How to find a buyer or investor for your project in Cyprus

In recent years, Cyprus has attracted attention as a tax-friendly jurisdiction, a comfortable relocation destination, and an investment platform. However, it is not always a "sunny island with clear rules" for investors. The local market is full of unspoken agreements, closed deals, and niche opportunities unavailable to the general public.

We investigated which areas are truly promising for investment in Cyprus, the obstacles entrepreneurs face in finding each other, and the role of intermediaries such as DOM iNVEST. Together with Martins Skromans, we sought answers to pressing questions in the investment world.

Cyprus's investment potential

Cyprus is an ideal base for companies looking to expand in Europe or take advantage of cutting-edge innovation opportunities. The island of Aphrodite offers warm hospitality, reliable infrastructure, attractive tax incentives, excellent education, and high-quality healthcare. This makes Cyprus a leading destination for expats and investors alike.

The economy of Cyprus is showing steady growth. GDP growth is expected to reach 3% in 2025 and 2.5% in 2026, following an expansion of 3.4% in 2024. This steady economic momentum creates a favorable environment for businesses seeking capital or opportunities to sell their projects.

This blog provides a practical, easy-to-understand roadmap for local entrepreneurs and expats who want to sell their projects or attract investment to develop their businesses in Cyprus. We will examine the key aspects of the Cypriot investment climate, effective project presentation strategies, and current investment trends.

Is Cyprus an island of opportunity or mixed realities?

The Cypriot investment climate is dual in nature, offering significant advantages as well as certain challenges. Understanding these aspects is crucial for anyone seeking to successfully raise capital or sell their business on the island.

Why does Cyprus attract investors?

It's difficult to dispute that Cyprus has firmly established itself as an attractive investment destination thanks to several fundamental advantages.

1. Its strategic location at the crossroads of Europe, Asia, and Africa provides convenient access to a variety of markets. Its EU and Eurozone membership guarantees unhindered access to other countries and provides a reliable regulatory framework and stability. The expected completion of the technical requirements for entry into the Schengen area by the end of 2025 will further stimulate tourism, investment, and economic growth.
2. Cyprus is a tax haven, offering one of the lowest corporate tax rates in the EU (12.5%). There are significant tax benefits, including a 0% tax rate on dividends, interest income, and capital gains from the sale of securities. The intellectual property regime (IP Box) reduces the effective tax rate to 2.5%. New residents can enjoy 0% tax on dividends and interest for 17 years with non-domicile status. Streamlined registration procedures and government initiatives support the ease of setting up and doing business.
3. Cyprus's economy is expected to grow by 3% in 2025, supported by private consumption, investment, and strong net exports (tourism, ICT, and shipping). Unemployment reached a 15-year low of 4.7% at the end of 2024, and inflation is expected to stabilize at 2% by 2026. Cyprus offers world-class infrastructure, an educated workforce, a high quality of life, and a safe environment.
4. 
   

Local challenges

Despite its many advantages, investors and entrepreneurs in Cyprus face certain challenges.

1. Bureaucracy remains a problem, leading to delays when dealing with government agencies and obtaining permits.
2. The limited domestic market is another challenge; the small population of just over 1.2 million limits the domestic market. The economy is vulnerable to external shocks, particularly in the tourism and real estate sectors. The negative foreign direct investment (FDI) figures for 2023 and 2024 can be explained by profit repatriation and large ship ownership transfers. Overall, this indicates a mature economy where earlier investments are generating significant returns.
3. The business culture emphasizes building personal relationships and trust, which can slow the pace of business. As local entrepreneurs joke, "Rumors spread faster than presentations here." And that's not a metaphor.
4. Despite the development of beneficial owner (UBO) registries and the work of Invest Cyprus as a “one-stop shop,” access to information often means access to people and their knowledge in a culture where personal relationships and trust are paramount.

Cyprus is undoubtedly an island of opportunity. At the same time, due to the peculiarities of the local market and mentality, many interesting proposals are discussed and offered in narrow circles, making them difficult for new investors to access. This is a complex issue. There are many players in the market, but they are often tied to a specific business sector. It can be difficult for investors to get a complete picture of the opportunities available in Cyprus's various business areas. This creates certain risks. An investor unfamiliar with the local specifics may miss a lucrative offer or get involved in a project with "hidden pitfalls," — says Martins Skromans of DOM iNVEST.

1. Green transition — opportunities with infrastructure caveats. Cyprus has ambitious green energy development goals, but it faces challenges due to its outdated power grid and isolation from the EU's electricity network. This requires significant infrastructure investment. Thus, 360 days of sunshine a year take a back seat. But that's the reality.

Opportunities and challenges of Cyprus's investment climate in 2025

Strategies for finding a buyer or investor

According to Skromans, the key to success is providing structured, open, and well-presented information. Investors are interested in more than just profit figures. A successful search for a buyer or investor in Cyprus requires careful project preparation, creation of a convincing presentation, and effective use of various networking channels and methods while taking into account local cultural characteristics.

Project preparation is the foundation for success.

Investors in Cyprus are looking for clear business models with transparent reporting and a clear growth strategy, not just ideas. A well-developed and reliable business plan is the foundation. Investors prefer companies with a proven business model and an existing customer base, as this demonstrates a clear path to return on investment. Transparency, accountability, and trust are essential. Companies must comply with local regulations, including submitting annual financial statements. Be prepared for audits and due diligence.

The richer and more transparent the information, the more attractive the project. "Our job is to help our partners structure and present information in the right format," — comments Skromans.

You must provide complete information about the business's structure, history (for at least the last two years), financial performance, and development strategy.

This includes a detailed proposal describing the investment objectives, operations, and financial forecasts. The business plan should cover the product offering, management team, competitive analysis, and pricing strategy. The more detailed the information and media materials, the better we can present the project to potential investors. Regarding existing businesses, Martins Skromans explains that they always find it useful to have reports for previous periods, a clear cost structure, a description of the business itself and its location, and, of course, the reason for sale.

An effective presentation of the project is key to attracting investors. Brevity and persuasiveness are the keys to success. Follow Guy Kawasaki's 10/20/30 rule: ten slides, no more than twenty minutes, and a font size of at least thirty points. The main slides should include the title, the problem or opportunity, the solution, the business model, the market entry plan, the competitive analysis, the team, the financial projections, and the achievements. Begin with a compelling introduction that clearly articulates your mission and value proposition. The best presentations contain a narrative. Turn dry data into a compelling story. Use graphs and charts, but don't overdo it. Prepare for questions by practicing your answers.

Martins Skromans, Head of Investment Departament

Below are channels for finding investors and buyers in Cyprus.

There are many ways to find investors in Cyprus, and a successful strategy often involves using the right combination of them.

1. Business angel networks and venture capital funds: CYBAN (Cyprus Business Angel Network) connects innovative companies with business angels. The number of venture capital firms and accelerators is growing in Cyprus. Examples include Melnichek Investments, LAUNCHub Ventures, and Olimp Capital Partners. Information is constantly being updated, so it is best to monitor it daily.
2. Direct investment firms and investment brokers, such as GEM Capital, Fjord Advisors, and SOLventures, are currently active on the island. Numerous investment firms regulated by CySEC offer fund and asset management services.
3. Cyprus has several business incubators and accelerators that provide funding, mentoring, and networking for startups. Examples include IDEA Accelerator and Nucleus Ventures.
4. Mergers and acquisitions firms and legal and financial advisors, such as Deloitte, offer comprehensive merger and acquisition services. Legal and accounting services for foreign investors are highly developed.
5. The island regularly hosts networking events and conferences, such as the Cyprus Value Investor Conference and Reflect Festival. Industry associations (CIFA) and chambers of commerce (CCCI) actively promote business cooperation.
6. Expat communities and chambers of commerce — Expat networking groups, such as InterNations and Luxify Investment, provide invaluable connections. The American Chamber of Commerce in Cyprus (AmCham Cyprus) promotes foreign direct investment (FDI).

A successful investor search strategy in Cyprus should combine formal channels with active relationship building. In an environment where closed business circles and limited access to information pose potential barriers, informal networks and trusted intermediaries are often the most effective means of obtaining accurate information and establishing connections, particularly for local investors. Entrepreneurs should actively participate in networking events and expat communities to build social capital, which can greatly facilitate access to formal investment channels.

Below are key types of investors and where to find them in Cyprus in 2025

Negotiations and relationship building — Cyprus specifics

Success in Cyprus largely depends on the ability to negotiate and build relationships while taking into account local cultural characteristics. Cypriots prefer in-person meetings and value personal relationships and trust. Often, everything starts with friendly conversations. Maintain eye contact, use simple language, and avoid riddles. Quoting Homer is unnecessary. Punctuality is expected, but be prepared for discussions that are longer than you are used to.

Who you know may be more important than what you know.

Building strong relationships with local residents is crucial. Add the language and cultural barriers to this, and it becomes clear why many deals in Cyprus are made either through local connections or entirely "on the verb," making them opaque to outside investors. Negotiations can be lengthy. A memorandum of understanding (MOU) is a common first step. It is important to consider the legal aspects of acquiring assets versus acquiring shares. Engaging local legal and financial advisors is critical to navigating Cypriot law and culturally acceptable negotiation tactics.

The difference in business cultures is evident in every detail, from communication to expectations regarding the structure of the deal. This is especially true for small businesses, which lack experience with such processes, — according to Skromans.

Current investment trends in Cyprus in 2025

The Cypriot market is showing dynamic growth in several key sectors, offering a variety of opportunities for investors. Below is a list of sectors to watch.

Real estate — a traditional anchor

Real estate has been one of the main areas for investment in Cyprus for many years. Data on completed sales transactions confirms this, showing a 15% growth in the first quarter of 2025. Limassol, Paphos, and Larnaca are the leaders. High rental yields (5-8% per annum) remain stable. The permanent residence through investment program continues to stimulate foreign interest.

Real estate in Cyprus serves as a gateway for capital inflows. The influx of wealthy individuals and companies through residency programs is creating a secondary market for other types of businesses. Entrepreneurs should consider how their projects can meet the needs of this growing community of expats and international businesses. However, trends are changing, and there is growing interest in existing businesses.

Investors who already have a foothold in real estate often look for existing businesses, particularly in the service and retail sectors, that generate real profits. Green energy is also attracting a lot of interest, — says Martins Skromans.

Green energy ensures a sustainable future.

In recent years, green energy has become increasingly important. Nearly half of Cyprus's national recovery and resilience plan (RRP) is dedicated to the green transition. The goal is to improve energy efficiency and increase the use of renewable energy sources (RES). RES accounted for 20.7% of energy consumption in 2023, primarily due to solar power. Key projects include developing the Great Sea electric interconnector. Investment opportunities exist in solar-powered hotels and resorts and water recycling systems.

Cyprus's abundance of sunny days makes photovoltaics highly attractive, particularly in conjunction with government decarbonization policies. Projects in shipping, logistics, and tourism are also promising. Skromans notes that the trend toward green energy and cleaner energy sources continues.

Photovoltaic energy park in Cyprus, Project №133336

IT- and technology: Cyprus is a dynamic digital hub

By 2025, it had become a major technology hub, with its ICT sector growing 277% since 2012 to reach €2.33 billion. The island is home to 50 international technology companies. The most sought-after areas are cybersecurity, cloud computing, and automation. The Eastern Mediterranean Data Corridor project will further modernize the infrastructure.

We see the dominance of real estate and the growth of new services and businesses in the service sector, associated with the influx of new professionals and international companies to the island, for example, in the IT sector. New delivery services are appearing, beauty salons, car washes, stores are improving - projects from more developed countries are being copied and adapted," — says Martins Skromans.

Service sector is the pillar of the Cypriot economy

The service sector dominates the Cypriot economy, accounting for 86.8% of GDP. By the end of 2025, tourism's contribution to Cyprus's GDP will reach 22.5%. Trends toward diversification of tourism include authentic village experiences, gastronomic tourism, health tourism, and ecotourism. Investment opportunities include boutique hotels, farm restaurants, and integrated wellness resorts. Additionally, Cyprus remains a leading global financial services center. Assets under management exceeded €11.1 billion in 2025. Shipping continues to contribute significantly to the GDP as well.

Retail: adapting to the modern consumer

Retail sales in Cyprus showed solid growth in early 2025, increasing by 5.6%. The sector is expected to grow by approximately 2.2% in 2026. The trend toward digital transformation creates opportunities for retail businesses that adopt e-commerce and digital solutions.

Overall, sustainability (ESG) is becoming a key factor in investment decisions. Those that demonstrate strong ESG practices are likely to attract a wider range of international investors.

Key investment sectors in Cyprus in 2025

The Role of Strategic Partners: The Example of DOM iNVEST

In the absence of a unified listing system where personal contacts are paramount, finding investors is difficult for many business owners in Cyprus. In this complex investment environment, there is a growing need for platforms that can connect local projects with international investors.

One such example is DOM iNVEST, a new venture from the island's largest real estate agency, DOM Real Estate. DOM iNVEST's main advantages include an understanding of the local market, established channels of trust, confidentiality (NDA), and a customized approach. It focuses on promising services with positive cash flow, including energy and maritime projects, IT services, real estate with tenants, and projects with export potential. All projects undergo a thorough internal review of their business model, legal compliance, and market potential during the cooperation process.

According to project manager Martins Skromans, DOM iNVEST's key advantage is its "understanding of the local market and established channels of trust," which is especially important in opaque segments. His team focuses on confidentiality and a customized approach. Access to project information is only possible after signing an NDA and reaching an agreement with both parties. This allows them to maintain control over the process and minimize reputational risks.

Another important feature is the multi-format approach, ranging from businesses with tenants to shares in existing projects. In addition to real estate, the team focuses on entrepreneurial initiatives, including startups. They help find investors for these initiatives based on specific requests. It is important that the project be at a clear stage of development and meet the investor's expectations.

Each project is internally vetted: the model, the legal part and the market potential are analyzed. This is a multi-stage process, but it helps us to select truly viable proposals. DOM iNVEST is one of the emerging structures in Cyprus that seeks to facilitate investment dialog between local initiators and global capitals. Our experience emphasizes the importance of specialists who understand both the language of the international investor and the local realities," — Martins adds.

Here's some advice for those who don't know where to start

Despite its controversial investment climate, Cyprus continues to be a magnet for entrepreneurs. A combination of an attractive tax regime, access to the European market, and a strategic location makes Cyprus a logical choice for many. However, success here requires an adapted approach.

First, it is important to consider not only macro factors, but also local nuances — from bureaucratic procedures to cultural expectations. Preparing a project for market entry or searching for an investor should begin with a detailed business plan and transparent financial architecture.

Second, mechanisms for raising capital are becoming more complex. Formal channels, such as venture capital funds and accelerators, must be supplemented with informal networking and collaboration with individuals who have genuine connections with potential investors.

Particular attention should be paid to keeping up with trends. Sustainable development (ESG), digitalization, green energy, IT, and tourism are among the most popular areas. Finally, here are a couple of tips:

1. Prepare thoroughly. A detailed business plan and transparent financial architecture form the basis of your strategy.
2. Consider local specifics. Consider bureaucracy, cultural nuances, and the importance of personal connections.
3. Combine channels. Use formal channels, such as funds and accelerators, as well as informal channels, such as networking and communities.
4. Stay on trend. Focus on relevant sectors such as ESG, IT, green energy, and tourism.

If you don't know where to start, then:

1. Gather a set of documents. A brief, structured presentation with metrics is better than just an idea.
2. Define your goal. Are you selling the business or a stake in it? Do you need money, expertise, or a partnership?
3. Turn to professionals. Platforms and consultants know how to structure a project and have access to investors, which will save you time.

If you have a business-idea, that's half the battle. We can help you bring it to a ready-made investment proposal," — Martins Skromans adds.

Investment Cyprus is not a ready-made solution, but rather a map of opportunities that you need to know how to navigate. A strategic approach, careful attention to detail, and reliable partners are the keys to your success on this promising island. Don't keep your ideas to yourself! Write them down, package them up, and bring them to a level where an investor simply cannot refuse them.

Read also:

1. Things to do in the Troodos Mountains of Cyprus
2. Best summer festivals in Cyprus
3. Bomb shelters in Cyprus
4. Essential Phrases You'll Need In Cyprus
5. Useful mobile apps in Cyprus