“Timely insights – complex made simple”

General Principles

In practice, Cyprus does not officially restrict the rights of Russian citizens, but in some areas, especially banking, Russians may face increased scrutiny. All actions are only limited by the criminal code and the rights of others.

❗ Banking Example

Some Russians in Cyprus face account blocks and subsequent checks of fund origin. It is important to be ready to prove the legality of funds and purpose of stay.

🛂 Rights of EU Citizens in Cyprus

• Freedom of movement, residence, and employment.
• Access to education on the same terms as Cypriot citizens.
• No visa required if the stay is under 3 months.

For stays over 90 days, a Yellow Slip must be applied for within 4 months of arrival.

🕔 Deadline violation — fine up to €2562.90.

👨‍👩‍👧‍👦 Rights of Spouses and Family Members of EU Citizens

• Spouses and children under 21 can obtain residence rights by submitting the MEU2 form.
• Once registered, they receive the same rights as the EU citizen.
• Documents must also be submitted within 4 months.

📑 Required documents: passport, proof of relationship, photos, evidence of cohabitation, and (if needed) dependency confirmation.

🛠 Practical Example: EU Citizens in Industrial Zones

• In certain sectors (e.g., energy or industry), simplified registration and social security access procedures are provided for EU citizens.

Conclusion:

• If you are a Russian, EU citizen, or a spouse of an EU citizen planning to live in Cyprus, it is crucial to understand your residence type, rights, and document deadlines in advance. This will help avoid fines and issues with banks, immigration authorities, and employers.

🇨🇾 Cyprus is not only for big businesses!

Since the government of Cyprus uses various initiatives to attract big businesses to the island (especially those related to the IT industry), many people get the impression that Cyprus is a hub only for large-scale businesses. But that’s not the case — and we will explain why below!

🏢 How to open a company (LTD) in Cyprus

Let’s start with the fact that any citizen can open a company (an “LTD” = “Limited Company”). To do this, you need to contact a lawyer, who will apply for name registration and then prepare the company’s Memorandum and Articles of Association.

A company must have at least one director and one secretary. A secretary is the person who legally manages the company, reminds the director of important deadlines, and ensures proper record-keeping of all documents.

Who can be a director, secretary, and shareholder?

According to the Cyprus Companies Law (CAP 113), any person can be a shareholder, director, or secretary — regardless of their citizenship. One person can also fill all these roles.

💡 Myth: it’s allegedly mandatory to have a Cypriot citizen as the company director.
❌ In reality, that’s not true! But there’s a nuance: if the company’s director is a foreign national without a residence permit or permanent residency in Cyprus and does not reside in Cyprus, the tax authorities may consider that the company is not a tax resident. In that case, the company would not be able to benefit from Cypriot tax advantages.

💼 Residence permits, taxes, and bank checks

If the company director holds a residence permit without work rights and is the sole director, secretary, and shareholder, and there are no other employees in the company, banks may question who is actually generating income for the company.

If a bank discovers that there are no employees but there is turnover, it may send an inquiry to the tax authorities and immigration department. This can lead to the loss of your residence permit.

⚖️ We recommend legal advice

We strongly recommend obtaining legal advice before initiating a business in Cyprus, as there are industries where licenses or permits for selling alcohol may be required. Additionally, everything in Cyprus tends to move very slowly.

Employment in Cyprus for foreigners

In order for a company to employ third-country nationals, it must be registered in the Business Facilitation Unit (BFU) of the Ministry of Energy, Commerce, and Industry.

To obtain approval from this ministry:
✅ the share capital must belong to a foreign shareholder (non-EU citizen) — at least 50% + 1 share;
✅ or if the foreign participation in the company’s share capital is equal to or less than 50%, the company is eligible to register if the value of this shareholding is equal to or exceeds EUR 200,000.

👨‍💼 Criteria for highly qualified personnel

1. A gross monthly salary of at least EUR 2,500
2. Relevant academic qualifications or at least two years of relevant work experience in the hired position
3. An employment contract with a duration of at least two years

⚠️ Even if the application is submitted for an initial license of one (1) year, the contract must have a duration (and a stamp) of two (2) years.

Residence permit and work authorization ✈️

If all conditions set by the legislation of the Republic of Cyprus are met, the employee is granted a temporary residence and work permit valid for up to two (2) consecutive years.
In mid-2022, there was a proposal to increase this period to three (3) years, but no such changes have been implemented yet.

⚠️ Important to know!

Changing employers:

A highly qualified employee in a company with foreign participation can change employers and be employed in another company with foreign participation, regardless of the length of stay in the Republic, provided that:
✅ they find a new job within one (1) month after leaving the previous one;
✅ the new company also has the right to hire third-country nationals.

👨‍👩‍👧‍👦 Family members

There is a direct opportunity for family reunification: spouses and minor children may enter and reside in Cyprus.
They can:
🔹 stay as Visitors of Employee (tourist status),
🔹 or be employed in another company not linked to the one where the main applicant is registered.

For entry and residence, they must go through the family reunification procedure.

🚀 Summary

Thus, a highly qualified employee can move to Cyprus, be employed, and bring their family. A pleasant bonus: the application is reviewed within one (1) month, and the card is issued within two (2) weeks after approval.

Currently, this visa is considered the most in-demand, as many third-country nationals use this opportunity to open a business, obtain a work visa with minimal costs, and move to Cyprus with their family.

Residence permit for the spouse of a Cypriot — when can citizenship be obtained?

If an official registered marriage exists between a Cypriot citizen and a third-country national, then by law the spouse acquires the same rights as Cypriot citizens. This process is quite straightforward.
It is not necessary to get married in Cyprus — a marriage certificate from another country is accepted, but it must be translated into English or Greek with an apostille (where required).

To obtain the right to reside in Cyprus, the third-country national must submit one of two applications: MCYE2 or MCYV2 (see the list of documents below).
After submitting the documents, the spouse of a Cypriot obtains all rights of a Cypriot citizen except the right to vote and participate in politics. Rights include access to healthcare, education, and social security.

Visas and work for the spouse of a Cypriot

Traveling within the EU requires a visa, but the visa for the spouse of a Cypriot citizen is issued free of charge and usually for up to 6 months.
The spouse of a Cypriot citizen can freely work in Cyprus without restrictions; the only requirement is to change status from visitor to worker.

Obtaining citizenship after marriage

Cypriot citizenship can be obtained 3 years after the marriage.
Applications can be submitted either at the municipality or at the Immigration Department in Nicosia.
The process takes about 2–3 years.
If the spouses have a child, the child receives Cypriot citizenship within 1 month.

Documents for MCYV2 (before arrival in Cyprus)

• Copy of a valid passport and the original at the time of application.

• Certificate of marital status confirming the relationship.

• Copy of a passport valid for at least 3 months after the intended stay.

• Blood test results from the country of origin (hepatitis B, C, HIV, syphilis) + chest X-ray for tuberculosis.

• Certificate of no criminal record from the country of residence.

• Proof of stable income outside Cyprus and/or income of a Cypriot family member.

• Statement from the host confirming provision of accommodation.

• Written consent of the Cypriot citizen (if applicable).

• Property ownership document or rental agreement for accommodation.

Documents after arrival of a third-country national

• Repeat blood tests confirming no hepatitis B, C, HIV, syphilis, and chest X-ray with doctor’s stamp in Cyprus.

• Medical insurance covering inpatient and outpatient care and body transportation (Form A) or Ministry of Health hospital card.

• Copy of the passport page with arrival stamp and visa.

• Original entry permit (M70).
  Immigration may request additional documents. The visa can be obtained if the third-country national is already residing in Cyprus.

Citizenship for the spouse of a European residing less than 7 years in Cyprus?

The spouse of a Cypriot citizen can apply for citizenship after 3 years of marriage.
For the spouse of a European residing less than 7 years in Cyprus, there are no special relaxations or exceptions.
European spouses can apply for citizenship under the same standard requirements as others.

Child born in Cyprus — can they receive benefits?

A child born in Cyprus does not automatically receive citizenship, except when one parent is Cypriot.
The child must have legally lived in Cyprus for 7 years (with a visa or permanent residence permit) to apply for citizenship.
If the parents or children are Cypriot citizens, the period is reduced to 5 years. For example, if the parents are not married, the mother must have lived 5 years to apply for the child’s citizenship.
The Cypriot birth certificate is issued at local Citizens’ Service Centres (KEP). An appointment must be made and parents need to bring passports, residence permit, and the original birth hospital certificate.

Obtaining a Cypriot birth certificate

Two certificates can be obtained:

• At the municipality in Cyprus — the Cypriot birth certificate.

• At the embassy of the parents’ country — the birth certificate according to their nationality.

How can a foreigner open a private business in Cyprus?

A foreigner can open both a local business (e.g., a shop) and an international company in Cyprus.

Local business:
A shop or service can be opened in Cyprus with a residence permit. To get a residence permit, an application must be submitted along with a business plan, proof of financial capacity, and rental documents.
A foreigner can officially work in their own business by obtaining a work permit.

Self-employment:
A third-country national can register as self-employed — for example, as a hairdresser, manicurist, etc. For this, a work permit and residence permit are required.

Opening an international company in Cyprus

If the company has a single owner who is a third-country national, they can work in their company provided they get the appropriate work permit.
There are several options for residence permits for the owner and family members: business residence permits, work visas, and also citizenship through a simplified procedure if conditions are met.
It is important to comply with tax laws and registration requirements.

Buying property in Cyprus: what to pay attention to?

Legal and practical aspects:
When buying, carefully study the contract to avoid pitfalls. Foreigners often face problems due to insufficient knowledge of local laws.

Number of properties:
A foreigner can buy multiple properties, but there are different restrictions for EU citizens and third-country nationals.

Permissions:
Buying property as a foreigner requires approval from government authorities — it is a formality but must not be ignored.

What is allowed and not allowed:
Property can be rented out or sold, but there are restrictions on land use and construction.

Property purchase process step-by-step

• Searching and inspecting properties.

• Signing the sale and purchase agreement.

• Title deed: the document confirming ownership — very important for legal possession.

• Taxes: transfer tax, VAT (if applicable), notary and registration fees must be paid.

• Transfer of ownership is registered at the Land Registry.

• Annual property tax is paid by owners depending on the property’s value.

Who fixes defects in a new house? Property problems

Defects in new houses are usually fixed by the developer or seller under the contract.
Old houses often have issues with utilities, repairs, and sound insulation. A thorough inspection is advised before purchase.
In apartment buildings, responsibility is shared between owners and management companies. It is important to understand who is responsible for what and how to resolve disputes.
Knowing your rights and obligations helps avoid conflicts and extra costs.

Cyprus Startup Visa

This visa allows talented entrepreneurs from third countries (outside the European Union (EU) and European Economic Area (EEA)), either as individuals or groups, to enter, reside, and work in Cyprus to create, manage, or develop a startup with high growth potential.

The number of visas is limited to 150 and will be issued until May 2024.
Applicants must provide a business plan describing a five-year development plan for the startup.

Who can apply for this visa?

• Individual scheme – Citizens from non-EU countries acting as sole founders of an innovative startup. An innovative startup is defined as a company developing new innovations that create sustainable competitive advantages. 
• Team scheme – Teams of up to 5 people consisting solely of startup founders or at least one founder and other senior executives. More than 50% of the company’s shares must belong to one or more team members. 

Application for entry to the Republic of Cyprus

Initial approval for startup registration is issued within five weeks after application, but does not guarantee the right to enter, reside, or work. To obtain entry and residence permits, applicants must apply to the Cyprus consulate or, if already in Cyprus, to the Immigration Department within six months of approval.

Application for temporary residence in the Republic of Cyprus

If legally residing in Cyprus, the applicant must apply to the Immigration Department within one month of receiving the initial approval for registration/residence for the startup.

IMPORTANT
If the applicant is in Cyprus as a visitor (annual residence permit), they must first submit a written request to the Immigration Department to change their residence status. This request is reviewed within five weeks. If the applicant submitted documents but hasn’t yet received approval and is residing in Cyprus with a receipt for payment of the residence permit, no separate application is needed.

Processing time for entry and residence permits

Applications are processed within three weeks after submission. Upon approval, the applicant must enter Cyprus within the validity period of the issued document, usually 30 calendar days.

Who else can apply for residence permits?

Family members of founders and senior managers have the right to reside and paid employment in Cyprus under the following conditions:
(a) Rights apply only to spouses of founders and senior executives.
(b) Work permits follow national labor procedures depending on the employer (foreign or Cypriot company).
(c) Work rights apply only to paid employment, not self-employment.

Stages and process:

1. Submit startup registration application, including legal form and business plan. 
2. Upon approval, register the startup or transfer an existing company. 
3. Submit documents for entry or, if legally residing, apply for a work visa including family documents. 

Employment in Foreign Companies

This visa is similar to the startup visa but with some differences.

The employer company must be registered in the Business Facilitation Unit (BFU) of the Ministry of Energy, Commerce and Industry. For approval, foreign shareholders must own at least 50%+1 share, or if foreign ownership is 50% or less, the investment must be at least €200,000.

Criteria for highly skilled personnel:

• Minimum gross salary €2500 per month. 
• Relevant academic qualification or at least two years of relevant experience in the position. 
• Employment contract for at least two years. 

IMPORTANT Even if the visa is initially issued for one year, the contract must be for two years and properly certified.

Duration of residence and work permit:
Up to two years, renewable. Proposals to extend to three years are pending.

Changing employer:
Allowed if new employer also has foreign participation and employment is found within one month.

Family members of workers in foreign-participation companies:
Family reunification allows spouses and minor children to reside, either as visitors or employed by other companies.

This visa is currently the most popular for third-country nationals relocating to Cyprus.

Visitor Visa

Visitor Visa (Pink Slip / Visitors Visa) is the most popular visa for residence in Cyprus. It is available to any third-country national, with a simple document process.

Key points:

• Lease agreement must be in the applicant’s name or jointly with spouse, or a municipal certificate proving cohabitation. 
• Opening a personal bank account in Cyprus is required, with income sourced outside Cyprus. 

Banks often require residence permits, lease agreements, and utility bills for account opening. Sometimes it is possible to open a frozen bank account until residence permit issuance.

Cyprus Digital Nomad Visa

What is it?
The Digital Nomad Visa is aimed at attracting non-EU/EEA nationals who work remotely via IT technologies for foreign companies or clients.

Who benefits?

• Citizens of third countries working remotely for foreign companies or as freelancers serving foreign clients. 
• Must prove stable monthly income of at least €3500 after taxes. 

Benefits:

• Residence permit for one year, renewable twice (potentially up to three years). 
• Family members may reside for the same period without the right to work or economic activity. 
• Spending more than 183 days in Cyprus makes the applicant a tax resident. 

Temporary Protection

For granting or renewing residence permits for holders of temporary protection and their families, applications (MIPA2) and required documents are submitted at application points without prior appointment.

Applicants are registered in the Foreigners Registry and issued an Alien Registration Card (ARC).

There is no application fee.

Biometric data (photo and fingerprints) are collected, except for children under 6.

The department processes these applications on a priority basis.

Validity:
One year.

Labor market access:
Holders have free access to employment.

General Comment

Documents issued in Russia do not require apostille, only notarized translations. For other countries, check apostille requirements and conventions.