For a games studio choosing where to grow, the location needs to support its people, intellectual property and international operations.
Invest Cyprus – CIPA is putting that proposition to developers, publishers and investors at “Pixel Island”, a London event on 18 November examining why game makers choose Cyprus.
What makes the island worth considering?
An established development ecosystem
Cyprus already has a video game development ecosystem. For an expanding studio, an existing industry presence offers a starting point for exploring recruitment, professional connections and potential collaboration.
An EU base for international operations
Cyprus gives businesses a location within the European Union. For studios serving international audiences, this can be relevant when planning their European presence, commercial relationships and management operations.
Tax treatment relevant to software development
Under the Cyprus IP Box regime, qualifying profits can benefit from an effective corporate tax rate as low as 3%. Eligibility depends on the intellectual property and the applicable development and expenditure conditions. A studio should assess its own position rather than assume that all game revenues qualify.
Support for research and talent
Invest Cyprus also highlights a 120% deduction for eligible R&D expenditure and incentives designed to attract international talent. These are worth examining alongside a studio’s development budget and recruitment plans, subject to the relevant conditions.
The decision still needs to make commercial sense. Talent availability, operating costs, relocation requirements and the functions actually performed in Cyprus should be assessed together.
At Cosmoserve, we help international businesses establish and administer their Cyprus operations, with accounting and tax support through our associate firm, UHY.
If your studio is considering Cyprus, we welcome a discussion about how its business model, team and intellectual property arrangements could fit the local framework.