Further to in-depth research and consideration of all the implications involved (e.g. costs, legal and tax implications) potential applicants may submit the application to MGA. Upon receipt of the application, the MGA will undertake a thorough process in order to assess whether the applicant is fit and proper to conduct such business and whether they have met all the requirements needed with respect to the particular class being applied for.
In order to achieve this, the MGA will:
- Comprehensively analyse the business plan submitted which must include forecasts, targets and marketing strategies amongst other information;
- Undertake independent investigations on the individuals involved in finance and management roles;
- Examine the constitutional documents of the company as well as the terms and conditions being attached to the business process;
- Ensure that the minimum required issued share capital has been fully paid up.
Once the MGA has collected and verified all the information needed, the application can then receive approval. This enables the applicant to perform a technical roll-out within 60 days during which an audit of the applicant’s complete business has to be undertaken by a third party contracted by the MGA. Failure to do so within 60 days means that the application will be considered as suspended.
The issuance of the license is then granted for a period of five years after which the renewal must be made for a further five years.