Official Certification
We're proud to announce that Frojigo has been officially certified as an Innovative Small and Medium-Sized Enterprise (SME) by the Deputy Ministry of Research, Innovation & Digital Policy of the Republic of Cyprus.
This certification recognizes Frojigo's innovative approach to ESG analytics and sustainability reporting, and opens up significant tax incentive opportunities for our investors.
Official Certificate
Deputy Ministry of Research, Innovation & Digital Policy
What This Means for Investors
Under the Cyprus Income Tax Law, investors (both natural and legal persons) who invest in certified innovative SMEs like Frojigo can deduct a percentage of their investment from taxable income. This framework is part of Cyprus’s National Policy Statement for enhancing the entrepreneurial ecosystem.
Tax Benefits Breakdown
Natural Persons
Legal Entities
Note: Natural persons may deduct qualifying investments from taxable income, subject to annual limits of €150,000 and 50% of taxable income, with unused amounts carried forward for up to five years. The total tax benefit is capped at 50% / 35% / 20% of the investment (depending on company category), with the actual benefit determined by the investor’s marginal tax rate. Legal entities may deduct 30% of eligible equity investments (subject to €150,000/year and five-year carry-forward), without an additional category-based cap.
Key Highlights
Eligible Investment Types
The certification covers various forms of venture capital investments. Note that investment types differ by investor category:
Natural Persons
• Equity investments: Direct capital for ownership shares • Quasi-equity investments: Hybrid debt, convertible instruments, preference shares • Loans: Including financial leases • Guarantees: Or a combination of the above • Follow-on investments: Additional rounds for existing investors
Legal Entities
• Equity investments only: Direct capital for ownership shares
Interested in Investing?
Learn more about investment opportunities with Frojigo and how you can benefit from these tax incentives.
Official Resources
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