The IT sector in Cyprus is pretty much dominated by Cypriot companies and a few foreign entities which have a local office. There is a small amount of Greek and global players which conduct their activities in Cyprus through their Greek offices.
At the moment, the European Commission predicts a GDP increase of 2.8% in 2017, which also reflects in the IT sector, with many corporations and bank investing in IT infrastructure.
In this article, our lawyers in Cyprus outline a few important aspects on opening an IT business in Cyprus.
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Regulations related to the internet and IP-based services in Cyprus
When it comes to services connected to the internet, they are regulated in the same manner as the other electronic communication services.
The authority responsible for such internet services and regulations is the Office of the Commissioner of Telecommunications and Postal Regulation (the OCTPR).
Though, it is important to note that other bodies are also involved in the regulation and compliance procedure to make sure that the processes are followed accordingly and the regulations are respected when opening an IT company in Cyprus.
Under the Act on Regulation of the Electronic Communications and Postal Services, Act 112(I)/2004, Service Communications and Postal Services Act 112(I)/2004, the service providers in Cyprus are not responsible for personal damage to property resulting from the suspension of any service of electronic communications in certain circumstances. Our attorneys in Cyprus can provide more details on what these circumstances may consist of.
Brief guide on opening a successful IT business in Cyprus
In order to grow a successful IT business in Cyprus, it is necessary to find an underserved market or create a new IT product.
When starting such company, it is important to follow these guidelines:
- Analyze and research the local market: our Cypriot lawyers can provide more information on the legislation related to this matter;
- Keep learning: after you identify the niche in the market, keep working on perfecting your knowledge and skills;
- Make a business plan;
- Find the necessary funds for your product or business;
- Set up the IT company in Cyprus and register it with the appropriate authorities.
In case you would like to know more about how to set up an IT business in Cyprus, please feel free to get in touch with our Cypriot law firm.