Cyprus Startup Visa

The Cyprus Startup Visa is a scheme that allows talented individuals, either individually or as a team, to enter, reside, and work in Cyprus to establish a startup enterprise. The scheme is valid until December 2026. The aim is to attract talent, create jobs, foster innovation, entrepreneurship and sustainable growth.

The Cyprus startup visa is aimed at third-country nationals, which means non-EU and non-EEA citizens.

The purpose of the Cyprus Startup Visa program

The Cyprus Startup Visa program is part of the government’s National Policy Statement for the Enhancement of the Entrepreneurial Ecosystem in Cyprus (the main Cyprus entrepreneurship policy, adopted 14 December 2015). Its purpose is to create or relocate new, innovative Startups in Cyprus by eliminating barriers, channelling business opportunities, and ultimately establishing a growth-oriented entrepreneurial culture.

Categories of Cyprus startup visas

The beneficiaries of the Cyprus startup visas can be individuals or teams.

Individual Startup Visa scheme

A third-country national who applies as the sole founder of an innovative Startup is eligible for this scheme.

Team Startup Visa scheme

A team of a maximum of five third-country nationals is eligible for the Team Startup Visa scheme. At least one founder must be present, and the others must act as senior executives.

In both cases (individual or team), the applicant or team of applicants must own at least 25% of the shares.

Who can benefit?

Non-EU country nationals who have established or are in the process of establishing an innovative small business and their families have the right to residency and family reunification.

Cyprus Startup Visa requirements

The application requirements for the Cyprus Startup Visa depend on the revenue stage of your enterprise.

For startups with under €1 million in revenue

If your startup has yet to generate revenue or has earned less than €1 million, your application must include a comprehensive business plan. This plan will be rated by two independent evaluators (and a third, if necessary). You are required to submit:

• A completed application form with supporting documents.
• A 15-page business plan (the government provides a sample for reference).

For startups with over €1 million in revenue

If your startup has certified revenue of at least €1 million, you must submit the following:

• A completed application form with supporting documents.
• Your most recent audited financial accounts.
• A certificate from an external auditor verifying both of the following:
  • Revenue of at least €1 million.
  • Research and development (R&D) costs were at least 10% of total operating costs in one of the last three years.

Minimum income

If you are self-employed, you must demonstrate a minimum yearly income of €10,000.

Enterprise requirements for innovative startup

For both pre-revenue and post-revenue startups, you must show that your startup fits the EU-required startup definition. Your enterprise must develop new or significantly improved products, services, or processes that involve high technological or industrial risk, which are characterised as innovative in their market or field.

Alternatively, the startup may generate new revenue streams or platform products, scaling internationally.

Application and evaluation procedure

You apply to the Migration Department of the Deputy Ministry of Migration and International Protection.

Your application is evaluated according to specific criteria on the relevant government site. These criteria are definitional: whether you match the description (founder or founder with a team of four senior executives) and the definition of an innovative startup.

The government site containing the documents and guidelines is here: Apply for a Cyprus Startup Visa - gov.cy

Your application is evaluated by the Deputy Ministry of Research, Innovation, and Digital Policy. They will approve or reject it within five weeks.

You must score 3 points or more per criterion or 15/20 in total. An average evaluation of 12/20 means rejection with the right to resubmit the application one more time.

Recruitment of foreign personnel in the enterprise

You can hire up to five foreign employees without prior approval from the Department of Labour. They must earn a gross monthly salary of at least €1,500. They will have the right of residence and employment, with a possibility of a 2-year renewal.

If you invest €150,000 or more in the Republic, you can hire an additional 10 foreign employees without prior Department of Labour approval.

Conditions apply if you wish to hire additional foreign personnel.

New Cyprus Startup Visa program changes

Cyprus updated the Startup Visa scheme in December 2024. Key changes include:

• The startup visa (temporary residence and employment permits) has been extended from two to three years.
• The possibility of renewal has been extended from one to two years.
• The applicant(s) must now own 25% of the shares, not 50%.
• Rules regarding the additional foreign personnel have been relaxed. It is possible to have 50% foreign personnel instead of 30%.

The benefits of the Startup Visa in Cyprus

Securing a Startup Visa in Cyprus provides entrepreneurs with significant advantages for their business operations and personal lifestyle:

• Right of residence and employment in a business-friendly environment, with opportunities to grow and expand.
• A safe and orderly country with a mild climate, a relatively inexpensive lifestyle, and good health and education systems.
• Access to European markets.
• Excellent workforce and support for business: availability of lawyers, accountants, and other professionals.
• Low office space rentals.
• Widespread use of English.
• Strategically located near Europe, Africa, and the Middle East.

Tax-efficient benefits

Corporate tax benefits

At 12.5%, the corporate tax in Cyprus is among the lowest in Europe.

The intellectual property tax package is also low: 2.5% of the income generated from IP assets.

There are no local government income taxes in Cyprus, except for companies that own immovable property, in which case they are required to pay municipality taxes on the property.

Personal tax benefits

There are numerous personal tax benefits available to individuals who are tax residents of Cyprus.

Income is taxed at a rate, with the first €19,500 tax-free.

You will pay no income tax on:

• Dividends
• Interest
• Gifts
• Owning property

Frequently asked questions