A quick browse through various online forums might provide some “encouraging” statements for those wishing to purchase an online gaming license: a gaming license can be acquired in countries such as Malta, for approximately 9,000 Euro per annum. Naturally, such assertions are not only false but, in fact, negligent and precarious; after all, one cannot simply become a successful entrepreneur without making the necessary investments.
While it is possible to conduct your gambling business without an appropriate license, the majority of online casinos are legally certified. A valid gaming license is highly beneficial for three main reasons:
• When viewed from users’ perspective, having a license guarantees both the reliability and integrity of the gaming company. Users of online casino games and poker rooms evidently have more confidence playing once the gaming company has a license.
• Banks insist that gambling companies will have a gaming license. This is particularly significant when agreements regarding payment, specifically concerning the use of bank cards, are drawn.
• There are numerous countries in which any operation of a gambling business without a license is considered illegal. Owners of a gaming business that is operated without a license will be forced to close their business, face fines and fees and are at risk of being captured and prosecuted by the authorities.
The following considerations must be taken into account when purchasing a gambling license. Notably, our partner attorneys—based at various seat countries—will provide the required services, accompanying our customers until the successful attainment of a gambling license.
- Preparatory steps concerning the gaming license approval process,carried by a relevant agency in the seat country.
Depending on the seat country, the following documents are required: business and profit/loss plan for the first years; software; general terms and conditions of the gambling operation; measures to be taken for child and youth protection, along with addiction prevention measures; excellent credit record of the managing director; and, sufficient paid-in capital in the event of distributions.
- Company formation in the seat company.
There can be no registration of a bogus firm whatsoever.
3.Payment of government fees, gambling taxes and corporate taxes to the relevant agencies in the seat country.
In many countries taxation is levied on the prescribed auditor, accounting, preliminary value, added tax return and an annual financial statement.
As was previously mentioned, in order to operate a legal gambling operation—such as an online casino, poker rooms or sports betting gaming sites—you must first obtain a gambling license. Many governments in fact issue such a license, yet governments from the Caribbean and Pacific Islands—such as Antigua, Barbados, Costa Rica, St Kitts, Dominica, Curacau and Vanutau—are amongst the most popular jurisdictions which provide offshore gambling permits. In choosing a gambling license jurisdiction, it is necessary to ascertain that the jurisdiction of your choosing offers sensible approach towards taxation, reasonable license cost, a strong licensing law and holds to high technical standards.