Finance Company Licence Solutions | Pre-licensing Assessment | Finance Company Licence Application Management | Post-licensing Compliance Solutions

We offer a comprehensive set of solutions to help you obtain and maintain a finance company licence, tailored to:

• Your business goals and objectives
• Your client demographics
• Your countries of operation
• The size of your business
• The available human and technology resources
• Your risk appetite
• Your governance structure
• The products that you offer
• regulated finance companies' obligations covering risk and compliance management under financial laws and regulations, the applicable financial licensing requirements, AML/CFT laws, privacy laws, consumer protection laws, and more

We have designed our regulatory licensing solutions to help you navigate the complexities of the finance companies' licensing regime in a commercially oriented and goal-focused manner, providing effective support for all stages of the finance companies’ licensing process, including but not limited to the following aspects:

• Finance Company Licence Guidance: Advising on a wide range of aspects associated with finance company licence as it relates to your specific situation
• Pre-licensing assessment: Covering compliance gap analysis as well as risk and compliance assessment
• Pre-licensing support:
• Drafting the necessary policies and procedures to help you comply with the finance companies' licensing conditions and financial markets' regulations
• Developing internal controls to help you meet your obligations under the finance companies' licensing regime
• Finance Company Licence Application Support: Covering the entire licensing process
• Post-licensing Support: Covering
• Ongoing compliance advice
• Comprehensive second-line risk and compliance support, including leading the implementation of your risk management framework (RMF), compliance management framework (CMF), compliance monitoring program (CMP), compliance calendar and checklist, ongoing risk assessments, internal and external reporting, outsourced providers' management, and more
• AML/CFT advice
• AML/CFT compliance management
• Compliance assurance solutions, including compliance assurance program (CAP) development, implementation, and internal control testing

 

Jurisdictional Coverage of our Finance Company Licence Solutions

We can help you apply for the finance company licence or its equivalents in the following jurisdictions:

Deposits Taking

• Australia: For more information on the Australian equivalent of a Finance Company Licence, an Authorised Deposit-taking Institution (ADI) Licence, you can visit our ADI Licence page
• New Zealand: For more information on the New Zealand equivalent of a Finance Company Licence, a Deposit Takers Licence under the Deposit Takers Act 2023, you can visit our NBDTs’ Licence page.
• United Kingdom: For more information on the equivalent of a Finance Company Licence, Building Society Authorisation, you can visit our Building Societies Authorisation page or our UK Building Society Authorisation page.
• Singapore: For more information on the equivalent of a Singaporean Finance Company Licence issued under the Finance Companies Act, you can visit our Singapore Finance Company Licence page.
• United States: For more information on the United States equivalent of a Finance Company Licence, the Federal Savings and Loan Association license, you can visit our Federal Savings and Loan Association Licence page.

Lending

• Australia: For more information on the consumer lending licence – Australian Credit Licence (ACL) under the National Consumer Credit Protection Act 2009, you can visit our ACL page for Consumer Lending Platforms.
• New Zealand: For more information on the finance company licence options – Financial Service Provider (FSP) Registration for Credit Providers and Consumer Lenders, you can visit our FSP Registration page.
• United Kingdom: For more information on the consumer lending licence – FCA Consumer Credit Permission under the Consumer Credit Act 1974, you can visit our UK Consumer Credit Authorisation and/or UK Credit Union Authorisation pages.
• Singapore: For more information on the consumer lending licence – Moneylender’s Licence under the Moneylenders Act, you can visit our Singapore Moneylenders Licence page.

 

Offshore Jurisdictions

• Cayman Islands
• British Virgin Islands (BVI)
• Bermuda
• Isle of Man
• Jersey
• Guernsey
• Mauritius
• Bahamas

 

Service Coverage

We offer comprehensive support for a wide range of finance company licence applications tailored to meet the specific needs of the following businesses:

• Consumer Finance Companies
• Commercial Finance Companies
• Auto Finance Companies
• Equipment Finance Companies
• Mortgage Finance Companies
• Microfinance Companies
• Payday Loan Companies
• Leasing Companies
• Factoring Companies
• Credit Unions
• Building Societies
• Savings and Loan Associations
• Mutual Savings Banks
• Community Development Financial Institutions (CDFIs)
• Related Financial Activities

You can find more information about our finance company licence solutions below:

 

Finance Companies’ Licensing Preparation

Pre-licensing Compliance Assurance

Our finance company licence solutions cover the following focus areas:

• Compliance Goals Analysis: We review your business-specific goals and resources against the suitability criteria for a finance company licence
• Initial Consultation: We provide guidance on potential risk and compliance issues that may arise during the finance companies’ licensing process
• Choosing the Right Jurisdiction: We assist in evaluating regulatory, risk, and compliance environments to determine the most suitable jurisdictions for your finance company licence, tailored to suit your:

• business objectives,
• operational capacity,
• client base,
• markets of operations,
• and other relevant factors

• Gap Analysis: We identify gaps between your existing operations and regulatory requirements and help you align them in a commercially oriented manner
• Finance Company Licence Application Plan: We help you establish a roadmap to effectively meet the requirements for your finance company licence

 

Finance Company Licence Guidance

Selecting the right compliance model is crucial not only for navigating the licensing process but also for maintaining ongoing compliance and avoiding potential breaches. Our finance companies' licensing solution covers:

• Compliance Model Selection: To help you best comply with the finance companies' licensing regime and related risk and compliance obligations.
• Corporate Governance Model Selection: We offer practical guidance on establishing effective corporate governance practices that support your risk and compliance oversight.
• Operations Model Advisory: We advise you on optimising your operational and governance models to help you efficiently comply with the licensing requirements for deposit takes and lenders and other applicable regulated finance companies’ obligations, keeping in mind your specific circumstances, available resources and business goals.

 

Finance Company Licence and Entering Regulated Environment

We help businesses transition from an unregulated environment to operating under the finance companies' licensing regime, helping them meet their obligations as a finance company licence holder.

We also assist already regulated businesses in aligning their existing risk and compliance management structures with the finance companies' licensing regime requirements.

Our focus areas for this service include:

• New businesses
• Existing finance companies operating in unregulated markets
• Regulated finance companies that expand into foreign jurisdictions
• Financial institutions and/or service providers with established risk and compliance frameworks seeking to offer regulated deposit taking or lending services as a new product.

 

Multi-Jurisdictional Compliance

With years of experience managing risk and compliance obligations for businesses operating under multiple financial licences across various jurisdictions, we help businesses remain compliant with regulated finance companies’ obligations globally.

 

Finance Company Licence and Wholesale Markets

Getting a finance company licence may not always be the best fit for all. For example, a retail market expansion may not always align with your goals or the products you offer.

Operating in the wholesale environment can sometimes be a more suitable option. We offer a wider range of risk and compliance management solutions to assist finance companies that:

• Operate in the wholesale markets
• Operate under exemptions from the finance companies' licensing regime
• Operate under a finance company licence limited to sophisticated, eligible, and wholesale investors

We help these businesses comply with the regulatory compliance obligations that still apply despite the absence of the finance companies' licensing regime or apply under the wholesale-only licensing framework, including:

• Advertisement Rules
• Fair Dealing Regulations
• Risk Management
• Outsourced Providers' Oversight
• Restrictions on offering services to retail investors (an integral part of the finance companies' licensing regime)
• Anti-Money Laundering and Counter-Terrorist Financing (AML/CFT) laws and regulations
• Data Management Laws and Regulations

 

Finance Company Licence Application

We assist with your licence application through ongoing engagement in the finance companies’ licensing process:

• Document Compilation and Review: We compile and review all required supporting documents to support your finance company licence application.
• Application Form Completion: We help you complete the forms so that all material information is accurate and complete.
• Pre-Submission Review: We can arrange a pre-submission review session with key stakeholders to ensure all parts of your application are understood and agreed upon. This session aligns application details with the actual situation, removing ambiguity.
• Finance Companies' Licensing Process and Regulatory Liaison: We manage the end-to-end submission process, maintaining clear and effective communication channels throughout the licensing process.
• Timeline Management: We closely monitor and adhere to all necessary deadlines, providing timely updates and adjustments to keep the application process on track.

 

Resolving Finance Company Licence Issues

Having competent compliance advisors is crucial when licensing issues arise. Therefore, our finance company licence solutions include a range of services to address and resolve these issues effectively:

• Remediation Solutions for Finance Company Licence Applicants: We address and remediate risk and compliance issues identified by regulators, helping your operations align with the finance companies' licensing regime requirements.
• Specific Licence Conditions Compliance: We can help you manage additional conditions imposed on your finance company licence, developing a tailored action plan to maintain compliance and facilitate the eventual removal of these conditions with minimal disruption to your business operations.

• Licensing Issues Handling: We address common licensing issues encountered during the finance companies’ licensing process, providing you with solutions to navigate and resolve these challenges efficiently.
• Further Information: You can visit our Compliance Remediation Solutions page for more information.

 

Post-Licensing Support

We offer a full range of ongoing risk and compliance solutions for licensed finance companies. Our services include, but are not limited to:

Ongoing Risk and Regulatory Compliance

• Regulated Finance Companies’ Obligations Guidance: We can advise your risk, compliance, management and other teams on meeting the requirements of the finance companies' licensing regime and other regulatory compliance obligations. You can visit our Compliance Consultancy Service page for more information.
• Regulatory Risk and Compliance Management: We provide dedicated compliance managers to manage your overall compliance. For more information, visit our Specialised Compliance Management Solutions page for Finance Companies.
• Compliance Assurance Solutions: As part of our compliance assurance solutions, we offer:
• Compliance Assurance Program (CAP) development and testing options
• Internal Controls Design option
• Internal Controls Testing option
• Internal AML/CFT Review option
• Statutory AML/CFT Audit option
• Compliance Training Solutions: We offer training programs to different teams on complying with:
• Regulated finance companies’ obligations for risk and regulatory compliance management. You can visit our Compliance Training page for more information.
• Finance Companies’ AML/CFT obligations and operational best practices for fraud prevention. You can visit our AML/CFT Training page for more information.
• Crisis Management Planning: We can develop proactive strategies to manage potential compliance crises effectively.
• Anti-Money Laundering (AML) and Counter Terrorist Financing Solutions: We provide a full range of AML/CFT solutions for finance companies. For more information, visit our Specialised AML/CFT Solutions page for Finance Companies.
• Advanced Compliance Technologies: We can assist you with selecting and integrating advanced technology solutions, such as compliance automation tools and regulatory technology (RegTech), to streamline compliance processes without disrupting operations.
• Risk and Compliance Framework Adjustments: Including adjustments to risk management frameworks (RMFs), compliance monitoring programs (CMPs), compliance management frameworks (CMFs), and other core procedures and policies to align them with:
• new business goals
• regulatory changes
• changes in your operations
• evolving market conditions
• changes in stakeholders’ risk appetites (your banking partners, insurance companies, liquidity providers, etc.).

 

 

Risk and Compliance Obligations for Finance Company Licence Holders

Finance company licence holders are subject to various obligations set out in applicable laws and regulations. They are also expected to uphold standards for their conduct and internal operations, as outlined in regulatory guidance or accepted industry practices.

We can help you address these obligations and expectations through comprehensive support in the different areas. The list below is not exhaustive:

Finance Company Licence and Regulatory Compliance Obligations

• Compliance Management Systems: We can help you establish effective compliance programs, compliance monitoring plans, controls testing methodologies, compliance calendars and more.
• Risk Management Frameworks: We can help you develop comprehensive risk management frameworks to fulfil regulated finance companies’ obligations for identifying, assessing, and mitigating operational, regulatory, strategic, financial and other types of risks.
• Policy and Procedure Development: We can help you draft and implement policies and procedures aligned with the finance companies’ licensing requirements.
• Compliance Monitoring Plans: We can oversee the execution of your CMPs, covering ongoing monitoring of your compliance obligations under the finance companies’ licensing regime.
• Internal Control Testing and Compliance Assurance: We can conduct internal reviews and audits of your controls to test their effectiveness and compliance with the applicable regulatory standards.
• Capital Adequacy Requirements: We assist finance companies in developing capital adequacy monitoring controls where required under licensing frameworks, including credit unions, building societies, and non-bank lenders operating under prudential or financial licensing regimes.
• Liquidity Management Requirements: We help implement liquidity monitoring and cash flow stress testing controls for licensed finance companies, particularly where operating under financial institution or protected deposit frameworks.
• Financial Auditing Standards: We can assist in establishing procedures to help you comply with the audit and assurance requirements under the finance companies’ licensing regime.
• Credit Contract Compliance: We can help you establish controls to comply with consumer lending and disclosure obligations applicable to finance companies entering into regulated credit contracts, including hardship provisions and responsible lending requirements.
• Digital Payment Token Services: We can assist in developing controls to comply with regulations for digital payment tokens, cryptocurrencies, and digital assets, including obligations under the finance companies’ licensing regime and AML/CFT requirements for transaction monitoring and reporting.

 

Finance Company Licence and Operational Oversight Obligations

• Oversight of Outsourcing: We can establish a set of effective controls to comply with finance companies’ licensing obligations for overseeing outsourced services, also covering related obligations under AML/CFT compliance, ISO requirements, and more.
• Structures for Governance: We can help you establish effective governance structures to comply with finance companies’ obligations and develop an effective approach to overseeing your risk exposure and compliance status across different functions of your business.
• Senior Management Accountability: We can help you comply with finance companies’ obligations for senior management and key staff conduct and competence.
• Maintaining Operational Resilience: We assist in developing continuity plans to meet finance companies’ obligations for operational resilience, helping critical business services withstand disruptions.
• Managing Technology Risks: We provide guidance on technology risk management obligations under the finance companies’ licensing regime.

 

Finance Company Licence and Market Integrity/Transparency Requirements

• Standards for Market Conduct: We can help you implement controls for finance companies’ obligations to maintain fair and transparent market conduct, including preventing manipulation and insider trading.
• Principles for Fair Treatment: We can help you implement controls to comply with expectations that cover adherence to principles of fair treatment and transparent communications with clients.
• Standards for Conduct and Disclosure: We can help you comply with finance companies’ licensing standards for conduct and disclosure.
• Product Suitability and Governance: We can establish tailored controls to help licensed finance companies comply with product suitability and governance obligations, including risk management and governance arrangements across the product life cycle.
• Protection of Client Assets: We can help you comply with finance companies’ licensing obligations to protect and segregate client assets.
• Resolution of Disputes: We can help you establish effective mechanisms for dispute resolution and complaints management, particularly for retail clients.

 

Finance Company Licence and Resource Management Obligations

We can help you comply with the following requirements of the finance companies’ licensing regime:

• Adequacy of Resources: Covering financial, technological, human and other resources.
• Competence of Professionals: Covering key personnel, their necessary skills, knowledge, and professional competence.
• Our focus areas include:

• Assessment and Gap Analysis: We can help you evaluate the adequacy of your financial, technological, and human resources against the requirements of the licensing regime.
• Resource Allocation Plans: We can help you develop strategies to optimise resource allocation, covering sufficient capacity for compliance, operations, banking, customer support and other functions and departments.
• Technological Solutions: We can recommend and implement RegTech tools to streamline compliance processes, such as transaction monitoring, reporting, and audit trails.
• Key Personnel Assessment: We can help you assess the skills, qualifications, and experience of key personnel to identify areas for improvement.
• Training and Development Programs: We can design and deliver targeted compliance training programs to upskill personnel in compliance, risk management, deposit taking or lending regulations.
• Competence and Accreditations of Advisors and Representatives: We can advise you on certifications and continuing professional development (CPD) requirements for compliance professionals and senior management.
• Representative Vetting: We can help establish a framework for assessing the competence and suitability of advisors and representatives before appointment.
• Compliance Monitoring: We can help develop controls to monitor representatives' adherence to conduct and disclosure obligations.
• Ongoing Training: We can help you create a framework to support continuous education for advisors and representatives on licensing obligations, market integrity, and client interaction standards.
• Regulator Liaison: We can act as an intermediary with regulators to address queries and help you demonstrate compliance with resourcing obligations.

 

Finance Company Licence and Reporting

• Regulatory Reporting: We can help you prepare and submit periodic and ad-hoc reports covering:
  • Finance companies’ licensing obligations
  • Finance companies’ AML/CFT obligations (SMRs, STRs, SARs, cross-border transaction reports, cash transaction reports, and other reporting obligations)
  • Finance companies’ obligations under financial market conduct regulations
• Compliance Documentation: We can help you develop and maintain the necessary documentation to meet record-keeping obligations under various laws and regulations.
• Audit Readiness: We can prepare you for audits and reviews to demonstrate compliance with regulatory requirements, provisions of the finance companies’ licensing regime, applicable operational standards, and more.