In the times we live in, business is a difficult affair, but it also presents several opportunities for current and potential entrepreneurs in Cyprus. Many times small businesses do not know what opportunities exist at European level and how they can take advantage of them for their activities.
As a citizen of the European Union, everyone has the right to set up a new business, even a sole proprietorship, or to expand their business in any other EU country. The same applies to the establishment of a branch of any company which is established and already registered in an EU member state.
The legal framework defines how one can set up a business. However, the requirements vary from country to country, from the cost of starting a business to the bureaucracy, procedures and time required. For example, starting a business in Ireland costs much less and requires much less time and procedures than starting a business in Spain. The Commission now urges all countries to achieve certain objectives in order to greatly facilitate the setting up of new businesses and to alleviate existing differences in the conditions that Member States impose on young entrepreneurs.
The Commission's proposals to EU countries are as follows:
● The company should be set up in a maximum of 3 working days.
(The (bureaucratic) cost of starting a business should not exceed 100 euros.
. Complete all the necessary procedures for setting up a business through a single administrative body.
. Complete all business registration formalities online.
● Register a company in another EU country via the internet (with the help of national contact points).
If you want to see what applies to starting a business in any EU country, you can visit the special section for start-ups, which is available at europa.eu and find the national contact points of each country, from where you can to be informed and to start the procedures via internet.
At the same time, the Commission emphasizes that there is a lot of funding available in the EU for start-ups and it is enough to visit the Start Up Europe website to see what the subsidy and financing programs for new businesses in the EU are. If someone already has a business and wants its development or expansion, through the Startup Europe Partnership can look for partners. Finally, if the interested entrepreneur wants to increase the visibility of the business plan, he can register it in the European Investment Portal (EIPP) which enables him to communicate with potential international investors.
Company in Cyprus
In Cyprus, in order to proceed with the registration of the company, the interested party must, first of all, decide on the type of company, the name, the address of the registered office, the directors and the secretary, the members and the share capital. , the purposes of the company, the founding and articles of association of the company. After selecting the proposed company name and before applying for approval of the proposed name, an online search must be made in the register of registered organizations of the Registrar of Companies to verify whether there is already a registered organization with the same or similar name.
The papers needed
The application for approval / name change is submitted online or by hand or by mail accompanied by:
Permission, consent or pre-approval, from a competent governmental authority or body, in case it is required for the use of words or expressions and / or for the nature of the work respectively. Fee € 10 for each proposed name. In case of expediting the name examination process, a fee of € 20 can be paid for each proposed name. A company, after its establishment in the Registrar of Companies, must keep its register updated, notifying any changes in the data as well as complying with the annual obligations within the time limit defined in the Companies Law: company register update, annual registration reports and financial statements, securing certified copies / company certificates, updating the register of charges & mortgages, updating the register of the recipient / administrator, other entries in the register of companies.
Erasmus for young entrepreneurs
If someone has just started a business or intends to start soon, they may be able to join the Erasmus exchange program for young entrepreneurs. This program, partly funded by the EU, allows the person concerned to live for a while in another EU country, in order to work and gain experience next to an experienced entrepreneur. This is an exchange program and not a paid job.
In order for the interested entrepreneur to participate in the program, he / she must demonstrate the interest and clear intention to start a business. It should present a serious business idea, accompanied by a realistic business plan. You should also be able to supplement the funding provided by the program with own resources to cover the cost of accommodation abroad. You can apply even if a business has already started, provided that less than 3 years have passed since the application was submitted. Must be over 18 years of age and be a resident of an EU country or country that has been a party to the COSME Agreement for the last 180 days.
Duration of the program
The duration of the program ranges from 1 to 6 months. It is possible to divide the length of stay into different periods, provided that the program is completed within 12 months of its start.
Who will you contact?
In most countries there are local contact points (intermediaries). These organizations will guide the interested party in all stages of the exchange program, assist with the application and pay the amount of financial assistance. In case there is no intermediary organization in the country of residence of the interested party, he / she can contact a corresponding organization in another country.
EU financial assistance
Financial assistance can be applied for to cover travel and subsistence expenses during the program. The amount varies from country to country.
How to apply
Documents required to submit the application: Curriculum vitae (CV), letter of expression of interest, business plan
Requirements for setting up a European company
To set up a European company, the applicant must meet all the following requirements: the registered office and headquarters must be located in the same EU country, must have a minimum registered capital of 120,000 euros. The company and the employees' representatives have agreed on the participation of the employees in the company's organs and on the way in which the employees will be informed and their opinion will be sought. With regard to settlement, liquidation, insolvency and cessation of payments, the European company must follow the rules of the European country where the company is registered. In general, the same EU rules for European companies apply in all EU countries. However, depending on the country in which the European company is registered, different rules may apply for certain issues. For example, these rules may relate to the principles it has to work with or the arrangements you have to follow regarding employee involvement.