MSB License in Canada

Canadian banking system is incredibly secure and stable. It overcame the global crisis and currently has the ninth largest economy in terms of its stability and performance, meeting global standards. Payment systems and banking institutions in jurisdiction are important in financial environment. Canadian authorities have created quite acceptable normative rules for firms wishing to offer financial services, which are interesting for local population and non-local investors. MSB license in Canada provides opportunity to join an influential and stable market, and find reliable corporations, significantly expanding circle of customers.

Money Services Business registration in Canada: permitted business-activities

Canada money services business is a non-bank company being engaged in the following activities:

• exchanges of currencies;
• transactions with monetary means;
• issuance and redemption traveler’s checks, transfers and bank spending;
• cashing checks;
• the use of ATMs, including the rental of premises required for the installation of an ATM, if the landlord is responsible for supplying funds to the bank;
• deal with crypto-currencies.

Money services businesses in Canada need to meet specific regulatory norms: registration of commercial structure, record keeping and a compliance program.

Obtaining MSB license in Canada: who needs it

MSB license Canada is necessary for everyone who wants to work in the following commercial areas:

• currency exchange: operations in which one type of currency is exchanged for another, for example, a dollar for a euro;
• money transactions: from one individual or commercial structure to another using a transfer system or other methods;
• issuance, buyout and transfers of traveler’s checks;
• cryptocurrencies operations: it includes both the exchanges and transactions of fiat to digital assets and vice versa, and dealing directly with crypto-currencies without participation of ordinary money.

Under the Law, cryptocurrency exchanges and virtual asset payments processors are considered money services organizations.

In addition, money services businesses will have status of offering such kind of services in following cases:

• there is a permit or an official permit for any payment-service;
• there is a registration as a company providing any of the payment services;
• you produce advertising that you participate in payment services;
• you do not advertise payment services, but carry out transfers, currency transactions from 1000 dollars at a time with 1 client or other negotiable operations for equal amount;
• you make reporting as for incomes from any of services mentioned above as income from separate business-activities for taxation goals.

Licensing procedure

Authority reviewing documentation and issues such a permit, such as an MSB license in Canada, is called FINTRAC.

1. Firm registration in a province convenient for you. Often foreigners choose British Columbia.
2. The name of the company must have at least 2 words, including the main line of business.
3. There must also be a physical address within Canada.
4. The minimum authorized capital isn’t determined by regulator, but it is better to deposit a sufficient amount to confirm your responsibility.
5. A minimum of one director with experience must be appointed.
6. At the meeting with the regulators, it is necessary to prepare specific documentation, including contact details of company representatives, office address, denomination, plan of future work, etc.
7. It is also necessary to open a bank account, indicate number of employees, evaluate the expected results, and describe the branches of the company.
8. It is mandatory to provide the regulatory authorities with the data of all MSB agents and company owners.

Our professionals help you in getting Canada MSB license, taking care of all the nuances with which you might have difficulties. We have vast experience in this field, so we provide the most effective result for our clients. We also possess an extensive list of ready licenses for sale. Contact us right now without wasting your precious time.