Forex broker license for sale 2025

Forex market turnover

The Forex market is the largest financial market in the world, with a daily trading turnover that has grown extremely over the last few years. In 2019, the Forex market reached 6.6 trill. USD (approx. 6.1 trill. EUR) in daily turnover and rose to as much as 7.6 trill. It was projected to reach an approximate total of USD 7 trill. EUR by April 2023. This phenomenal growth underlines not only the lucrativeness of the market but also its ever-growing importance in the realm of world finance. A trader and broker can legally and securely be part of this promising market, which, certainly, means understanding the regulatory environment and making sure forex activities are provided under a legitimate fx license from a given jurisdiction in whose target market the jurisdiction has called for such a license.

What Is a Forex License?

A forex license is a kind of legal authorization by regulating bodies towards individuals or companies willing to operate activities involving the forex market. It is one of the basic requirements for fx brokers, forex trading platforms, and financial institutions who want to operate services of fx to clients or perform direct currency trading activity themselves.

First and foremost, the purpose of a forex license is to ensure that actors in this market observe due process and adhere to regulatory provisions that protect the interests of both traders and investors. They are issued by various governments or their financial regulatory authorities and are accompanied by rules and standards to which the holders of licenses must comply. These might include capital adequacy, protection of client funds, transparency, fairness in trading, anti-money laundering policies, and managing risk.

Benefits of a Forex License

In the case of opening a forex company, you have numerous advantages that could be a reasonable cause for your getting a license to trade in forex. A forex licensee in one or many jurisdictions can add up towards the legitimacy, trustworthiness, and success involved in your forex operations. Having a license in forex trading has other advantages, too: ease in the opening of a corporate bank account and partnering with other institutions, maintenance of financial stability, protection of funds, and expansion opportunities are increased.

Being licensed as a forex operator works within a legal framework, indicating your operation of a business in a very transparent manner and ethical way, and minimizes all possibilities of having problems with the law or regulators imposing fines. A forex license increases the credibility and legitimacy of the business in the eyes of the key stakeholders. This will be important in instilling confidence among the clients and partners, which are the key components of a sustainable forex business; it shows that a licensed forex company operates transparently to protect clients and partners from fraudulent activities and unethical practices. Evidently, traders and investors are likely to opt more for the licensed forex broker or a platform, rather than some unregulated alternative.

Of course, a license can get access to the services of payment processing because many such processors would prefer to deal only with licensed forex business because of a higher level of trust and regulatory supervision. This will probably make the whole process of transaction much easier, with access to greater varieties of payment options. It also means that having a forex license can significantly ease the process of opening a corporate bank account for a forex business, since most reputable banks require a valid license from businesses operating within regulated industries.

Regulatory authorities usually focus on the principle of risk management in the forex industry, mainly to protect the interest of clients and ensure the integrity of the entire financial market. This is a regulatory requirement that obligates every offshore forex license or other related license holder to establish and continuously follow comprehensive risk management procedures. The overall benefits of risk management policies and procedures extend to the financial stability and sustainability of the forex business itself, aside from mere client protection.

In some instances, licensed forex businesses may find available insurance options that provide an added layer of protection and financial security, thereby further enhancing the overall resilience and stability of the business. They underwrite niche risks, including errors and omissions insurance designed to protect forex businesses and professionals against allegations of negligence, errors, or omissions in their professional services, or client fund protection that protects customer funds against theft or misappropriation in the event of business insolvency.

Having a forex license in one jurisdiction simplifies the process for expansion into other countries or regions. Some jurisdictions have created bilateral or multilateral agreements—also sometimes referred to as “passporting”—whereby forex licenses from regulatory authorities in other countries are recognized. Their objective is to make the financial services more easily expand across borders. Forex companies licensed in countries with such agreements enjoy easier approval in the other countries which are signatories to them. This is the most common approach within the EU, where there is a general regulatory framework as well.

How to Obtain a Forex License

The two significant ways of getting a Forex license are as follows: application for a license from scratch and buying a ready company with an already existing license. Both options have their strong and weak sides, and you shall select one in line with your business goals, resources, timelines, and particular circumstances.

An application for a forex license from scratch allows you to tailor the business structure and operations to best suit your goals and desired target markets. In such a case, full compliance by the forex business with all regulatory requirements and standards can be ensured right from its inception, which will minimize the chances of any compliance or regulatory issues at a later stage.

On the other hand, it was possible to apply for a forex license from scratch—a very long and painful process that includes much paperwork on company formation and licensing, due diligence, and communication with regulatory authorities, probably delaying the launch of your forex business. Of course, this option is still beneficial, and our team of lawyers here at Regulated United Europe can help you get a forex license quite easily.

Buying a ready company that already has a forex license can save you a lot of time when trying to enter the market: you can practically start operating almost immediately and avoid long months of application and approval processing. While the purchase price might be pretty high, it still can be lower than the summary of all license obtaining costs from scratch, which means you’ll have more opportunities to channel resources into business growth and operations.

You may have less freedom to amend the existing structure of the business, which may diminish your ability to implement a specific strategy or operational change. Our lawyers, all experienced in their particular field, will be happy to try helping you reduce or overcome such a challenge by offering full-scale support in the process of searching and buying a ready-made forex company.

How to Apply for a Forex License

Its forex licensing application process is quite complex, highly regulated, and usually differs from one jurisdiction to another. While some jurisdictions provide an entry for startups, others have a lot more robust requirements that might be fulfilled only by established forex companies. While the steps and legal requirements might be very different depending on the regulatory authority and country or region where you want to operate, there are general processes that are somewhat similar in most jurisdictions.

Many jurisdictions require the incorporation of a local company to be eligible for a license. This process can take from up to several weeks, including the preparation of required documents. Generally, in order to be registered a forex company is compelled to meet initial capital requirements, as well as to hire a certain number of directors and other key personnel. Many jurisdictions also require the physical presence of the company which includes having a local registered office and local employees.

To apply for a forex license, a newly incorporated company usually needs to satisfy the following legal requirements:

• Have minimum capital which may vary greatly and which are put by the regulatory authority in the chosen jurisdiction.
• Be suitably fitted with equipment, technology infrastructure, and security consistent with the requirements under national law.
• Apply effective AML/CFT processes, including CDD/KYC.
• Open bank accounts that would distinguish client funds from those that are used to fund the operations of business.
• The owners, directors, and key officers shall be subjected to and pass the ‘fit and proper’ tests for integrity, competence, and financial soundness.

The usual steps to get the license for forex include the following:

• Preparation of documents by the applicant needed by the regulatory body.
• Payment of the forex license application and/or annual license fees.
• Submission of official application form with required documents to the regulatory authority.
• If required by the regulator, a face-to-face meeting or any additional information.

The following documents usually have to be submitted along with the forex license application form:

• Articles of Association
• A Memorandum of Association
• An in-depth business plan to describe the activities that are to be undertaken, market demand, business forecast, management control, and internal control procedures.
• A very proper risk management plan
• Copies of the passports of the company’s shareholders, directors, and any key personnel.
• Proof of address of each shareholder, director, and any key personnel of the company.
• CVs of the company directors showing their qualifications and experience in the forex business.
• No criminal record proof for its shareholders, directors, and other key personnel.
• AML/CFT compliance documentation, including respective internal policies and procedures.

How to Buy a Ready-Made Forex Company

Buying a ready-made forex company, further referred to as an off-the-shelf or shelf forex company, is definitely much quicker and easier to get into the industry with, rather than trying to build from scratch. In case you are looking for how and where to buy a ready-made forex company for sale, do not hesitate to contact our team of expert lawyers for your personal consultation. With the rich experience of our firm and active participation in multiple forex conferences around the world, we are happy to provide full support in finding for sale a forex broker license with a ready company and in purchasing the most suitable option with confidence and ease.

You should note that a new buyer should meet the following basic requirements:

• The costing sources to be spent on annual license fees, minimum required capital as well as in fulfillment of other financial commitments.
• A firm’s new owners, directors, and other officers/personnel are required to be appropriately fit and proper, which also includes competence to operate a forex trading enterprise.
• Evidence of compliance with each jurisdiction’s pertinent legal and regulatory requirement.

Common steps toward an acquisition of a ready forex company may include, but are not limited to the following:

• Conducting due diligence to determine the desirability of the proposed ready-made company in regard to the review of the financial books and records of the company, and observance of regulatory requirements.
• Negotiating purchase terms with the seller, including the purchase price, payment terms, and other conditions that may be relevant to the transaction.
• Prepare a purchase agreement outlining all the terms and conditions of sale.
• Payment arrangements in accordance with the purchase agreement conditions.
• Approval of the regulatory body regarding the new ownership, depending on the jurisdiction and type of license, which may be required for the new buyer, including background checks, fit, and proper assessments of the new owners.
• Corporate books of the company updated, such as Articles of Association and, where applicable, given regulatory filings.
• Verification of full compliance: Full compliance review is carried out for the acquired forex firm to verify whether it follows all the regulatory requirements and standards.

A new buyer should prepare at least the following documents:

• Proof of the required capital.
• Copies of the passports of the new owners, directors, and key personnel.
• Proof of no criminal record of each new owner, director, and other key members of the staff.
• Proof of residential address of each new owner, director, and other key personnel.
• A clearly outlined business plan with a description of new strategies, goals, and operations for the acquired forex company.
• Precise outlining of the strong risk management procedures that will safeguard the company and its clients from market volatility and operational risks.

Best Countries to Obtain a Forex License

You should also remember, while opening or expanding your forex business, that the right license from the right jurisdiction can make a huge difference in your journey to success. A decision on where to obtain your forex broker license or another type of license related to forex is actually a strategic step that influences your business’s credibility, market access, and level of regulatory compliance. Relevant factors for choosing a jurisdiction when selecting a license for a forex broker and other related licenses include the reputation of the country concerning regulation, business climate, legal requirements, implications on taxes, accessibility, and targeted markets.

For a number of reasons, licenses from specific jurisdictions are in high demand among both fledgling forex brokers and established trading platforms, which you should pay closer attention to for a reason. If you decide to take a closer look at one that best fits your business goals, please contact our lawyers for more valuable insights tailored for your case.

Cyprus Forex License

By far, Cyprus is the most favorite European jurisdiction for entrepreneurs willing to establish a Forex company. Onshore Cypriot Forex companies are regulated by the reputable Cyprus Securities and Exchange Commission-CySEC-a well-known regulator for its strict regulatory requirements and full compliance with the European Markets in Financial Instruments Directive II (MiFID II). This gives a very high degree of credibility and confidence in the Cypriot licensees of Forex companies and attracts highly valuable clients.

Undeniably, one of the most striking advantages of a Cyprus forex license, considering that Cyprus is a full member of the EU, is EU passporting rights: providing services and performing activities in other EU member states without going through the hectic process of obtaining separate licenses in each and every member state. The Cypriot taxation system is surely among the most competitive in Europe. The Corporate Income Tax rate is only 12.5%, and there’s no Withholding Tax, making it a very attractive jurisdiction to optimize your forex business obligations.

Depending on the scope of your business activities you are free to choose from 3 major tiers of Cypriot forex licenses:

• Basic License – for investment advice and execution of orders, or the provision of investment advice and portfolio management services.
• The Standard (Market Making) License – for passing customers’ orders directly to the head of the liquidity pool.
• The Full (Dealing On Own Account) License gives a license holder the right to trade forex with one’s own capital without offering their trading services to third-party clients or customers.

The main legal requirements to the applicant for Cyprus forex license are the following:

• A company should be duly incorporated in Cyprus.
• Minimum required capital: from 50,000 EUR to 730,000 EUR, depending on the type of license.
• License application fee: 3,000 EUR.
• The annual license fee depends on the annual turnover of the forex company 0-0.5%.
• A registered office in Cyprus, adequately equipped to support the forex trading activities.
• Company shareholders, directors, and other key personnel must meet the fit and proper criteria.
• Robust internal AML/CFT policies and procedures.

Normally, this can take up to 6 months to process, depending on the quality of the application or such other relevant factors. For an additional fee of 25,000 EUR, this process can be expedited to be completed in 3-4 months. Buying a ready-made forex company in Cyprus may take less time than setting it up from scratch, provided all the legal processes go down the line with utmost solicitude to ensure the acquisition is as seamless as possible.

Mauritius Forex License

Mauritius is practically the most popular country in the world for getting a forex license. Mauritius forex companies are licensed and regulated by the Financial Services Commission, FSC of Mauritius, which established high standards to enforce and sustain compliance, transparency, and investor protection, thus further contributing to a safe environment for the participants of the forex market. Therefore, the FSC of Mauritius represents an internationally recognized international regulative body or organization that gives quite a great deal of credibility to a forex business licensed in this jurisdiction.

Mauritius is known to be business-friendly and is ranked quite favorably in various global indices regarding ease of doing business. With a view to attracting forex brokers and other related businesses, Mauritius is a jurisdiction that offers simplified regulatory procedures, minimum administrative barriers to starting and operating forex businesses from or within the country. Besides, there are no government-imposed exchange controls and a number of essential taxation privileges, such as a relatively low Corporate Tax rate and exemptions on Capital Gains Tax and Withholding Tax.

The following types of forex licenses are issued in Mauritius:

• Investment Dealer License – for those companies operating their activity as forex brokers.
• Investment Adviser License – for those business entities that provide investment advice and consultancy services regarding forex to customers.
• Global Business License – not a forex license, but an owner of such a license can engage in financial activities, too – including forex trading.

The major legal requirements of the applicant for a forex license of Mauritius include the following:

• A company should be incorporated in Mauritius.
• Minimum required capital – from 45 MUR (approx. 1 EUR) up to 700,000 MUR (approx. 14,000 EUR) depending on the type of license.
• Licence application fee – from 5,000 MUR (approx. 100 EUR) to 23,000 MUR (approx. 460 EUR), depending on the type of licence.
• Annual license fee – from 57,000 MUR (approx. 1,200 EUR) to 90,000 MUR (approx. 1,800 EUR), depending on the type of license.
• A registered office address in Mauritius for official communications.
• The shareholders, directors, and key personnel must be fit and proper.
• Internal AML/CFT policies and procedures.

The length of the application process typically takes around 4-8 months, based on the intricacies of the business, the quality of the application submitted, and the workload of the authority. To minimize the time needed to process the application, it is highly advisable to prepare it with the help of legal experts.

Seychelles Forex License

Seychelles has also emerged as a reputable jurisdiction to obtain a forex license owing to a multitude of advantages. Seychelles Financial Services Authority – FSA licenses and supervises not only forex brokerage businesses but also provides the regulated forex businesses with the regulatory support that smoothes the way of regulatory compliance and ensures that the latest changes get rightly absorbed.

Seychelles has a flexible regulatory framework in respect to forex businesses, where the facilitation of business growth is efficiently balanced with strong supervision. It is known for its simplified administrative procedures and transparent regulatory guidelines that allow forex licensees to be compliant relatively easily compared to some other jurisdictions. In addition, Seychelles has a very appealing tax regime with no Capital Gains Tax, no Corporate Tax, and no Withholding Tax on forex trading activities for the International Business Companies established in-country.

The following kinds of forex licenses are issued in Seychelles:

• Securities Dealer License allows activities of forex trading, forex brokerage, and market-making
• Investment Adviser License allows provision of investment advice by businesses
• CSL is a multi-purpose license which can be achieved as a forex broker license among other activities.
• An IBC License provides flexibility in terms of structuring and conducting multinational business and related activities of forex trading.

The following are the key legal requirements which an applicant for Seychelles forex license shall meet:

• A company shall be ultimately incorporated in Seychelles
• Minimum required capital – 660,000 – 1.3 mill. SCR (approx. 47,000 – 93,000 EUR) in case of a Securities Dealer License, in all other cases, it shall be considered on a case-by-case basis
• Application fee for licensing – determined according to the type of license and the scope of forex trading activities
• Annual fee for licensing – determined according to the type of license and the services rendered by the forex license holder
• It will prove that all those who intend to participate in the management, control, or ownership of the forex firm meet FSA’s fit and proper requirements
• An appropriate operational infrastructure
• Suitable internal AML/CFT policies and the assigning of an AML officer

Comoros Forex License

While some of the friendly forex jurisdictions for startups are either turning the regulatory screws tighter or bringing in new regulatory frameworks, Comoros is becoming the cheapest country to get a forex license. Mwali International Services Authority, known by its acronym MISA, is the authority for licensing and supervising forex companies operating from Comoros. Rather than being constrained by rigid rules, MISA stays flexible and adapts to the constantly changing market conditions and emerging risks.

The authority does, at the moment, exert minimal control with easily met legal requirements and a fast-track licensing process with no requirement to have an office in Comoros. The cost of licensing and operation is far lower compared to more reputable forex regulatory territories. Because of this, Comoros has become considered one of the best alternatives to SVG and Vanuatu and a new go-to jurisdiction when forex startups seek a fast, cheap solution.

A license for forex in Comoros is officially called an International Brokerage License, and it allows a list of financial services to be provided, among which are stock brokerage, futures trading, CFDs, and associated financial activities.

The main legal requirements for the applicants of Comoros forex license are as follows:

• Incorporation of an International Business Company – IBC in Comoros
• Minimum required capital – approx. 24 mill. KMF, or approx. 50,000 EUR
• Fee for a license application: from 1.9 mill. KMF (approx. 3,800 EUR)
• Annual fee for a license: from 1.2 mill. KMF, or approx. 2,400 EUR
• Due diligence process for all company owners/directors
• Internal AML/CFT policies and procedures

The Comoros Forex license can be obtained in 2-4 weeks, given the quality of the application, which is particularly efficient compared to other jurisdictions. The license is granted for the period specified by the authority, with a right to renewal in case of continuous observance by the Licensee of the national legislation.

If you want to begin forex trading business or extend the forex trading activity and receive a forex license, our staff here at Regulated United Europe will be more than happy to assist you in incorporating a forex company and filing the application for a forex license. We can also confidently lead you through the process of finding a viable forex license for sale and buying a ready-made solution in the shortest possible time.

With a team of professional legal advisors, tax experts, and financial accountants in front of you, all processes related to the opening or expansion of your Forex business will turn out easy, smooth, and clear. Contact us now for personal consultation and take first steps towards durable success.

Also, lawyers from Regulated United Europe provide legal services in connection with obtaining a crypto license.