Cyprus vs Bulgaria

Bulgaria is £1,843 cheaper in year 1 and £1,132 a year cheaper after that.

CyprusPrivate limited company (Ltd)BulgariaEOOD / OOD
Costs
Minimum, year 1£1,957£114
Minimum, per year after£1,217£85
Typical year 1£3,732£1,744
Government fee£140About €165 registrar fees£24€28.12 online, €56.24 on paper
Indirect setup£600–1,450£5–1,020
Running per year£1,217–3,917£85–2,330
Share capitalNone€1,000 typical€1
Rules
DirectorsNo local directorCypriot directors are usually needed for tax residence.No local director
Remote setupThrough a providerRemote through a Cyprus lawyer, who signs the articles.Through a providerRemote by power of attorney. Your signatures are notarised and apostilled at home.
AuditAudit requiredNo audit below size thresholds
Time to form1 to 3 weeks1 to 3 weeks
Ease for foreign owners3/53/5
Tax and banking
Corporation tax15%15% from 2026.10%10% flat, one of the lowest in the EU.
Dividend withholdingNone5%5% dividend withholding, none to EU companies.
VAT / GST19%20%
Banking2/5Accounts for foreign-owned companies take 4 to 8 weeks.3/5Local banks usually want one visit.
All company setup fees in CyprusAll company setup fees in Bulgaria
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Questions

Is Cyprus cheaper than Bulgaria for company setup?

No. Bulgaria is cheaper, at least £114 in year 1 against £1,957 for Cyprus.

Which is cheaper to run each year?

Bulgaria, at least £85 a year against £1,217 for Cyprus.

Which needs a local director?

Neither. You can run a company in either without a local director.

Which is faster to set up?

About the same. Both take 1 to 3 weeks.

How does corporation tax compare?

Cyprus: 15% from 2026. Bulgaria: 10% flat, one of the lowest in the EU.

Sources: EY · Binderr · Registry Agency · Deloitte · PwC · Innovires