Funding and grants for a Cyprus business

Cyprus has more support for new businesses than its size suggests, but the money rewards preparation. A clear plan, some of your own capital and the right door open most of it. Here is where funding actually comes from.

Prepare first

Before you approach anyone, prepare a fully detailed business plan that shows strategic potential and projected income, be ready to part-finance the initiative yourself, and expect to offer collateral, in liquid or illiquid assets, for any bank loan. Funders read the plan before they read the ask.

The main door: research and innovation

The Research and Innovation Foundation is the principal body financing business research, and its grants cover up to 85% of the invested capital, awarded on eligibility and qualitative criteria, with programmes listed at research.org.cy. If your venture has a research or innovation edge, this is the first place to look.

Sector support and banks

Beyond research, support comes from the Industry and Technology Service of the Ministry of Energy, Commerce and Industry, and, for the primary sector, from the Ministry of Agriculture and the Cyprus Agricultural Payments Organisation. Cypriot banks provide conventional debt finance for businesses that can show a plan and collateral.

The incentives that quietly matter

Some of the real value is in the tax code. Corporate income tax is 12.5%, and foreign nationals can qualify for a 50% exemption on annual employment income of 55,000 euros and above, subject to conditions. The Deputy Ministry of Research, Innovation and Digital Policy approves Certified Innovative Businesses, which unlocks further advantages. To build the plan and find the grants, an accountant or a business consultant is the right first call: see our professional services directory or ask the concierge. Schemes and criteria change, so confirm current programmes on the government portal. Source: Point of Single Contact, businessincyprus.gov.cy.