How I Built a Full Cyprus Company Setup for Cheap! Real-World Example.

[lory]

Just wanted to share my setup, which I 100% pieced together from all the threads I found over in the Mentor Group Gold forums.
I’m not gonna dive super deep into every little detail, just gonna list the key parts, if you’ve got MG Gold access, you’ll know exactly what’s what.

Here’s the breakdown...

First, I found a guy who hooks you up with nominees, they can do video verification, plus provide a utility bill and passport for your new director.
I hired my director for about €2,500/year. Pretty sweet deal for a full legit director if you ask me!

Then, for my Cyprus LTD, I split the ownership 25% each across four shareholders. Got some solid people for that too, only €500/year per shareholder.
No issues with video verifications either, even for meetings with banks or brokerage firms.

For the office, I rented a spot just outside Nicosia, pretty modern by Cyprus standards.
It’s a standalone building with water, heating, electricity, internet, fully furnished with new office stuff, reception desk, carpets, logo on the door and everything.

A couple of the shareholders actually work out of there daily, and we also hired a lady to handle the phones.
Makes it look good when banks, tax authorities, or anyone else calls, they can easily reach “management.”

Total yearly cost for everything? Around €19,000, and that includes bookkeeping and filing the yearly reports.

As for payouts, we only do dividends, fully tax-free.
We hold quarterly meetings where dividends are distributed. Most shareholders leave the money in the company to keep it growing.

I personally pull out a dividend every quarter, no salary for me.

Dividends get paid out to AlexPCS and other OCT card providers, so you can spend the money easily at stores, ATMs, whatever.

Hope this gives a bit of inspiration if you’re thinking about setting up something similar or just wanna get out of your home country and run a lightweight, tax efficient business that only pays corporate tax!

Thanks for sharing, that’s a pretty lean setup for the price.

Quick question: how’s banking been with that structure? Any trouble getting accounts approved or keeping them open long term?

 

[turmpy]

how do you managed to get nominees you can trust?

 

[icecold]

Do these only work for Cyprus, or are they nominees you’ve found that you can also insert into other companies if you want?

You may use any company for this purpose.

I’d consider whether it might make more sense to relocate to a tax-free country instead , or what’s your current status?

digital nomad, have no status anywhere, I'm almost a ghost.

I have great respect for the comments shared in this thread, especially for the original poster who has openly offered others a chance to learn from their experience. Make sure to do your homework and consult with professionals to get things right from the beginning.

I totally agree

Quick question: how’s banking been with that structure? Any trouble getting accounts approved or keeping them open long term?

very very difficult, but managed to have airwallex and currenxie account.

I can sense that this thread has stirred up some strong emotions and caused quite a bit of trouble.

Let me clarify that I have no financial interest in the setup discussed here, and I do not take on clients from this forum, despite what some of the now removed claims might have suggested.

I simply wanted to contribute to OCT based on what I’ve learned here. What others may think or assume about my intentions is, frankly, none of my concern. No one is forced to read my posts, if you don’t like it, feel free to read something else or move on.

 

[daniels27]

@icecold thank you very much!

I am a bit late to the party. Was there any grounded warning that you may run into legal issues with such a setup or anything else that we need to be aware of when using such setup?

 

[ilke]

@icecold thank you very much!

I am a bit late to the party. Was there any grounded warning that you may run into legal issues with such a setup or anything else that we need to be aware of when using such setup?

1. You do not have legal protections against the shareholders.
2. It is not legal to not disclose the UBO when there is one. Exercising 100% of control, even with 4 'shareholders' each holding 25%, is still being a UBO. Also mentioned by @CyprusLaw who has a very good understanding of this fact.
3. The cost is very high compared to even high prestige and reliable structures (e.g. non-resident SG Pte. Ltd.) and yet you continue to pay 12.5% without gaining any legal certainty (in fact, decreasing it, because it involves committing a crime).

 

[icecold]

1. You do not have legal protections against the shareholders.
2. It is not legal to not disclose the UBO when there is one. Exercising 100% of control, even with 4 'shareholders' each holding 25%, is still being a UBO. Also mentioned by @CyprusLaw who has a very good understanding of this fact.
3. The cost is very high compared to even high prestige and reliable structures (e.g. non-resident SG Pte. Ltd.) and yet you continue to pay 12.5% without gaining any legal certainty (in fact, decreasing it, because it involves committing a crime).

And what you listed there is absolutely spot on.

@icecold thank you very much!

I am a bit late to the party. Was there any grounded warning that you may run into legal issues with such a setup or anything else that we need to be aware of when using such setup?

There’s a lot you need to be aware of, and you’re welcome to open a thread about it in the Mentor Group forum, I’ll be happy to provide further input there.

 

[diro]

There’s a lot you need to be aware of, and you’re welcome to open a thread about it in the Mentor Group forum, I’ll be happy to provide further input there.

someone opened a thread inside mentor group https://www.offshorecorptalk.com/threads/full-cyprus-company-setup-for-cheap.47587/ please checkin once around.

 

[AlicaFunk]

I don’t understand why so many people are unsure about what this setup is all about. It’s actually quite easy to figure out how it’s been arranged! I hope the OP will shed light on all the details in the other thread that was created.

 

[Propeller]

OP would like to discuss this in the other thread with you inside MG please if you don't want in private.

 

[daniels27]

OP would like to discuss this in the other thread with you inside MG please if you don't want in private.

You can post here:

https://www.offshorecorptalk.com/threads/full-cyprus-company-setup-for-cheap.47587/

 

[bountymounty]

Total yearly cost for everything? Around €19,000, and that includes bookkeeping and filing the yearly reports.

I’d like to add that the substance part can be obtained much cheaper in Cyprus, unless it includes something else?

 

[happyjohn]

A couple of the shareholders actually work out of there daily, and we also hired a lady to handle the phones.
Makes it look good when banks, tax authorities, or anyone else calls, they can easily reach “management.”

I’ve set up something similar too. A couple of us work out of the office daily, and we’ve got someone handling the phones as well. It definitely makes things look more professional when banks, tax authorities, or anyone else calls, they can easily reach “management,” which adds an extra layer of credibility.

 

[daniels27]

I’d like to add that the substance part can be obtained much cheaper in Cyprus, unless it includes something else?

What would be your recommendation?

 

[bountymounty]

I’ll definitely be looking for another agent in Cyprus to help me get everything set up.

I have a setup where I’ve established an office with electricity, water, heating, an employee who handles all sorts of web work for me, and a guy who does some coding for a web project. For all this, I’m paying €5,900/month. Accounting and annual reports for the company cost €3,000/year, salaries are €190/month, and then there are smaller expenses around €150/month. Keep in mind, these are my employees working in my company.

If I could replace them with outsourced staff from a provider, it would cost me around €250 a month, but that would just be for show.

The problem in the OP's post is that none of us have any idea what he's paying the 19K for, so I just made a wild guess.

 

[icecold]

I’ll definitely be looking for another agent in Cyprus to help me get everything set up.

I have a setup where I’ve established an office with electricity, water, heating, an employee who handles all sorts of web work for me, and a guy who does some coding for a web project. For all this, I’m paying €5,900/month. Accounting and annual reports for the company cost €3,000/year, salaries are €190/month, and then there are smaller expenses around €150/month. Keep in mind, these are my employees working in my company.

If I could replace them with outsourced staff from a provider, it would cost me around €250 a month, but that would just be for show.

The problem in the OP's post is that none of us have any idea what he's paying the 19K for, so I just made a wild guess.

Thanks, check my answer inside mentor group gold in the thread daniels opened, all in there.

As I’ve also said in this thread, some of the people replying here must really have felt provoked or threatened about their existence, especially someone like Johnnyboy, who absolutely 1000% knew exactly how this setup worked. It was pure provocation and self promotion of his own image same apply for the others which posts got removed!

But check my thread, and you’ll get smarter or stick to your current setup.

 

[plotoffshore]

You may use any company for this purpose.

I’m thinking about doing a light setup like yours, but with a UK company and a Wise account.

You think that could work? And could I pull off the same thing with a New Mexico LLC instead?

 

[lavel]

I’m a bit skeptical about this setup as a long term solution. It might work in the short run, but I wouldn’t rely on it for anything serious.
Still, thanks for sharing!

 

[jayM]

very good setup but less useful for mainstream business.

I agree with @lavel

 

[blizz]

3. The cost is very high compared to even high prestige and reliable structures (e.g. non-resident SG Pte. Ltd.) and yet you continue to pay 12.5% without gaining any legal certainty (in fact, decreasing it, because it involves committing a crime).

do you know of a agent that can make it cheaper on annual basis including accounting and filing of tax report for a CY company? looking for something like this setup.

 

[pesto]

I’m skeptical about the solution you’ve chosen and have several questions regarding its sustainability.

I’m assuming this is something you only need short-term? Would you be open to connecting via DM?