Outcome of the Application

In assesing the application, the exchange commission will base its decision on a number of parameters, which are summarised as follows:

 

  • Company has adequate initial capital.
  • Company has suitable shareholders who are able to finance and support the business.
  • Whether suitable persons will effectively direct the business.
  • Company's key employees are suitable.
  • Head office has been established in Cyprus.
  • Company is a member of investors compensation fund.
  • Company has adequate organizational procedures in place.

 

The following table elaborates on key points that the commission is evaluating in making their decision for granting the license.

 

Number

Description

1

The Board of Directors must demonstrate that it has sufficient expertise so as to exercise constructive influence over management and business strategy and must be deemed fit to ensure the sound and prudent running of the company. Their reliability, experience, and professional skill and diligence will be evaluated.

2

The Board should be comprised, at a minimum, of two experienced executives who are capable of fulfilling their duties. They should both be accessible and available to appear before the Commission with reasonable notice.

3

The company should be able to demonstrate that it has installed the appropriate controls and safeguarding arrangements for protecting electronic data processing and has adequate structures and mechanisms in place in order to guarantee the protection of investors‘ assets and eliminate any conflict of interest that may arise between the company, its employees and clients’ interests.

4

The company should be able to demonstrate that it has successfully established a physical presence in Cyprus. This entails establishing and subsequently operating a full-fledged office with the appropriate telecommunications network, hardware and software needed, staffed with employees on a full time basis as described in the applicant's organizational chart.

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  Resources:

Regulatory Update: BVI Economic Substance Act 2018

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The tax system in Poland is one of the most loyal for both large and small businesses in the country. There are two levels in the system that relate not only to residents of Poland, but also to foreigners. The Polish tax system consists of administrative taxes (duties are paid directly to state bodies) and local taxes (the process is similar to the previous type). Therefore, Poland is one of the European countries with a stable economic position, whose attractive system attracts citizens from neighbouring countries to conduct business within the country. It is the Polish taxation system that is advantageous for businessmen willing to enter the international market.

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The Dematerialisation of Shares in the UK: Current Update & Assessment

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