Yes; but banking I see as a problem. The access to non-Cypriot banks is problematic and banks at Cyprus are IMO all but good and fast 😉 (With all due respect, @CyprusLawyer101 🙂 ) If you can be satisfied with some good EMI, then it is a possible way to go, IMO; otherwise think about another jurisdiction (I do not dare to advise... maybe @Don?).
Possibly some freezones could be best that are logistically in great locations near highways, railways and ports.
It is possible to open an account with a Cyprus bank. The banks here are extra careful and maintain a high compliance standard for known reason emanating from past experiences. This is not necessarily a bad thing; one could claim that this is indicative of the bank's seriousness in continuing doing business with all the good things that this may entail. Obviously parachuters wont be happy or even be on-boarded with Cyprus banks, but if you have a good and well run business there is nothing that stops you from opening an account with a bank in Cyprus and maintaining a good lifelong relationship.
I do not object. If someone has a real running business and a proper substance then definitely yes.
Fully understandable.
Yes, I agree. The dark side of this is, FMPOV, that these high compliance demands may result in asking for a bunch of papers, or at least for one paper, for all and every transaction, including the routine payments between a long-time foreign business partners, and making e.g. such a task as getting a letter of credit a two weeks procedure. As an example, one of my friends, running a foreign trade business for >25 years, left Cyprus ~3 years ago exactly because of this; and this is not the one and only such case that I heard of.
There is a basis to what you are saying. Unecessary compliance does at times get in the way of fluid business.
People tend to hope there exists some kind of place where people don't face such issues, but Im afraid thats just the way international banking works in 2024 - there is no getting around of what I like to call "compliance BS"
Well, yes ”“ but don't you think that the compliance BS really varies across the countries and across the financial institutions? (In my perception, yes. My experiences from CY differs from the experiences from HK or SK and similarly, SoGe /FR/ and FIO /CZ/ represent the different worlds, in my perception...)
Certainly, it can make a difference.
Is there some similarity between HK and SK that they are used as a comparison together against CY?
If we use Fio from above as an example, you avoid those risks because they have multiple correspondents for each currency (and some of the largest - Citi, Raiffeisen, Erste, etc.). The USD is really worry-less when working with them.
Depends on what you consider a small jurisdiction, I guess (and even that will always have exceptions).
Well, I admit that there definitely are better examples; but I see such a similarity that in both regions bankers are able to accept the perspective that someone simply wants to run his business smoothly and hence it is necessary to get something done. (I missed this at CY, regrettably; maybe I just had a bad luck.) Otherwise, the business culture and environment of HK and SK seem really different to me.
SoGe was/is a bureaucratic hell. FIO ”“ although reportedly it is going worse there, too ”“ burdened clients with forms only when they really were forced to; and generally they were flexible and using the common sense.
A really good point.
For sure.
Well, I think both of you are correct 🙂
You could bring this topic inside mentor group and get some new input which won't come here. I feel you're not the compliance guy!