Guide to Seychelles Securities Dealer License (2023 Updated)

Presented by Global Offshore Company (G.O.C)

In the evolving landscape of international finance, a Seychelles Securities Dealer License (SDL) has emerged as a beacon of flexibility and opportunity for brokers. This guide, brought to you by Global Offshore Company (G.O.C), serves as your roadmap to navigating the process of obtaining an SDL. Discover the two main steps – incorporating as a Special Licensed Company (CSL) and applying for the Financial Services Authority (FSA) SDL – that pave the way to unleashing the full potential of your brokerage business.

Understanding the Financial Landscape of Seychelles

Seychelles, a jurisdiction with a history of agricultural-based economy, has transitioned into a thriving hub for foreign investment and financial services. As part of its growth strategy, Seychelles aims to digitize its public sector and enhance its financial services, in line with its commitment to fiscal transparency and alignment with the government's development objectives.

Exploring the Benefits of Seychelles Securities Dealer License

The Seychelles Securities Act 2007 empowers SDL holders to engage in crucial financial activities:

- Securities investment counseling

- Investment portfolio management

- Investment analysis and forecasting

However, what sets Seychelles apart as a preferred destination for securities investment licensing are its compelling advantages:

1. Low Setup and Maintenance Cost

Seychelles offers a cost-effective solution for setting up and running a brokerage business. Compared to highly regulated jurisdictions like the UK, where startup costs can be substantial, the FSA-established minimum capital requirement of US$50,000 for Seychelles SDL presents a cost-efficient entry point.

2. Favorable Taxation

Seychelles' taxation regime is a highlight for investors. Companies under a Seychelles Securities Dealer License are considered domestic entities and enjoy a competitive tax rate of 1.5% on offshore earnings. Access to a growing network of double taxation treaties further enhances tax efficiency.

3. Fintech-Led Economic Development

Seychelles is embracing the digital revolution with the Central Banking Services' plan to transform the National Payment System into a cashless infrastructure. Fintech advancements, including AI and ML, empower brokers with on-the-go market analysis, customer onboarding, and improved sales capabilities.

A Closer Look at the Seychelles Securities Dealer License Application

1. Corporate Details

Before delving into the application, it's crucial to understand the core requirements for incorporating a Special Licensed Company (CSL):

- Share capital of at least US$50,000

- Minimum of two directors with managerial and technical skills

- Minimum of two shareholders (can also be directors)

- Registered physical office

- Seychelles resident secretary

- Compliance officer with expertise in finance and legal compliance

- SDL representative with FSA license

- Professional indemnity insurance for all licensees

- Prescribed record-keeping measures

- Annual return filing with Seychelles International Business Authority

- Appointment of auditors within 30 days after licensing

2. Application Procedure

Here's a step-by-step breakdown of the application process:

a. Choose a Name for Your CSL

Select a unique and compliant name for your brokerage business that adheres to Seychelles' guidelines.

b. Incorporate Your CSL

Apply to the Registrar of Companies with necessary documentation, simultaneously initiating registration with the FSA. Submit a prescribed business plan outlining your business objectives.

c. Enlist a Filing Agent 

For a seamless process, consider engaging a filing agent. Provide documentation for shareholders and directors, including certified passports, CVs, reference letters, and more.

d. Certificate of Approval

Upon qualification, receive a Certificate of Approval to proceed with CSL registration. Send the Certificate of Incorporation back to the FSA to obtain your Special License.

e. Open a Bank Account

Open a bank account for your Seychelles company to deposit the US$50,000 share capital.

Conclusion

Acquiring a Seychelles Securities Dealer License offers an attractive proposition for brokers seeking flexibility, tax efficiency, and growth opportunities. Seychelles' commitment to digital transformation, coupled with its business-friendly environment, makes it a compelling choice for the modern brokerage landscape. Partner with G.O.C for expert guidance and navigate the path toward a Seychelles SDL, positioning your brokerage business for success.

*For personalized assistance in obtaining a Seychelles Securities Dealer License, contact Global Offshore Company at info@globaloffshorecompany.com.*

*Disclaimer: This guide serves as a reference tool and should not substitute legal advice. For tailored guidance, consult G.O.C's customer services.*