A license for the casino business is an indispensable document that, in the gambling sphere, can be compared with the charter or the company's local certificate. Today, the purchase of a permit on your own is a very hard and time-consuming process that requires vast knowledge in various fields: from the specifics of the company's document management to the nuances of the financial activity in the international market.
From Smart Money, you will receive a consultation of experts on all matters of opening your own online casino. Our employees are also ready to provide you with the full legal support of a gambling project of any format.
The Advantages of Licenses Issued in Offshore Jurisdictions
The legislation in offshore zones has a positive attitude towards the gambling industry and considers gambling as an effective source of income and investments in the local budget.
The main advantages that companies receive when they get an offshore gambling license:
- the licensee receives the right to provide services on a legal basis;
- the presence of a permit allows operators to enter into agreements and cooperate with foreign banking institutions and partners ― their companies automatically receive an international status;
- the level of trust of the visitors to gaming sites increases significantly;
- a loyal attitude of the government towards the business ― the minimum taxation and reasonable prices for the provision of licensing services;
- today, in the list of offshore jurisdictions, there are Curacao, Costa Rica, the Isle of Man, and even more than two dozen countries with a stable political situation and a developing economy.
Particular attention should be given to the Estonia gambling license ― it is a reasonable solution for a quick entry into the European market with minimal financial investments.
Useful Information on the Country
Estonia is one of the most attractive of the Baltic countries for tourists. It has an ancient history and offers a lot of opportunities for both leisure and business.
The gaming industry in the country began its active development in the eighties of the last century. In 1989, the first land-based casino was opened. From 1990 to 1994, such well-known entertainment networks as Kristiine Casino, Olympic Casino, and Play-In Casino Group have started their work.
The law that regulates the activities of gambling establishments was issued in 1995 and is still in effect.
The Act that regulates permits for online gambling appeared only in 2009. The country has just gotten out of the economic crisis and discovered a very promising option for replenishing the budget. All Internet sites that provide their services within the territory of jurisdiction are under strict government control. Foreign casinos that do not have the appropriate permit are blocked instantly.
Estonia Gambling License: Basic Facts
The legislation of this jurisdiction has created an interesting feature ― in order to conduct the gambling business, operators need to obtain two types of licenses at once:
Gambling license for operative business
The document is issued for a period of ten years and regulates the founder’s rights to operational processes: slot machines, lottery draws, pari-mutuel betting, and provides tax liability for entrepreneurial activities. This license is non-renewable.
Permit for the opening of casinos and organising games
The document is issued for a period of five years and allows operators to open gaming sites in the country. The permit is issued by the Estonian Tax and Customs Board.
This service is provided to both the local population and non-residents of the country. Moreover, those citizens who do not have a residence permit are allowed to open offline locations and “ship” establishments that are located on the water.
An interesting feature is that the jurisdiction can issue permits only to those companies, for which gambling is the only activity.
You can launch your own gambling business in Estonia in two formats: a public company or a limited liability partnership.
Estonia Gambling License: the Cost of Services and Features of Taxation
The price of the licensing service depends on the type of the issued document. The consideration of the application for the pari-mutuel betting will cost three thousand euro.
A request for an operational license will cost forty-eight thousand euro.
An application for the organisation of games costs thirty-two thousand euro.
The declaration and tax reporting of the company is inspected before the fifteenth of the month that follows the taxation procedure. Today, in the jurisdiction, there are such rates: for each table, the amount of one thousand two hundred seventy-eight euro is charged, and slot machines are taxed three hundred euro per unit. The total fee from gaming sites is 5% of the net income of the casino.
A percentage of the accepted rates is additionally fixed. The size of the deduction is calculated according to the following formula: 18% of the total income, reduced by the sum of the paid prizes.
The Package of Documents for the Opening of the Estonia Gambling License
To apply for the opening of a gambling club, you must provide the following documents:
- Information on all founders and shareholders of the enterprise (the name, place of residence, and copies of the passport data of all interested persons are included in the application form).
- Copies of the incorporate records (information on the selection of the organisation’s leadership, and the company's Charter).
- Information on the name of the company, the time of the meeting of the board of directors who approved the name, and a copy of the established decision.
- Confirmation of the existence of the organisation (for example, receipts of rent payments, telephone bills, actual and legal addresses).
- Notarised statement of the account registration and the presence of the reserve capital. The reserve amount of money must be at least one hundred twenty-eight thousand euro. The size of the authorised capital of the company should be from one million euro.
- A detailed description of the game content (including the full title, the rules, and the principles of games).
- Convincing description of the transparency of financial transactions.
- Proof of compliance with the security of data on the resource.
- A detailed business plan of the company analytical data and reports on the profit and financial expenses of the website.
- Application in two copies (for the customs and tax authorities).
It is interesting to know that the Estonia gambling license is granted to both legal entities and independent businessmen. To get a permit, private entrepreneurs need to receive a special document for “skills” games.
In addition to the list of requirements for owners of gambling establishments, there are a number of regulations for players. The age limit for users of gambling resources is from twenty-one years old. The exception is the lottery draws, in which people over the age of eighteen can take part.
Possible Reasons for Rejection
The Tax and Customs Board of the jurisdiction has the right to reject applications in several cases: a legal entity has no registration in the country, members of the board of directors or shareholders were subject to criminal penalties, conducting illegal activities that resulted in the past revocation of a license of another jurisdiction, and a petition in bankruptcy from one of the founders.
By contacting Smart Money, you will minimise the risk of rejection by the regulatory authority of any foreign jurisdiction. Our specialists have a successful and vast experience and are ready to promptly resolve any legal issues.
Estonia Gambling License: New Opportunities for the Development of Gambling Projects
Purchasing a permit in Estonia can take your gambling business to a completely new level. The license of the European jurisdiction guarantees the following benefits:
- a casino automatically receives the international status;
- a company is included in the register of the European Union;
- the right to conduct fully transparent and independent activities on a legal basis is granted;
- a good reputation in the global gambling market is created;
- an opportunity to expand the target audience and enter into cooperation with European partners appears;
- a platform is developing in a politically stable country with guaranteed support from local authorities;
- an opportunity to work without reporting to the tax authorities and running a business with minimal taxation appears;
- the presence of loyal time frames of the acquisition of a permit.
Estonia Gambling License With Smart Money
Smart Money is ready to provide a full range of services for the successful development of gambling projects of any format. From us, you can always purchase software for live casinos, software for betting shops, order a website with an exclusive design, integrate payment systems and game content from the world’s leading suppliers.
Our product range includes licensed products from the largest players in the modern regulated gambling market: Novomatic, Playtech, Microgaming, and NetEnt.
We also deal with the development of a turnkey online casino and guarantee the reliability and smooth operation of the website. Technical support is available in the round-the-clock mode. The package of services also includes full legal support of the project. Moreover, we can help you to choose affiliate programs, purchase a permit, and cooperate with trusted foreign software vendors.
In the world of modern competition, it is impossible to survive without a high-quality advertising campaign. Smart Money provides comprehensive solutions for the promotion of online locations with a guaranteed payback in record time.
For any questions, please contact us:
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