providing assistance to companies or special purpose vehicles to legally obtain transparency, ‘substance’ and comply with the Cypriot Legal System in addition to the supply of qualified personnel and exec and non-executive directors that are screened and supplied via Fairfax Yeaman’s group company, GRS Global Recruitment Solutions (Cyprus).
Providing tailor-made administration, bookkeeping, payroll, immigration and secretarial services
Fairfax Yeaman’s founders and directors, Nicoletta Demetriou, Donna Stephenson and Steve Slocombe possess industry specific, in-depth knowledge along with more than 15 years’ experience in the industry, thus enabling them to provide the highest-quality, bespoke services delivered in a prompt and responsive manner.
Heading the team is Fairfax Yeaman’s Director of Accounts and Payroll, Nicoletta Demetriou, who is responsible for overseeing complex and technical services to local and international companies with a presence in Cyprus. Nicoletta is an FCCA qualified accountant with more than a decades’ worth of experience in running payroll and accounting services for local and international businesses with a presence in Cyprus. Together with the team, she works persistently and efficiently to ensure the needs of her clients are met accurately and professionally.
Further to supporting its clients and assisting them with increasing substance in Cyprus, this highly established firm also offers a wealth of additional services including outsourced payroll services, immigration, registration of personnel with the local authorities and Cyprus employment contract provision. Such a broad spectrum of services ensures that all business’ needs are met in a cost-effective, reliable and specialised way, thus enabling Fairfax Yeaman to provide greater value to its international clientele.
Fairfax Yeaman is simply unrivalled in terms of quality of service, knowledge and delivery. By investing carefully in their team and technology, they are able to offer the highest quality services and a fast turnaround whilst never compromising on quality.
For further information please contact a member of the team on +357 25 55 80 25 or email firstname.lastname@example.org