Learn Everything About Financial Licenses & Registration



Learn Everything About Financial Licenses & Registration

Cyprus has been one of the models in the European Union after an extreme economic crisis in the aftermath of the European debt crisis. The island reformed its economy and as of today, it is one of the most flourishing nations in the European Union, with a wide variety of Financial Licenses & Registration in Cyprus. This is a heavenly island that takes pleasure in a privileged climate and setting that has always made it a famous touristic destination in the Mediterranean.

The country is known for thousands of years of history and white sandy beaches, 340 days of glare every year, and a tranquil and hospitable foreigners’ local populations. These are some of the key reasons why a lot of Europeans love to visit this country. However, we love Cyprus for one more reason. Do not get us wrong, we even admire its divine beaches, but we are in love with the home of Saint Mamus for a different reason - its flourishing and pioneering financial services and solutions.

This country has turned out to be, together with Malta, one of the top Mediterranean destination for investment firms.


The Reason

For the reason that firms across the globe are experiencing an increasing amount of pressure to abide by stringent regulation and regulatory bodies across the globe are gaining more and more authority to make sure that business licenses are in place. as a result, such a process signifies that they will spend a ton of time and money dealing with regulatory entities.


Add to that the element that tax establishments even have more power and a lot of nations, particularly in the European Union, are applying high-tax policies, and you will understand the reason why the future for financial service providers seems bleak. It seems that operating an investment firm is not too enticing in the European Union anymore.


But here is when Cyrus comes in.

The corporate tax rate in Cyprus is 12.5%, which is one of the lowest of the European Union alongside Ireland. In addition, Cyprus has exemptions from dividend contribution, capital gains, profits from securities, and no withholding taxes.

On the personal aspect, if you are a tax resident in Cyprus, and you can attain a non-don standing by just spending sixty days in the island, under certain circumstances, you will get a fifty percent personal income tax freedom for ten years if your income is more than a hundred thousand euros. You will be relieved from the Defense Tax for seventeen years.



That signifies that you will have a personal freedom of the standard seventeen percent dividend income, thirty percent passive interest income, and 2.25% rental income contributions. In addition, the country has eased its procedures for attaining a financial management license to run an investment company.


All this has resulted Cyprus to turn out to be a leading financial licensing authority with complete European Union passporting rights, a robust governing framework, and unbelievable tax optimization possibilities in abundance.

If you are still not convinced that Cyprus is the most promis

ing destination for your investment company, let us dig deeper through some of the advantages.


  • Upfront Process

As usual, attaining a financial license is not a plain process. Yet, the steps to get a financial authorization in Cyprus are strict enough to permit just authentic players but flexible enough to be enticing. If you apply by the standard way, you will get a reply in five to six months. However, if you apply by means of the fast-track way, you will get a response in a sheer two months.


  • Passporting Rights

Establishing an investment company in Cyprus will provide you with complete access to the European Union market. You can carry out business in other European Union states without extra licenses for other states, which signifies that a Cypriot license will permit carrying out business freely all across the European Union.


  • Pro-Business Government

Cyprus made a huge leap toward pro-business policy after the 2013 financial crisis. They put a plenty of tax incentives on the table and opened the nation for investors, creating a lucrative non-dom status, supporting tax credits for fund managers, creating CBI and RBI programs, and reforming banking laws so banks could securitize loans. This lessened non-performing loans and provided the island an entry of fresh FDI that has since revitalized the Cypriot economy.


  • Tax Optimization

A 12.5% corporate tax rate and no dividend and capital gains taxes, nor withholding taxes or taxes on profits from securities. No taxes on the foreign-sourced income of the company. And on the personal side of the equation, you can get a 50% personal income tax credit for ten years if you are qualified for the non-dom status, which will even allow yoy a tax freedom on personal dividend, passive interest, and rental income.


  • Multi-Purpose License

One Cypriot financial licenses & registration in Cyprus will permit you to offer nine key financial services and seven ancillary services. In a lot of nations, you need a wide range of diverse licenses for nearly every service you would like to provide, and that costs time and money. That is not the scenario with Cyprus, as you can deal with a lot of diverse investment services with a single license.


What services can an investment company offer in Cyprus after attaining a license?


After attaining and authorization, such a license will permit you to provide all ley investment services, such as:


  • Investment Services
  • Operation of an OTF (Organized Trading Facility)
  • Operation of a MTF (Multilateral Trading Facility)
  • Placing financial instruments without a strong commitment basis
  • Underwriting of financial instruments and placing of financial instruments on a firm commitment basis
  • Investment consulting
  • Portfolio management
  • Dealing on own account
  • Execution of orders representing clients
  • Reception and transmission of orders regarding financial instrumnets
  • Ancillary Services
  • Services associated with underwriting
  • Investment research and financial analysis or other ways of general advice and research associating with financial instrument transactions
  • Foreign exchange services on condition that these are associated with the provision of investment services
  • Advice on industrial strategy, capital structure and comparable matters and consulting and services associated with mergers and the acquisition of undertakings
  • Granting credits or loans to an investor to permit him to carry out a transaction in financial statements, when the firm granting the credit or loan is involved in the transaction
  • Safeguarding and management of financial instruments for clients

Cyprus is one of the most preferred jurisdictions for financial licensing. It is a leading entrance to the European Union market that comes with amazing tax and regulatory advantages. It will be the initial step towards reaching top asset protection.

If you also would like to obtain a financial management license in Cyprus, look no further than getting in touch with AAA Management Services!

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