Just how hard is it to get an AFSL?
Updated: Feb 10
Obtaining an Australian Financial Services Licence (AFSL) can be a complex process. It involves a number of steps, including:
1. Determining your eligibility: To be eligible for an AFS license, you must have the necessary knowledge, skills, and experience to provide financial services.
2. Identify the type of financial services you want to provide under your AFS license as this will determine the type of license you need and the regulatory requirements you must meet.
3. Appoint a licensee or become a licensee yourself: If you are not a sole trader, you must appoint a licensee or become a licensee yourself. A licensee is a company or individual that holds an AFSL and is responsible for ensuring that the licensee and its representatives comply with the regulatory requirements.
4. Understand the regulatory requirements: You must familiarise yourself with the regulatory requirements for the financial services you want to provide, including the Corporations Act and the relevant ASIC class order.
5. Prepare and submit an application: To apply for an AFS license, you must complete an application form and provide supporting documentation, such as evidence of your knowledge, skills, and experience.
6. Obtain any necessary authorisations: Depending on the financial services you want to provide, you may need to obtain additional authorisations, such as an Australian Credit License.
7. Meet ongoing compliance requirements: If your application is approved, you must meet ongoing compliance requirements to maintain your AFS license. This includes ensuring that you and your representatives comply with the regulatory requirements and reporting any changes to ASIC.
Overall, the process of obtaining an AFS license can be time-consuming and requires a thorough understanding of the regulatory requirements.
Your next steps... and OPTIONS you have:
You've no doubt seen the terms AFSL for hire, AFSL rental, intermediary authorisation or similar. This is where if you're a new and / or unlicensed fund you can gain enter into an arrangement with an Australian Financial Services Licence (AFSL) holder, ensuring that you can focus on your core business, whether that's providing financial services or a financial services product. It can be arranged within days and means you don't have to spend many months and associated time/energy costs preparing your own AFSL application.
If you're interested in discussing how Avenir Capital can provide you with access to their wholesale licence (AFSL 405469 issued in 2011), please contact us for an obligation free consult:
>> complete our short enquiry form
OR, contact one of our team directly, Anya, on 0438 355 002 or email email@example.com