Application Process of a Labuan Banking License
- The licensed investment bank cannot accept deposits from individuals and corporations.
- Maintain a minimum working fund/capital adequacy of MYR 10 million or its equivalent in any foreign currency at all times.
- Establish an operational office in Labuan with a minimum of 3 full-time employees and a minimum annual operating expenditure of MYR 200,000.
- Align with FATCA compliance by instituting mandatory reporting on dealings exceeding USD 50,000 involving US citizens or residents.
- Appoint a director or principal officer (PO) who must be fit and proper and shall not be subject to any adverse report from any reliable sources. Appointment must obtain prior approval from Labuan FSA.
- While dealing with Malaysian residents and in Ringgit currency, the licensed investment bank must abide by the provisions under the Labuan Financial Services and Securities Act 2010 and the Exchange Control Act 1953.
- Comply with the statutory requirements under the LFSSA.
- Comply with prudential and reporting requirements as mandated by Labuan FSA.
- Adhere to any additional requirements issued by Labuan FSA periodically.
- Consultation on eligibility and procedural guidance tailored to your profile.
- Profiling, due diligence and guidance on documentation preparation.
- Preparation of Business Plan, Financial Forecast and Operation Manuals.
- Submission and supervision of the application process until approval.
- Acting as your liaison and contact point with LFSA, arranging for interviews (if any).
- Tracking the license approval and handling all queries from LFSA.
- Advisory services on the appropriate company structure post-approval.
- Assistance in setting up onshore and offshore bank accounts.
- Assistance in establishing operational and marketing or co-located offices.
- Staff provision and office space rental.
- Internal audit and compliance advisory.