How to Open a Forex Broker?

SOLID ECN LLC

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The Documents You will Have after Formation Complete


Once you have your company established, the issuer will send you the registration documents. You will need these files for the followings.
  • Purchasing a trading platform, if you don't have yours.
  • Opening bank accounts.
  • Partnering with payment processors
    • Neteller, Skrill, Perfect Money, Cryptocurrencies, card payment gateways, and more.
The list of documents:
  • Articles of information
  • Tax certificates
  • Certificate of formation
  • Certificate of good standings
  • Manager register
  • Members register
  • Membership certificate
  • Minutes of organization
  • Operating agreement.
These documents are vital for any company in any step of their business.

Banks are required these documents to be notarized before submission. Notarizing the hard copies has an additional cost, which is not confined to a few hundred dollars if they demand it for all certificates. The reason behind the apostle documents is to make sure they are legit.
 

SOLID ECN LLC

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Neteller & Skrill | Demanding eWallets


Moneybookers stopped its services to many offshore brokers because of the FCA force. They have numerous rules for a simple transaction, and it is a thin layer between operating with Moneybookers or getting banned.

Depending on your nationality, you might be able to open a corporate account with Moneybookers. But it is vague if they accept your application.

I suggest companies go for it but only after they have developed their website. Moneybookers need to see a well-designed website with transparent content.

The website must have a disclaimer, client agreement, risk disclosure, FAQ, client dashboard, and useful information. A lack of content would lead to the application decline​
 

JimmyRozza

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Forming a new company



Step 1
Where is your target market?
Do you want to go local or worldwide?
How much is required to form a new company?

Before forming a new company, you should answer the questions above. It is utterly important to do things right from the very beginning.

In this post, we decide to accept clients worldwide, regardless of the client's race, country, or continent. A broker that offers its service for traders worldwide without discrimination.

In the licensing and regulation section we will discuss discrimination, limits, and bans in accepting clients from countries in a different continent, outside of SEPA (Euro), or countries that are in the U.S and the EU sanction list.

Offshore!
A company has a narrow budget at first. Perhaps a few or many of those startups were a white label at first, and as they grew, they expanded their platform and regulation accordingly. It is a fact that most brokers that have been developed over the years started offshore. So no need to panic or get afraid or disappointed by hearing the name offshore!

We name a few potential offshore jurisdictions:
Vanuatu
Saint Vincent & Grenadines
Cayman Islands
Cyprus
The British Virgin Islands
United Kingdom
Seychelles
Belize
Malta and more

In this article, we consider the new startup has a confined budget, and they are trying to establish the broker with minimums, and grow the company over time. Therefore, the jurisdiction we choose is Saint Vincent & Grenadines or Vanuatu.

With an offshore broker, the broker is allowed to accept clients worldwide except the company issuer jurisdiction.

Advantages:
Except for taxes for income outside of the island.
Cost-effective
It is easy and quick to form a company.

Cons:
Bad reputation

Fees to form a new company in Saint Vincent & Grenadines or Vanuatu floats from a minimum of $1,500 to a maximum of $2,500, and they have a $1,000 to $1,500 annual maintenance fee.

In the next post, you will find out about KYC requirements for forming a new brand in the above-mentioned jurisdiction.​

Solid ECN Team
Which one of these off-shore countries do you think would be best for registering an off-shore company for trading crypto and stocks? I've heard it's not too expensive to do and a good way to reduce taxes...
 

SOLID ECN LLC

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Which one of these off-shore countries do you think would be best for registering an off-shore company for trading crypto and stocks? I've heard it's not too expensive to do and a good way to reduce taxes...

Hi,

Thank you for your comment.

It depends on your country of resident, and how serious they are in collecting taxes from entrepreneurs and/or citizens. These jurisdictions may send information to governments, specially if the account holder is from U.S, or Canada.

Saint Vincent & Grenadines and Vanuatu are exempt from financial taxes. Attached a sample of Certificate of Exemption from Direct Taxes in Saint Vincent & Grenadines.​
 

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SOLID ECN LLC

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Website | CRM | Client Area
Part 1/3


You are required to represent your company worldwide through your website. Whether you are an online shop or an eCommerce, a well-developed and good-looking website is necessary.

The brokerage business is categorized in the finance sector, therefore, it has a higher prestige in comparison to other eCommerce businesses. In a few sectors of the business running a CFD broker could be more complicated and harder than owning a bank!

Your forex website ought to have these initial features:

User-friendly UI matching the content and relevant to the business.
Useful and high-quality fresh content.
Online registration.
Online transactions.
Features for account configuration such as leverage adjustment, creating a new trading account, or accessing the latest transaction and trade history.
Website securities to prevent cyberattacks. (authentication, authorization, data protection, and nonrepudiation)
A clear description of who you are.
Live help
Risk disclosure.
Contact center.
FAQ.

Customers may add or enter their credit/debit card information or other sensitive information to your website. Therefore, consider more security measures on our website to show the visitors that their information is safe.​
 
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