Company Formation Comparison: Cyprus vs. UAE vs. Bulgaria vs. Montenegro

Feature / CountryCyprusUAEBulgariaMontenegro
Corporate Tax Rate12.5% flat9% (for income over AED 375,000);
0% Free Zones		10% flat9% flat
EU Member✅ Yes❌ No✅ Yes❌ No (candidate)
CurrencyEuro (€)UAE Dirham (AED)Bulgarian Lev (BGN)Euro (€)
Popular Company TypeLTD (Private Company Limited by Shares)LLC (Mainland or Free Zone)EOOD / OOD (LLC)DOO (LLC)
Time to Register5–10 business days5–10 business days3–5
business days		4–7
business
days
Remote Setup Possible?✅ Yes (Power of Attorney)✅ Yes (in many Free Zones)✅ Yes (Power of Attorney)✅ Yes (Power of Attorney)
Bank Account SetupYes, with local banks or fintechsYes, with local banks; varies by emirateYes, but may require physical presenceYes, may require physical presence
Initial Capital Requirement€1 (nominal; banks may request more)Varies: Free Zone ~AED 0–50,000+€1€1 (typically €1–€100 recommended)
Annual MaintenanceAudited accounts, tax/VAT returnsAccounting, VAT (if applicable), license renewalAccounting, tax filing, VAT if registeredAccounting, tax filing, VAT if applicable
Government Fees~€350–600AED 5,000–15,000+ depending on zone/location~€100–150~€30–50
Formation Package Cost (Est.)€800–1,500AED 7,000–20,000+ (depends on Free Zone)€400–800€500–1,000
Common UsesHolding, finance, crypto, IPE-commerce, crypto, consulting, regional HQEU trade, tech/startups, outsourcingTax optimization, access to EU/Balkan
VAT Registration19%, mandatory for local sales5% VAT, mandatory for turnover >AED 375,00020% VAT, required if over threshold21%, optional unless revenue threshold
Nominee Services Available?YesYes (commonly used in Free Zones)YesYes