If you are considering moving your company to Europe, take a look at Cyprus.
The IMF published a report this week regarding UK’s positioning after Brexit, noting that due to the fact that the United Kingdom has a weak public finance sector, combined with high level of debt and low levels of assets, this could mean tax rises in the future for UK.
The government-owned asset growth will not provide as much support to the economy, as they would like, United Kingdom also privatised many of its assets during the 1980’s and 1990’s, and not having created a sovereign wealth fund, as other countries have done with their assets, new sources of growth are very limited. It was also noted, that from the leading industrialised countries United Kingdom ranked only higher that Portugal, for its ‘net worth’.
Many companies have already relocated headquarters or set up additional offices in Europe, reducing the post Brexit risks, including large multi-nationals like Panasonic. The number of new companies registering in the United Kingdom has also dropped dramatically.
The reason why Cyprus is such an attractive location to consider, is not only that it is in the European Union, the island is strategically positioned in the Mediterranean offering access to three major continents, but it also has an excellent and competitive tax regime.
Cyprus has one of the lowest corporate tax rates in Europe at only 12.5%, together with a special programme which can lower your tax to as little as 2.5%. There are many advantages of starting up a company in Cyprus, especially for foreign owned companies, with recent figures showing a rise of an average 11% month on month this year alone, this confirms there is a lot of interest from companies, from around the world.Share Share Share