“import-re-export” business / “Triangle Trading” opportunity
Since its accession into the European Union (2004) and eventually into the €uro-Zone (2008), The Republic of Cyprus has opened new horizons for entrepreneurial activities on the island, both for residents as well as for non-residents. The business opportunities under the ‘single market - single currency’ environment are countless, as trade is free of any custom and foreign currency controls.
Perhaps one of the fastest growing business opportunities in Cyprus in the recent years is the development of the ‘import-re-export businesses’. Many new and old businesses, both of foreign and local interest, are now establishing Cyprus as their ‘custom gate’ to the EU. Goods mainly from the Far East and the Middle East countries are imported into Cyprus, custom-cleared and re-exported to other EU countries under a new and legitimate EU status, free of any duties and VAT.
Further to the above Cyprus is also offering an excellent location and a friendly commercial environment for general “Triangle trading”. The general simplicity and low cost budget, as well as the speed of operations in the relevant custom and shipping procedures offer a great opportunity for ‘transit cargo’ in the general area of Eastern Mediterranean and the Middle East.
When the above opportunities are combined with low taxation and a generally favourable tax framework, along with other advantages offered by Cyprus, then it is easy for analysts to see and understand the commercial and tax planning opportunities appearing for their clients in Cyprus.
It is also very important that the ‘import-re-export businesses’ and ‘triangle trading’ activities in Cyprus are backed up by an excellent network of highly equipped and efficient logistics services. The strategic geographical location of the island and the excellent shipping connections, to all over the world, are offering an additional competitive edge to these specific commercial opportunities.
|Our company has unique practical and in-depth knowledge of “import-re-export” business / “Triangle Trading” procedures. We are probably one of the few professional entities in Cyprus combining expert knowledge and practical experience in two separate, but never the less inter-connected fields, those of accounting/audit/tax and International trade/ shipping/logistics. We can offer excellent services and solutions.|
Real estate opportunity
The real Estate Industry, along with Tourism Industry, has always been a major growth factor for the Cyprus economy representing a significant percentage of the GDP. The excellent weather, social and commercial conditions have always made Cyprus as a lucrative destination for permanent residency and large-scale development projects.
Unfortunately the real estate business in Cyprus has been in total disarray over the last 6 years, firstly due to the general worldwide economic crisis ‘pressures’ and secondly and more importantly due to the local banking crisis in 2013. During this period real estate demand dropped dramatically and as a result real estate values slumped down by 30% - 50%.
After some years in recession, Cyprus has returned in the first quarter of 2015 to mild growth. Governmental circles suggest that the harsh austerity measures imposed in the past are starting now to pay off. Along the same line Economists expect that Cyprus will grow 0.3% in 2015 and 1.4% in 2016.
We feel that it is now a good time for opportunists of the real estate sector to invest into properties in Cyprus.
Gas and Oil Industry
The discovery of significant natural gas reserves in Block 12 of Cyprus and the nearby Tamar and Leviathan fields in Israel has established Cyprus highly on the World’s Energy Map, byindicating enormous petroleum and natural gas potentials in the general region.
Therefore the circumstances for exploitation and production of oil and gas in Cyprus deem to be extremely positive and attract great international interest from major energy provider. This factor alone is expected to give a great boost to Cyprus economy in the coming years, with vast investment opportunities both for local and foreign investors.
Despite its small geographical size Cyprus is a “colossal” force of the global Shipping Industry. The facts leave no room for doubts: Cyprus has the 10th largest merchant fleet in the world and the 3rd largest in the EU; while at the same time Cyprus is the 2nd largest Ship Management Center in the world and the largest third party Ship Management Centre in the EU.
It is a renowned shipping centre with a number of important advantages and opportunities:
- It is located at a unique geographical position at the crossroads of Europe, Africa and the Middle East
- It maintains an “Open Registry” (one of two countries in the European Union), allowing non-Cypriot citizens to register ships under the Cypriot flag
- It has provided excellent Tax Incentives specifically targeted to the Shipping sector under which other than the “Tonnage Tax” there is no tax on shipping profits including profits from the sale of ships, no tax on dividends paid from shipping profits, no estate duty or capital gains tax. no income tax for seafarers on Cyprus-flagged ships and no stamp duties on documents or mortgage deeds
- Low ship registration fees
- Anonymity of beneficial owners through nominee or trustee shareholders
- Recognition of Competence Certificates from many countries
- Easy deletion from the Cyprus Shipping Register