Formation of Branches

Formation of Branches

A non-resident company may operate in Cyprus through a branch, rather than a subsidiary. A branch is considered an entity without legal personality so the foreign Head Office bears responsibility for the branch under the Cyrus law.

The branch must be registered with the Registrar of Companies within 30 days from its establishment in Cyprus, and, must have the same name as the parent company.

Branches of overseas companies managed and controlled in Cyprus is identical to the rate applied to all Cyprus companies i.e. at 12.5% on their net profits. However, if their management and control is conducted outside Cyprus, the branch profits are exempted from all taxes.

In order to register a branch in Cyprus, the following documents must be submitted with the Registrar of Companies:

  • Certified copy of its' Constitution (or the Charter, or the Memorandum and Articles of Association);
  • Particulars of any directors and secretary of the company; and
  • Name and contact details of at least one person resident in Cyprus who is authorized to accept service of notices on behalf of the company.

Upon registration of the branch

The manager of the branch must provide full set of documents, duly legalized and translated into Greek or any other language. Such documents normally comprise of:
  • Certificate of registration;
  • The charter of the overseas corporation or other instrument defining its constitution;
  • List of directors and name of the person authorized to accept notices letterheads, invoices and other branch stationery; and
  • Any other information and documentation pertaining to the branch’s activities up to the date of its establishment
Our Law firm undertakes the registration of branches on behalf of any non-resident company wishing to operate in Cyprus through a branch.