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1 flexi consultants Obtaining of Cyprus Citizenship

2 Cyprus a place to live!!! Cyprus combines an international competitive business environment with a pleasurable and balanced way of life. Cyprus is Europe's eastern outpost at the crossroads of three continents - Europe, Africa and Asia - providing a gateway to and from each one of them. The country's geographical location has been considered of strategic importance in global trade for thousands of years. of living. Living and working in Cyprus are directly related to fabulous weather, beautiful nature, art and culture, safety, security, and above all, hospitable and warm people. It is the combination of all these factors that makes the experience of living on the island extremely desirable and attractive. The balance between work and family part of everyday life, The local infrastructure is ideally suited for businesspeople who need to get things done. Thanks to its modern road network, extensive port facilities and two new international

Why become a Cyprus citizen? Advantages of the Programme - Freely travel, reside and work within the EU. Investor along with his family can travel, reside, work, study in any member country of the EU.

3 Why become a Cyprus citizen? Advantages of the Programme - Freely travel, reside and work within the EU. Investor along with his family can travel, reside, work, study in any member country of the EU. - Holder of the Cyprus Passport can travel visa-free in 157 countries in total. - The investors parents are entitled to apply and get Cyprus Passport provided that they have their own permanent residence of at least Euro Establishment and free movement of services - individual citizens and their companies can offer services within the EU Member States without any obstacles. - Purchase of property in any preferred EU Member State, and invest in any type of activities without any exchange restrictions or any obstacles. - Dual-citizenship is permitted. Acquisition of Cyprus citizenship is not reported to other countries - No requirement to physically reside in Cyprus either before the filing of an application or after obtaining Cypriot Citizenship. - Competitive tax regime based on international standards and extensive double tax treaties - Attractive business environment and modern infrastructure - Legal system based in English common law with amendments to incorporate EU directives - Great Quality life

Grant of the Cypriot citizenship to non Cypriot entrepreneurs/ investors through the Scheme for Naturalization of Investors in Cyprus by exception As a part of its policies aiming to attract foreign

4 Grant of the Cypriot citizenship to non Cypriot entrepreneurs/ investors through the Scheme for Naturalization of Investors in Cyprus by exception As a part of its policies aiming to attract foreign investors in Cyprus the Council of Ministers, on the 19th of March 2014, revised the "Scheme for Naturalization of non-cypriot investors by exception" and, thus, the Cypriot citizenship. The programme requires the amount of 2mln to be invested in Cyprus for 3 years. The citizenship is granted within just 3 months!

5 A. FINANCIAL CRITERIA A.1 Investments in immovable property (real estate), developments and infrastructure projects The applicant must invest at least 2,000, ( excluding VAT ) for the purchase or construction of immovable property or the creation of residential or commercial developments, either developments in the tourism sector or other infrastructure projects. (previously it was 5,0 million if applied individually or 2,5 million if applied through a collective investment scheme) If the investor invests 2,000, in residential real estate he/she shall not be required to purchase a further privately owned residence for the price of 500, provided that at least one of the dwellings he has purchased was purchased for at least 500, The investor s parents are entitled to apply for Cyprus citizenship by exception provided that they are owners of a permanent residence of at least excluding VAT. For this purpose the investor and his/her parents may acquire one residential property of a total value of at least 1,0 million, excluding VAT ( being allocated to the investor and the remaining being allocated to the parents of the investor). A.2 Purchase or incorporation or participation in Cypriot businesses and companies The applicant must have made an investment of at least 2,0 million in the purchase, creation, or participation in businesses or companies, that are based and operating in Cyprus. continuously in Cyprus.

businesses or organizations which are licensed by CYPRUS SECURITIES AND EXCHANGE COMMISSION registered and issued in the Republic of Cyprus, in companies or organisations with substantial economic

6 businesses or organizations which are licensed by CYPRUS SECURITIES AND EXCHANGE COMMISSION registered and issued in the Republic of Cyprus, in companies or organisations with substantial economic activity in Cyprus which are regulated by the Cyprus Securities and Exchange Commission. A.4 Combination of the above investments The applicant may invest in a combination of the above investments (A1.-A.3) provided that the total investment is at least 2,000, Under this criterion the applicant may purchase special government bonds of Cyprus up to the amount of 500, The applicant should meet one of the following criteria: B. TERMS AND CONDITIONS Have a Clean criminal record. Permanent privately-owned residence in Cyprus. Purchased for at least 500, plus VAT. This condition is not applicable if the investment is in residential property as explained above. The applicant must be the holder of a residency permit in Cyprus to qualify for receiving the Cyprus Citizenship. For this purpose, of the Citizenship application. TIME TO CITIZENSHIP 3 Months RESIDENCY REQUIREMENT None EXIT STRATEGY 3 Years ELIGIBILITY All Nationalities VISA-FREE TRAVEL 158 Countries DUAL CITIZENSHIP Permitted FAMILY Spouse & dependents up to age 28 TAX CONSEQUENCES None

Cyprus in Numbers Cyprus, the third largest island in the Mediterranean Sea, is the eastern-most corner of the European Union, and a strategic post throughout the centuries and layers of history.

system and the lowest tax regime in the EU. The country currency is the euro.

7 Cyprus in Numbers Cyprus, the third largest island in the Mediterranean Sea, is the eastern-most corner of the European Union, and a strategic post throughout the centuries and layers of history. Cyprus has a robust, market-driven economy supported by a stable democracy and driven by a diverse, well-educated, skilled workforce, along with an excellent telecommunications and infrastructure system and the lowest tax regime in the EU. The country currency is the euro. These characteristics along with year-round sunshine and centuries of art and culture, perhaps constitute the best possible description in one breath, of one of the up-and-coming members of the European Union: Cyprus. Cyprus offers one of the most attractive tax systems in Europe. The country provides a simplified, effective and transparent tax regime that is fully compliant with the EU laws and regulations. Religion Greek Orthodox 89.1% Roman Catholic 2.9% Protestant/Aglican 2.0% Muslim 1.8% Unknown/Atheist 1.7% Other 1.4% Buddhist 1.0% In addition, the Organization for Economic Cooperation and Development (OECD) includes Cyprus on its "white list" as one of the 45 countries that have introduced and implemented the highest of internationally agreed standards on harmful tax practices. CURRENCY EURO Time: +2 Hours ahead of GMT OFFICIAL LANGUAGES Greek & Turkish (business generally conducted in English) MEMBERSHIPS EU & Eurozone United Nations Council of Europe Commonwealth World Bank & IMF TOTAL POPULATION 865,900 Cypriot 78.6% Non-Cypriot 21.4% CAPITAL Nicosia (Lefkosia) Population: 336,900 Famagusta (Ammochostos) Population: 47,900 Area/Size: 9,251km2 (3,355km2 in the occupied area) Annual rainfall: 790.1mm Sunshine: 340 days of sunshine/year Average Temperature: +13 C Winter +34 C Summer Population: (persons per km2) Paphos Population: 92,000 Paphos International Airport Limassol Population: 241,900 Larnaca International Airport Larnaca Population: 147,200 Independence Day: October 1st Median Age: 36.1 years

Cyprus in Numbers International Rankings 32nd Open Markets Index 2015 International Chamber of Commerce (out of 75 Countries) 34th Global Innovation Index 2015 INSEAD and the World Intelelctual

8 Cyprus in Numbers International Rankings 32nd Open Markets Index 2015 International Chamber of Commerce (out of 75 Countries) 34th Global Innovation Index 2015 INSEAD and the World Intelelctual Property Organizaion (out of 141 countries) 45th Economic Freedom Index 2015 Heritage Foundation (out of 177 Countries) 4th Higher education and training 28th Goods market efficiency 34th Labour market efficiency 45th Technological readiness 65th Competitiveness World Economic Forum Report (out of 144 countries) Why Cyprus? A can-do business environment Pro-business goverment Easy access to decision makers Highly skilled workforce A safe and cosmopolitan lifestyle Excellent infrastructure Advantageous tax regime Industry 15.9% Agriculture 2.4% CDR PER CAPITA 20,400 (2015) GTP GROWTH 1.2% (2015) Estimate 2% in 2017 INFLATION -1.6 % (2015) Estimate 1.3% in 2017 GDP by Sector Services 81.7% TOTAL GDP (at current market prices) 17.4 billion (2014) UNEMPLOYMENT 15.6% ( estimate 13.3% in 2017 CRIME 0.92 per 100 persons Main Media: Cyprus Mail, Politis, Phileleftheros Time to start up a business: 1-3 days Main Trading Partners: UK, Greece, Germany, Iatly, Israel, France, China CORPORATE TAX RATE 12.5% (2015) BB- Standard & Poor s +13 1st 5th SOVEREIGN RATING (December 2015) B+ Fitch B1 Moody s Cyprus had moved up 13 places in the Worlds Bank s 2016 Doing Business Report to rank 47th out of 189 economies 1st among smaller Countries 5th worldwide Value Penguin Safest Countries in the World Study th best relocation destination Knight Frank Global Lifestyle Review (2013) (out of 23 countries)

9 Frequently Asked Questions 1. What is the time frame for examining an application? Applications are examined within approximately 3 months. Once the application is approved, the applicant will be able to take all actions for the acquisition of the Citizenship and the issue of a Cypriot passport. The procedure for the acquisition of the Cypriot citizenship will be completed, provided that the applicant holds a residence permit for a period of at least 6 (six) months. If the applicant does not hold a residence permit for the aforementioned time period, he/ she will need to wait until the six-month period is completed. 2. What is the amount of fees payable for each application? All fees can be seen in the table below: APPLICANT APPLICATION SUBMISSION FEE CERTIFICATE ISSUANCE FEE TOTAL Investor 2,000 5,000 7,000 Spouse/ Partner 2,000 5,000 7,000 Adult Child 2,000 5,000 7,000 Minor Child Do investments have to be made personally by the investor? Investments can be made either personally by the investor, either by his/ her spouse, or jointly with the spouse or even through a company in which they are participating as shareholders or as ultimate beneficial owners. Please bear in mind that, if the applicant invests through a company in which he/ she participates as a shareholder only a percentage of the investment will be taken into consideration in proportion to his holding percentage. 4. What conditions must be met in order for a high-ranking senior manager of a company to apply for Naturalisation on the basis of this scheme? Firstly, the company that employs the manager must have concluded in Cyprus an investment that meets one of the financial criteria of the scheme. Secondly, the manager may apply for Naturalisation, provided that he/ she receives a remuneration that generates paid tax revenues of at least 100,000 in total over three years and provided that this tax has already been paid or prepaid. Finally the high-ranking senior manager needs to hold in Cyprus a permanent privately-owned residence of at least 500,000 purchase value.

10 5. What is included in each criterion? Criterion 1: Investment in real estate, land development and infrastructure projects of at least 2m. Investment in land under development is included in this criterion, provided that an investment plan for the development of the purchased land will be included in the application. Criterion 2: Investment in financial assets of Cypriot companies or organisations of at least 2m. These companies or organizations should have proven physical presence in Cyprus, with significant activity and turnover and employ at least 5 Cypriot or citizens of European Union member-states. The invested funds shall be channelled towards the financing of the investment objectives of these companies exclusively in Cyprus, based on a specific investment plan. The employees of the companies need to have legally and continuously resided in Cyprus during the 5 years preceding the application submission date. Criterion 3: Investment in Alternative Investment Funds (AIFs) or financial assets of Cypriot companies/ organisations of at least 2m. AIFs, whose investments should be made exclusively in the Republic of Cyprus, should be established in the Republic of Cyprus and licensed and supervised by the Cyprus Securities and Exchange Commission (CySec). Investments should be kept for at least 3 years. It is noted that the purchase by an AIF of units of other AIFs is not considered eligible. The purchase of financial assets of Cypriot companies or organizations (bonds, bills and securities) should be issued with the approval of the CySec, by companies that have proven physical presence and substantial economic activity in the Republic of Cyprus. Criterion 4: Combination of the above criteria. This combination may also include investment in government bonds of up to 500,000, issued by the Public Debt Management Office of the Ministry of Finance. These bonds must be retained for a 3-year period. Investments in government bonds through the secondary market are not considered eligible. 6. Does the applicant need to also own a residence in Cyprus? In all criteria, the applicant must possess a permanent privately-owned residence in Cyprus, of at least 500,000 (+VAT). Members of the same family, who apply separately as investors, can collectively acquire a residence, provided that the total value of this home-property covers 500,000 for each applicant. In case that the value of the permanent privately owned residence in Cyprus exceeds the amount of 500,000, part of the additional amount can be used for supplementing the total amount of the investment made on the basis of the financial c riteria above. If the applicant has invested in housing unit/ units as per Criterion 1, the purchase of another permanent residence in Cyprus will not be required, if at least one of these housing units is worth at least 500,000 (+VAT). In this case, the applicant must retain possession of this residence for life.

11 7. Can the investor rent his privately-owned residence to someone else? Yes, he/ she may. 8. Must investors hold a residence permit in Cyprus prior to the naturalisation? Yes, investors must hold a residence permit in Cyprus. If not, application for a residence permit can be submitted simultaneously with the application for the naturalisation, while the procedure for the acquisition of the Cypriot citizenship will be completed when the six-month period is completed. This provision also applies for the adult members of the investor s family. 9. Do investors have to reside in Cyprus after acquiring the Cypriot citizenship? No, there is no requirement of residing in Cyprus after acquiring citizenship. 10. How long do investments have to be kept for? The applicant should have made the necessary investments during the 3 years preceding the date of the application and must retain the said investments for a period of at least 3 years as from the date of the naturalization. Please note that the three-year holding period does not apply for the permanent privately-owned residence, as it should be kept for life. 11. Which family members of the investor does the program apply to? The program applies to the immediate family of the applicant (spouse or partner, minor and adult financially dependent children up to the age of 28, provided they are university students). The investor s parents may also apply for citizenship after the investor has acquired his/ her citizenship, provided that they are owners of a private residence of at least 500,000 (+VAT). The investor and his/ her parents may collectively acquire one residential property of a total value of at least 1m (+VAT).

FLEXI IN CYPRUS We support strategic and tactical corporate responses to the challenges and opportunities posed by globalisation, technology and

business is done with four basic principles in mind all of which are of equal value and importance and all target the success of our clients We

12 FLEXI IN CYPRUS We support strategic and tactical corporate responses to the challenges and opportunities posed by globalisation, technology and competition. At Flexi Consultants (Cyprus) Ltd. business is done with four basic principles in mind all of which are of equal value and importance and all target the success of our clients We provide a broad range of services as listed below to meet your increasingly complex needs. Tax Advisory International Tax Planning Shipping Advisory Company formation & Administration Legal Services Fund Formation and Maintenance Personal Wealth

ABOUT US In the current economic environment, and the crises that so many economies are facing, an unprepared organization can easily sink... but a well prepared one will bring out its true strenghts.

13 ABOUT US In the current economic environment, and the crises that so many economies are facing, an unprepared organization can easily sink... but a well prepared one will bring out its true strenghts. At Flexi Consultants (Cyprus) Ltd, business is done with our basic principles in mind all of which are of equal value and importance and all target the success of our clients... We are a team of experienced professionals, all united by something unique - a drive, a passion, a focus on learning and development, and a commitment to being part of a team. Our collective experience spans the areas of global corporate and secretarial services, advising high net worth individuals seeking to protect their wealth, consulting encompassing direct and indirect tax requirements, tax planning, compliance and tax audits on a global basis. As a result of our outstanding performance and reputation in global corporate services, we have been recruited and successfully provided outstanding service to multinational corporations, banks, wealth individuals. Our success is entirely attributable to our people that allow us to achieve the highest level of excellence. OUR STRENGTH Personal Touch Since its foundation, Flexi Consultants (Cyprus) Ltd has been adding to its ranks by using the personal touch. The personal touch with which we enhance the specialist corporate, legal, tax and banking services, we provide individual attention towards your business success.

14 CONTACT US Flexi Consultants (Cyprus) Ltd 80, Arch Makarios III Ave Nicosia, Cyprus t: f:

Citizenship by Investment in Cyprus

Citizenship by Investment in Cyprus July 2017 New attractive legislation is in place which makes obtaining the Cyprus/EU Citizenship even easier. The relevant scheme grants approvals within 3-6 months.