Online gambling is a very popular form of entertainment and earning money. The craze of online gambling is at its peak because it offers users to access all features at their fingertips. Digitization helped bring gambling from the physical form to the digital one and brought their revolution in the world. Now-a-days many gambling sites are offering services to bettors but to run their site legally. You need a valid permit.
A permit makes sure that your site has met predefined guidelines. Like it offers fair play with random gambling games. It has also set the correct policies and regulations to verify the identity of its players. And it keeps the sensitive data of players safe and protected.
Why do you need a gambling license?
If you’re planning to set up a gambling business then it is essential to get an offshore gambling permit. A permit is a document that allows you to run a gambling business. It is issued by a special regulatory authority. A company needs to meet several requirements to obtain such a permit. It is illegal to run a gambling business without a permit could put you in serious trouble. So, having a permit means an indisputable guarantee that the business has the full support of the law.
Basic requirements for obtaining a gambling permit
The requirements depend on the jurisdiction you have applied for the permit. They usually relate to your company’s details like financial accounting system, auditing, game functionality, and description of your company. But getting a permit is winning the half battle because you also need to choose a reliable jurisdiction. You also need to make sure that its services should be valid in all countries. If you don’t have any idea of which jurisdiction is best for legalization then we have described the list of regulators operating legally below:
Curacao is one of the oldest online gambling jurisdictions in the world. It is suitable for those who are in a hurry to start their gambling business and don’t have much capital. Being one of the oldest, it has a solid reputation as a jurisdiction with a good level of trust. having a permit from this jurisdiction will set you in good standing.
Malta Gaming Authority usually issues two types of permits (B2B & B2C). Once you have permission to conduct gambling activity then you must comply with several requirements. For example, you need to provide financial statements on regular basis along with guaranteeing the protection of players’ personal data. At first, you will get a temporary permit for 6 months. After a thorough analysis if there are no violations. Then a 5-years permit will be granted. Owners have to pay 0.55-1.25% in tax on their generated profits.
It is another popular jurisdiction from where you can get a gambling permit. However, the requirements here are much more complex. To get a Gibraltar permit, owners must prove their financial solvency and provide a detailed business plan. Permit holders can only process financial data and users’ card transactions through Gibraltar’s banks. The owners have to pay a 1% tax of the annual gross profit.
4. The United Kingdom
Every gambler must have heard of such an organization as the United Kingdom Gambling Commission. Certainly, it is one of the largest gaming authorities in the world. To obtain a gambling permit in the UK. You are expected to submit a whole package of documents which includes proof of no criminal conviction, a ready-made business plan, and proof of financial solvency. Unlike in other countries, the owners have to pay a tax of 15-50% on gross income. They must pay annual renewal fees as well. Unfortunately, it has increased by 55% since October 1 this year.
The Alderney Gambling Control Commission has been keeping track of all forms of gambling activities in the country since 2000. Applicants need to be ready with paperwork and deposit funds in order to successfully register. The average permit fee is £17,500, and renewals are twice as expensive. These amounts depend on the annual gross income of the gambling site, the type of permit, and other factors.
Having a permit means customers will trust your site. It makes a good impression on players when they see that site is legally authorized. Players have confidence that their financial transactions are secured. And gambling process is honest and transparent. Players are assured now that the site is legal, and there is no room for fraud and manipulation. You’ve now seen that to legally provide gambling services a site must obtain a permit.
Your business won’t be able to survive. If it doesn’t have the essential permit. First, you won’t be able to open a bank account. Secondly, you’ll not be able to host many board games on your site. That’s why it is always advised to have a permit before starting a gambling business.