Vanuatu Financial License Detail
We would be happy to assist you to set up a Financial Dealers Licence subject to our due diligence verification. In order to apply and obtain a Vanuatu Financial Dealers Licence, your Company must first incorporate as a Vanuatu International Company.
Once the company is incorporated, we will need to submit a draft application to VFSC in order to enable VFSC to deal with any issues that may arise during the course of the application review by the Commission and this will also gives the applicant extra time to sort out any issues raised before finalizing their application. Once application approved then we will be requested to lodge signed documents to the VFSC.
Whilst, we respect the confidentiality of our clients, we are obliged by law to obtain the following information relating to all beneficial owners, directors, shareholders, bank account signatories and all parties connected in any way to any company business entity, we may form or administer.
Financial License Price
The cost is $25,950 US including company formation.
Vanuatu Forex License / Financial License Requirements
- Notarised Passport Copy
- Curriculum Vitae (Résumé)
- Original Proof of Address (Utility Bill : Electricity / Water – should be issued within the past 3 months)
- Original Bank Reference Letter
- Two reference Letters showing at least three (3) years of professional experience in Fund management, securities and investment
- Original Police Clearance Report
The above-mentioned documents must be FAXED to us for REVIEW then, once we have reviewed we will ask you to send the ORIGINAL to us by courier. All documents must be in English or if not then a translation form from an Independent and accredited translator should be attached.
The definition for Vanuatu Financial Dealers Licence means:-
(a) Shares in the share capital of a Corporation; or
(b) An instrument that creates and acknowledged the in debt securities that is issued by a corporation or a public office including:
(i) Debentures, or
(ii) Debenture Stock
(iii) Loan Stock or
(iv) Bonds or
(v) Certifications of deposit or
(c) A right, despite whether or not conferred by warrant, to subscribe for shares or debt securities; or
(d) A right under a depositary receipt; or
Depositary receipt means a certificate or a written record of a document that:-
(i) Is issued by or on behalf of a person who holds any relevant securities of a particular issuer; and
(ii) Acknowledges that another person is entitled to the rights in relation to the relevant securities of the same kind.
(e) An option to acquire or dispose of any security falling within any other provision of this Act, or
(f) A right under a contract for the acquisition or disposal of the relevant securities under which the delivery is to be made at a future date and at a price agreed when the contract is made in accordance with the terms of that contract, or
(g) The proceeds of Foreign Exchange or FOREX, or
(h) The proceeds of precious metals, or
(i) The proceeds of commodities
(j) Future contracts and derivative products, but not limited to futures and options
Offshore Financial License Requirements
All Financial dealers Licence applicant need to provide the following information upon application of licence to the Commissioner:-
(a) A statement of the director outlining the financial standing affairs, current assets, contingent liabilities and insurance including professional indemnity showing cover of the appointed representative and other officers of the applicant.
(b) Disclosure of Internet related business or e-commerce business and clearly showing the information of the licensee
(c) Capital
Copy of bank statement showing sufficient funds to pay over the Security Deposit of USD 50,000. This deposit can also be considered as part of the Capital.
(d) Business Plan
The business play should include the following information:-
(i) Details to be included in plan of operations
(ii) The sources of business (for example, brokers, agents, own employees, independent salesmen or direct selling)
(iii) The types or classes of investment products, eg detailing in securities, trading in futures contract, collective investment schemes, life policies, options, swaps, etc
(iv) They type of platform or software system to be used. Please provide evidence or print out a copy of the software system. If the platform or software is to be supplied by another provider, please provide copy of service agreement with another provider
(v) Risk management strategy (this should identify all risk that the entity is exposed to and the mitigating factors)
(vi) Investment Policy
(vii) Copies of proposed agency or broker agreements
(viii) Copy of proposed management agreement if appropriate
(ix) Copy of proposed authority for main agents if applicable
(x) Copies of prospectus
(e) AML / CTF Independent Risk Assessment Report (this will need to be submitted after licence has been issued)
(f) After 12 months of operation, applicant will have to submit an audited financial statement (approved auditor in Vanuatu who is experienced in the auditing of Financial Dealers licence) showing the latest profit and loss report and balance sheet.
Financial Licence Application Procedure
All Financial Dealers has to register their business with the Vanuatu Financial Intelligence Unit (VFIU) before lodging their application with the VFSC. The AML & CTF Preventive measures include:-
- Appointment of AML/CTF Compliance Officer
- Establishment and maintenance of AML/CTF Procedure Manual
- Establishment and maintenance of customer due diligence
- Establishment and submission of transaction report to the VFIU
- Establishment and maintenance of Independent Audit System
Upon issue of FDL the Company is required to submit to the Commissioner of VFSC a quarterly report outlining details which must include:-
- Number of investors and amount of funds invested
- Number of products offered to investors detailing the number of each product offered
- Details on what jurisdiction of product was offered
- Details of vetting process of investors and criteria used
- Number of refusals and reasons for refusal
- Updated information on Registered Agent and office details
- Updated information on Shareholders and Beneficial owners and
- Report on any complaints received from investors
Timeframe
It normally takes 1 week to set up the IBC and 2-3 months to obtain the Financial Dealers Licence.
