BANK REGISTRATION IN CYPRUS

To obtain a banking license, you need to apply to the Central Bank of Cyprus. The owner of banks that already operate in other countries can apply. To obtain a permit, it is necessary not only to prepare a package of documents but also to comply with the strict requirements of the regulator.

The package of documents must contain a letter of recommendation or confirmation of registration with the signatures of the relevant persons.

A feature of obtaining a banking license in Cyprus is the need to register a legal entity and the opportunity not to be present in person at the regulator’s office when submitting and processing documents.

What papers are needed to obtain a banking license?

To obtain a license in this offshore zone, we recommend that you collect this package of documents:

1. Letter of recommendation from the head bank of the country of which the applicant is a citizen.
2. List of personal data about key persons of the bank.
3. Documents that confirm financial security and high reputation among the shareholders of the company.
4. Permission to transfer data to those organizations that supervise the activities of the main office.
5. Business plan and explanation of the reason why the applicant applied to the jurisdiction of Cyprus to obtain a license. It is important to take into account the economic benefits for Cyprus from the entrepreneur’s company.
6. Information about the professional activities of the main persons of the bank for specific positions.
7. Information about the actual location of the bank’s office with contact details.
8. A document from your home country allowing you to open new branches in Cyprus.
9. High level of reputation of the applicant and shareholders, proof of stability and planned development of the enterprise/bank/corporation, confirmation of the profit of the enterprise.

The Central Bank is more willing to issue a license if the applicant plans to open a representative office of the company, and not just a branch.

The price of permission for banking in Cyprus

The cost of a license in Cyprus is significantly lower than in other offshore jurisdictions due to the absence of the need to register a new company.

The Central Bank asks for a large package of papers, this requires serious preparation and a lot of time to apply.

From the date of submission of the application to the regulator, all documents must be kept in English, and some companies from the CIS countries may experience inconvenience from this.

For fast and high-quality paperwork, it is advisable to contact experienced lawyers with successful cases of registering banks, companies and representative offices in offshore zones, in particular in Cyprus. Regular improvement of the legislative framework can lead to difficulties when the applicant prepares one package of papers, but in fact it needs to be supplemented with several more documents. As a result, this postpones the date of commencement of business.

License Features

A bank that is bound by legal obligations in Cyprus must undergo regular inspections. Depending on the form of enterprise management, various requirements may be presented to the business.

If the regulations of the rules have been violated, the license of Cyprus may be revoked for a while or completely deprive the company of a Cypriot permit for banking activities. In order to avoid problems during the verification and maintain a high level of reputation of a financial company at the international level, it is advisable to regularly consult with lawyers in order to make a minimum of errors.