Banking or Financial License

Choosing the right type of license for your bank

When deciding to start a company that will be offering financial services, you will need to decide what type of license you would like to apply for. If you are looking to specialize in only one type of financial service, it is probably better to look for a financial services license that will allow you to engage in that activity. An example of a specialized financial services license would be a Forex broker license.

Having a specialized financial services license is great, and many of the available financial services licenses available allow you to engage in a full spectrum of financial services that are specifically related to your industry. However if you are looking to be able to work in a far broader spectrum of financial services, and want the flexibility to engage in financial services that are not specialized, you should look at getting an offshore bank license.

Having a bank license allows you to engage in the widest possible spectrum of financial services activities, including deposit taking, lending, fund management, trade finance and almost any other banking services you would get from any onshore or offshore bank.

A bank license allows you to engage in more financial services than any other form of financial services license, however there are certain activities that even banks need to apply for financial services licenses to provide, things like OTC Forex trading.

When it comes down to choosing between a bank license and a specialized financial services license, you will need to look at your potential client base, and determine what types of financial services they would want you to be able to offer them.

If you would like more information about the types of banking licenses or financial services licenses Starting Business can offer you, as well as the offshore jurisdictions that we offer for your financial services license or bank license application, please Contact Us.

Alternatively, if you are ready to start your offshore bank formation, please complete our Bank License Application form.