There are quite a lot of offshore jurisdictions, but only a few of them have truly favorable conditions for receiving registration. The Republic of Mauritius is a state where conducting financial activities without special permission from the regulatory authority is prohibited. Otherwise, the company will be subject to sanctions. Since the market is an economic activity, you will need a Mauritius Forex license to enter the firm legally.
Government regulation
The FCS is the regulatory body responsible for regulating brokerage activities and permitting. This Regulator has strict regulatory requirements when supervising the activities of non-banking organizations.
Here, the following laws are provided for this financial activity: on the provision of financial services, on securities, and on permitting. Based on this legislation, the Regulator controls the actions of companies, and its functions include the following:
- monitoring in the state the implementation of legal requirements by organizations;
- is responsible for AML policy and compliance with tax obligations;
- permit of financial organizations and supervision of operating firms.
Thus, the Republic exercises strict control over the activities of financial organizations.
How to get a permit?
To get a permit for your activity, several demands must be met.
Complete a survey and collect papers (1-2 weeks)
The management team and shareholders must fill out forms and provide copies regarding their legal status. The package of papers:
- from the directorate and shareholders, we need copies of passports, educational papers, registration addresses, and a certificate of good conduct;
- introduce an AML and KYC system into the organization’s activities with the appointment of responsible officers;
- corporate documents, including an office lease agreement;
- labor contracts with hired personnel.
In addition, it is essential to draw up a business project for activities with confirmation of financial viability reflecting the management structure indicating staff positions. It is worth noting that it is necessary to appoint two directors who must be residents of this country
Firm registration (1-1.5 months)
Once regulatory approval is received, the firm registration process can begin. All papers and identities of the directorate and shareholders will be carefully checked during the registration process. The verification will take approximately a month. After this, the organization will receive a registration certificate.
Licensing (3.5 – 4 months)
Once the organization is registered, receiving a permit can begin. The required package of permits is sent to the FSA. Sometimes, FSC asks for additional data to ensure that a firm fully complies with the demands. It may take some time. But as a rule, if everything is in order, permission will be received in about 4 months.
Opening a bank account
In parallel with submitting papers for a permit, you can work on a bank account, into which you should deposit an authorized capital of 18,000 US dollars. Government fees will be approximately US$7,000.
Having fulfilled all the above demands, the Regulator will issue the permit, and you can begin financial activities. The entire registration process (firm registration and permitting) can take 4 to 5 months.
What services can a firm provide with permission?
Firms will be able to engage in the following types of activities in the market:
- manage clients’ investments;
- buy and sell securities;
- provide consultations;
- management of clients’ investment portfolios;
- engage in brokerage activities (be an intermediary in transactions with securities).
Such financial opportunities will significantly increase capital and recoup investments in the company.
Why is it worth getting licensed here?
Obtaining a permit in this country has several advantages that attract many entrepreneurs:
- the presence in the state of a developed infrastructure with innovative technologies;
- transparent financial legislation;
- the high reputation of the region;
- strict rules regarding AML and KYC policies;
- ensuring confidentiality;
- no taxes on forex licensees for foreign firms;
- currency is not controlled;
- the company can be managed remotely.
Even though you won’t be able to permit an activity permit in a month, the many advantages significantly outweigh this aspect.
In the end
If you are trying to get a work permit within a month, then most likely, you should choose other jurisdictions. However, if you are willing to wait a little, then experienced lawyers will help you obtain a work permit quickly and easily, and you will then be able to enjoy all the benefits of getting a license in this jurisdiction.
