Obtaining a license to operate a business in the financial services industry can be a complex and time-consuming process. One way to expedite this process and get your business up and running more quickly is to consider renting or leasing a license, or becoming sponsored by an existing license holder. This can be a fast and economical way to enter the market and test the viability of your business idea, while also complying with regulatory requirements.
Once you have determined the viability of your business and have the necessary resources, you can then consider obtaining your own license or becoming an authorized delegate or registered agent of an existing license holder. This can be a more long-term solution and may be the best option for businesses with a strong foundation and a clear understanding of the regulatory environment.
As an analogy: When starting a taxi business, one option you might consider is leasing vehicles rather than buying or building them. Leasing can be a fast and economical way to get your business up and running, and you can reassess your options after a year to determine whether it makes more sense to continue leasing, buy your own vehicles, or build your own taxis.
This approach is similar to what Google did when it was starting out. The company initially leased servers, then later bought its own and eventually developed its own custom servers for its data centers.
Leasing or renting can be a practical and cost-effective way to enter a market and test the viability of a business, before committing to more long-term solutions.
The same can be applied towards your money transmitter or money transfer licensing needs.
This page was last updated on May 29, 2023.