Moving Your Company To or From Cyprus: Understanding Redomiciliation

Running a business today often means looking beyond borders. Markets change, investors shift focus, and sometimes, the legal environment of one country no longer fits your company’s long-term strategy. When this happens, many business owners believe they have no choice but to close down their company and start from scratch elsewhere.

Cyprus law offers a more elegant solution: redomiciliation.

Put simply, redomiciliation allows a company to “move house” – transferring its legal seat from one country to another – while keeping the same identity, history, assets, and contracts. There is no need to liquidate and re-incorporate. Your company carries on as the same legal person, just under a new jurisdiction.

Under the Companies Law, Cap. 113, Cyprus allows both:

• Inward redomiciliation: a foreign      company can move to Cyprus and continue as if it were always a Cyprus      company.

• Outward redomiciliation: a Cyprus      company can move abroad, provided the other country allows companies to      “continue in.”

New EU Cross-Border Conversion Regime (2024)

In March 2024, Cyprus implemented the Mobility Directive (EU 2019/2121) through Law 26(I)/2024. This introduced a harmonised EU-wide procedure for cross-border conversions when both the country of origin and the destination are EU Member States.

This new regime allows companies to transfer their registered office and convert into the legal form of the destination state, with extra safeguards for creditors, employees, and minority shareholders.

Importantly, the traditional redomiciliation regime under Cap. 113 still applies. In practice:

· If your move is to or from a non-EU country, the continuation (redomiciliation) route remains available.

· If both jurisdictions are in the EU, the new conversion framework may apply instead.

Why Businesses Choose Cyprus

Cyprus has become a popular destination for companies relocating in. The reasons are easy to see:

• A 12.5% corporate tax rate, one of the lowest in the EU.

• A wide network of double tax treaties, easing      cross-border operations.

• A familiar legal system based on English common law.

• Access to the EU market while retaining close ties to the      Middle East, Asia, and Africa.

For companies leaving Cyprus, the reasons are usually strategic: perhaps expansion into a new market, aligning with investor needs, or moving closer to operations and clients abroad. The key advantage is that Cyprus law allows this flexibility — letting businesses adapt without disruption.

Moving a Company Into Cyprus

The process of transferring your company into Cyprus is designed to be structured but straightforward.

1. Checking eligibility: The first      step is confirming that your current country allows companies to move out,      and that your company’s constitution permits it. If not, an amendment may      be required.

2. Preparing documents: You will need      to provide evidence that your company is in good standing, a shareholder      resolution approving the move, a declaration that the company is solvent,      and copies of your existing constitutional documents.

3. Temporary registration in Cyprus:      Once the Registrar of Companies is satisfied, the company is provisionally      registered in Cyprus. From that point, it is treated as a Cyprus company,      while you finalise the deregistration from your old jurisdiction.

4. Final certificate: After receiving      confirmation that the company has been struck off the register in its old      country, the Registrar issues a permanent Certificate of Continuation. The      company is now fully Cypriot — with its identity intact, but under Cyprus      law.

Moving a Company Out of Cyprus

If you are looking to move your company abroad, the steps are slightly different but equally clear.

1. Approval by shareholders: A special      resolution is required to approve the move.

2. Notification and transparency: The      decision is published in two local newspapers, giving creditors three      months to raise any objections.

3. Application to the Registrar: The      Registrar reviews the company’s compliance record — ensuring annual      returns, tax filings, and fees are up to date — and examines the solvency      declaration.

4. Certificate of Discontinuance: Once      approved, and once the new country accepts the company, the Registrar      issues a certificate confirming the company has ceased to be governed by      Cyprus law. From then on, it continues life in its new home.

The Bigger Picture

Redomiciliation is not just a legal process. For many business owners, it is about continuity and confidence. The company they have built — with its contracts, banking relationships, licences, and history — can move jurisdictions without disruption.

At the same time, it is about choice. Cyprus gives companies the freedom to relocate in or out depending on what makes the most sense for their future.

How We Help

Our role is to make the transition as smooth and stress-free as possible. We handle the detailed steps with the Registrar of Companies, ensure all statutory requirements are met, and liaise with foreign advisers when needed. Whether you are moving into Cyprus to benefit from its business-friendly framework, or moving out to explore new opportunities abroad, we guide you every step of the way.

Frequently Asked Questions

How long does redomiciliation take?
The timeframe varies depending on the complexity of your company and how quickly documents are prepared. As a guide, inward transfers can usually be completed in three to six months, while outward transfers may take longer due to the three-month creditor notice period.

Will my company’s contracts and licences remain valid?
Yes. That is the main advantage of redomiciliation: the company’s legal personality remains the same. All contracts, rights, obligations, and licences continue without interruption, though regulatory licences may need to be updated or re-approved in the new jurisdiction.

Do my tax obligations transfer as well?
Your company will become subject to tax in the new jurisdiction from the date of continuation. In Cyprus, that means enjoying the 12.5% corporate tax rate once the company is fully registered here. However, you may need to settle outstanding obligations in the old jurisdiction before the move.

Can creditors stop the move?
Creditors have the right to object during the notice period (three months when moving out of Cyprus). The Registrar will not approve the transfer until objections are resolved. When moving into Cyprus, the Registrar will also require a solvency declaration to ensure the company is financially

sound.

Is redomiciliation available to all types of companies?
Most private and public limited liability companies can redomicile, but some entities — such as companies with bearer shares, certain regulated entities, or companies under liquidation — face restrictions. Advice should always be taken on your company’s specific case.

Final Word

Redomiciliation is a reminder that a company is not tied forever to the country in which it was born. Like people, businesses can change homes — and Cyprus has one of the most flexible systems in Europe to make that happen.

If you are considering relocating your company to or from Cyprus, our team would be delighted to talk through the options and help you choose the path that best supports your long-term vision.