Offshore FOREX License
Your Simple Solution to Profit from the Financial Industry
Fast, Easy and Very Affordable

Money (FOREX) broking license is that license, which is tightly governed and regulated by countries across the globe. It is getting more and more difficult for broking firms to enter in to new regions as the regulatory requirements have become more stringent. Choosing the right jurisdiction for setting up the FOREX broking firm is very crucial as the success of the business greatly rely on this factor. An efficient and dependable regulatory body is essential for the FX broker’s success as the ever changing challenges of the financial market has to be well tackled.

Benefits of Obtaining a Forex License

Non-resident individuals can act as directors or owners
Simple due diligence requirements
Quick approval
Very affordable license fees
Low cost renewal fees
Can operate around the globe
Minimal capital deposit (usually $2,000)
No accounting or audit reports required
Low cost to operate

The key is to be sure that you have a legitimate license. That is where TBA & Associates can help you. We can help you obtain your own forex trading license. Naturally we recommend that you operate legally, ethically and responsibly. Get and keep continuous legal advice from a knowledge licensed attorney and tax advice from a licensed accountant.

Times have changed. Many jurisdictions have stopped licensing in this profitable arena. So, the Internet has been inundated with companies selling artificial licenses. By securing your FX trading license through Offshore Company, you can feel confident that you are working with a professional and experienced organization and that the documentation is authentic and has been legally and correctly filed.

Because of our direct contacts in foreign jurisdictions, we can obtain forex broker licenses with minimal paid up capital. Moreover we can obtain the licenses within a relatively short time. With a forex license one can legally offer forex trading, subject to your legal counsel’s advice. The forex license allows one to conduct business around the globe through the internet. One may also elect to open branches in multiple locations. Our virtual office program may be a good fit for this purpose. The actual trades are conducted through your offshore company.

Obtaining a forex license typically takes 2-4 weeks depending on government processing times and your speed in providing us with the legally required, yet simple, due diligence.

What Is Included With Your Forex License

The registration of the forex license
Name check
Legal verification
Company filing to gain legal protection
Preparation and registration of the license application documents
Filing and registration with notary and government officials
Certification by notary
Filing fees
Corporate kit and record book
Registration and license certificates
Board meeting minutes documents
Bank account opening
Office rent resolution
Resolution to choose a company attorney
Resolution to choose an accountant
Agreement of employment
Nondisclosure agreement for employees
Noncompeting agreement
Power of attorney
Director registration
Shareholder register

Want to Start a Forex Brokerage?

Let us help you making that decision. Some of the questions are: What is the best location to form a corporation to operate a new Forex business? Where should I get the license?

We should say up front that we assist clients in obtaining licenses, including Forex licenses. We have formed literally thousands of corporations worldwide for our clients and have been in business since1998. So, once you get the information the next step is to pick up the phone and call a representative.

That being said, we will list five separate categories of jurisdictions and label them A through E. We will consider how difficult it is to obtain a license as well as the costs and the steps you must jump through to obtain and maintain a license. We consider if you need a physical presence, if you need employees, the reporting requirements, and the reputation of the jurisdiction.

Prior to delving in, we should set a framework for the questions that wise prospective Forex broker should ask prior to launching the enterprise. Here are some important considerations:

  1. In which country will you bas your operations? Most people operate online brokerages. So, you can live in the US, Canada, EU, Australia but operate the brokerage out of Belize, for example. Doing so without a license in certain jurisdictions could result in some stiff fines and business closure, to say the least.
  2. How quickly do you want to start your Forex brokerage?
  3. How do you want to process transactions? (STP, ECN, Hybrid, Market Maker)
  4. How important is the jurisdiction to secure and maintain clients?
  5. Which bank will you use to establish the corporate bank account?
  6. How much cash do you have available?

The answers to above questions can help you decide which jurisdiction to choose.

Many jurisdictions have put in place regulations and governmental or private organizations to help protect the public from fraud in the Forex industry. The United States has the CFTC and the NFA. Japan has FSC Japan, for example. We refer to these as Level A jurisdictions.

Level A Forex Jurisdictions

The USA and Japan fall into this category. To secure a license, you will need to prove that you have $20 million of freely accessible capital, not including client funds. There are extremely strict reporting requirements and customer complaints to regulatory agencies may result in a strong reaction from the regulators. Reuters news agency reports on May 20, 2015 that banks were fined nearly $6 billion in Forex probes.

Level B Forex Jurisdictions

The jurisdictions of Great Britain (regulated by the FCA) and Australia (overseen by ASIC) are level B jurisdiction. They have less stringent reporting requirements and less capital is needed in order to launch the enterprise. Obtaining a license can cost around $35,000-$50,000. A physical office presence is required. $100,000 of capital is needed aside from client deposits.

If the Forex transactions are completed in-house rather than referring them to third parties, one needs about $1 million of liquid cash. If a third party is used for the transactions, only about $100,000 is needed.

Timing to obtain the license is about 3-4 months, on average, once you turn in all of the required documentation

Level C Forex Jurisdictions

These countries have regulators that offer a fair amount of protection for Forex brokerage clients. Level C jurisdictions include Cyprus (regulated by CySec), Malta (overseen by MFSA), Bulgaria (overseen by BFSC) and New Zealand (watched over by FSP).

A local office is required. There is a low level of reporting and the taxes are quite reasonable. Initially, only $30,000 is needed, which varies by license type. The price and time to obtain the license is about 2-3 months, on average, once you turn in all of the required documentation. It is about $35,000-50,000 for legal services and takes about six months once the documentation is provided to the government before the license is granted.

You will also need to deposit an average of $125,000 in your corporate account. (Bulgaria, Cyprus and Malta).

Opening a bank account is fairly easy, and may, or may not, require travel to the region. Because they all are part of the European Union, it has a greater degree of credibility than some of the other jurisdictions. Registration is common among new brokers because it is easier to pull in clients from Europe and Russia; moreover with this license you can freely operate in any EU country.

Level D Forex Jurisdictions

These jurisdictions include Belize and BVI. Between the two, we have seen Belize as the most favorable. These countries do have regulations and license requirements, so you will have a license to show prospective clients and post on your website to give clients a level of comfort. Speed is a big benefit. The incorporation process takes just a few days and licensing process takes about 3-4 months, on average, once you turn in all of the required documentation. The whole process is typically under $30,000. You will also need to deposit a minimum of $125,000 in your corporate account. This latter amount is not an expense, as you still have access to the money. A huge advantage is that once you have a license it is much easier to open a corporate bank account for your Forex brokerage. Without a license, we know of few banks that will open a bank account if they find out you are in the Forex brokerage business.

Level E Forex Jurisdictions

We will place the remainder of the world’s most popular Forex brokerage jurisdictions in this category. In these jurisdictions a Forex license is not required. Vanuatu, Seychelles and St. Vincent fall in to this group. In about a week and around $2,000 dollars you are the proud owner of a new Forex company. The advantages are speed and low cost.

With our guidance, we have been able to successfully help people obtain bank accounts for their offshore brokerage business.

In this category, we might also place Latvia, and to lesser degrees, Estonia and Lithuania. The company registration process takes about two to three months. Opening a bank account is fairly easy, and may, or may not, require travel to the region. Because Latvia is part of the European Union, it has a greater degree of credibility than some of the other jurisdictions. Latvian registration is common among new brokers because it is easier to pull in clients from Europe and Russia.

What to do Now?

Call the number on this page and speak with a consultant. They can answer many of the questions you may have; otherwise please email us, and let us know how we can help you.

We do not give legal or tax advice. That being said, we can offer support to you in a way to get you up and running.

After we establish your offshore company for you, we assist you in opening a bank account. The next step is for you to form an association with a bank or large forex broker. Our clients will either have funds that their customers want to exchange for other currencies wired into their offshore company accounts or paid directly to the broker. You keep the spread or your broker pays you a piece of the spread.

Conclusions

  1. 2% of Forex companies start without licenses and operate places such as Vanuatu or the Caribbean island of Nevis. (Seychelles and St. Vincent are also used but are less favorable in our experience.).
  2. It costs 5-10 times more, or much greater, to register in countries in levels A-C.
  3. Levels A-C require a local office presence and local taxes.
  4. It takes in average up to 4 months to obtain a license in categories A-D.

In order to garner trust from the public, get a license. Most commonly, as Forex brokerages grow, they obtain licenses higher up in the chain in order to gain greater credibility. There are brokers we have established in Vanuatu who have been in the business for quite some time.

Why TBA

What separates us from our competitors is that our services don’t end with the registration of your company. We offer a wide range of additional services others can’t or just won’t offer, such as lifetime free support.

Whilst most providers either specialise on personalized consultation at relatively high rates or run bulk registration factories without any support, we want to offer the positive aspects of both types.
Therefore TBA combines professional advice, worldwide registration services, reasonable fees, customized order processing, lifetime support and fast processing. Where others see company formation services as a bulk registration with no support and no individual assistance, we do care about your business needs

Should you have any question or matter
You would like to discuss or clarify with us

Or

Should you like to receive further Information
About our services and fees, …

Our multi-lingual team of business advisors is happy to assist you with all upcoming questions and issues in relation to your company.

You may call or email us, and we will be happy to assist you in a fast and efficient manner.

You can also come and visit us at our Limassol offices to discuss issues face to face if you prefer. Just arrange an appointment and we will be happy to meet with you.