Cyprus is one of the most attractive jurisdictions that forex brokers can prefer when extending into the EU. This is because a CySEC forex license enables brokers to market, take client deposits, and rightfully build a presence in all EU member states. Applying for a forex broker license in the EU is a huge determination, making it essential to choose a partner carefully. Due to our industry expertise and experience, Startupformations is the best companion to help your brokerage with getting a forex broker license in Cyprus.

Incorporation & obtaining a license: from 5 to 9 months

Minimum paid-up capital:  110,000.00 Pound or 640,500.00 Pound it solely depends on the license type you select(STP or MM)

License government form fee: 3,500.00 pounds+VAT

Investors compensation fund: 17500.00- 26500.00 Pound (approx.)

License renewal government fee: 3,500.00 pounds+VAT


CySEC is the Cyprus Securities and Exchange Commission, the government regulatory agency that issues all Forex licensing in Cyprus. CySEC Cyprus is considered one of the leading Forex governmental licensing agencies in the world. Most of the top Forex and Binary Options companies hold a CySEC license for their operations both within and outside the EU.

  • Standard license –approx. 110,000.00 Pound, the broker can handle clients’ money, however, cannot trade on its own account;
  • Full license – requires approx. 640,500.00 Pound – a broker can trade on its own account;

Depending on the permit type, side fees may change.

As an extra benefit, all CIF organizations are authorized to Passporting, i.e. opening of offices in other EU member states without having to purchase a local license.

Notable features

Company structure

  • Only one shareholder
  • Must continually select a depositary/manager or any other business subject to prudential guidance are exemptions depending on the fund
  • Cyprus Securities and Exchange Commission (CySec) needs a minimum of two managing Directors
  • Beneficial owners’ details – disclosed to the authorities
  • Shareholders’ details –part of public record
  • Directors’ details – Part of public record

Cyprus tax authorities are created to encourage the expansion of the country as an international financial and trading center, to encourage international investment and to promote the development of financial services

  • 19% VAT
  • 5 % corporate tax
  • 0% tax for corporate gain
  • No withholding tax on dividends
  • An extensive network of double-taxation
  • Path to EU directives and EU VAT registration

Accounting requirements – Regular accounting and Audited accounts submission is Needed

Registered office – Needed

Local employees – Needed(3 and more)

Company name:

A Company name must necessarily end in “LIMITED” (no other suffix is allowed) and must be approved by the Registrar of Companies.


  • Language: Any
  • Letters: From the Roman alphabet
  • Names that are misleading or tricky are banned
  • The company name is restricted to be alike or similar that of an existing company
  • Offensive names are prohibited

In order to get a license, the following actions will be carried out:

  • Gathering reports in an agreed form
  • Drafting of the fund’s offering record
  • Development of application forms
  • Introduction of the license obtaining process
  • Following up and observing your submission until Regulator permission

In order to receive a license, Startup Formations will fill all important paper forms and also obtain following corporate documents.

  • Details of all intended Directors, with all giving the following:
  • Copy of passport and recent utility bill evidencing domestic address
  • CV with details covering a minimum term of 10 years
  • At least two recommendation letters
  • Non-bankruptcy record
  • Criminal record certificate
  • Duly finished CySec application form
  • Other documents requested by the Authority
  • It should be remarked that all Directors must have sufficient economic and fund management expertise and academic credentials