Companies that provide financial services require special permission to function. Obtaining a financial license in Gibraltar is mandatory for many types of activities and our team can help you apply for one as needed.
A Gibraltar financial license is issued by the Financial Services Commission after the completion of the steps for company formation in Gibraltar.
Our team can help you understand the requirements, the process and will assist you with your application as part of our solutions for investors who want to set up a company in Gibraltar.
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Financial licensing requirements in Gibraltar
A company that will offer financial services has to be authorized by the Gibraltar Financial Services Commission. The process of obtaining a financial license in Gibraltar focuses on determining the applicant’s suitability to provide financial services. It also includes a full evaluation of the business plan.
Some of the types of licensed activities include the following:
- foreign money exchange bureaus;
- credit institutions;
- electronic money issuers;
- insurance companies and insurance managers;
- investment firms;
- insurance and reinsurance intermediaries;
- non-credit institutions;
- payment services providers.
Please note that the list of license application types above is not an exhaustive one.
A separate license is issued for companies that will function as distributed ledger technology providers. This is the DLT license and our team specializing in company incorporation in Gibraltar can give you additional details about this separate license which can be used by crypto companies in some cases.
Financial license pre-application and application
Companies interested in obtaining a financial license in Gibraltar will go through two distinct phases.
During the pre-application process the focus will be on an initial meeting with the Gibraltar Financial Services Commission (GFSC) and on submitting the abridged business plan. The applicant will take into account any suggestions offered by the authorities during the introductory meeting. Once the initially submitted file is analyzed, the applicant will attend a follow-up meeting with the GFSC staff.
The application process has three stages:
- Analyzing the business model, key individuals in the company, and the capital;
- Undergoing an evaluation of the company’s corporate governance compliance, IT systems, risk framework, and other information;
- Analyzing key performance indicators, certain non-financial resources, business conduct, consumer duty, and operational resilience.
An optional fourth stage is in place for applicants interested in obtaining a financial license in Gibraltar who will work in sectors such as e-money or distributed ledger technology.
Being authorized by the GFSC is a multi-step process that can take several months. If you want to open a company in Gibraltar and require a financial license, our team can help you prepare for the application.
Gibraltar financial license fees
In addition to meeting all the business requirements, applicants are asked to pay a fee when they submit the application to obtain a financial license in Gibraltar. An authorization fee and an annual fee are in place. The latter is not paid until the application for authorization is approved.
Examples of annual regulatory fees for the 2024/2025 financial year include the following:
- £3,500 for non-complex insurance company applications when the application is made for the approval of an additional cell;
- £30,000 for a category 1 investment firms;
- £50,000 annual fee for ongoing monitoring in the case of insurance companies with an internal capital model.
Our team can provide clarifications on the fee payment methods and terms.
Contact us for more information on how to obtain a financial license in Gibraltar.