Curacao Gaming License: The Ideal Solution for Start-ups

November 20, 2023

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Curacao, known for its pristine beaches and vibrant culture, has also carved a niche for itself in the online gambling industry as the go-to destination for startups and entrepreneurs seeking a foothold in the world of online gaming. The Curacao Gambling License, held by over 450 licensed and operating online gambling operators, stands out as one of the most sought-after licenses globally. What makes it so appealing? Let’s delve into the reasons that make the Curacao Gambling License a top choice.

Ease of Access and Universality

Curacao is renowned as one of the most accessible jurisdictions for obtaining licenses, making it a prime choice for startups venturing into online gambling. The processing time is remarkably short, and it offers a universal license regardless of the type of game. This, coupled with its cost-effectiveness, positions Curacao as an ideal location for startups and those taking their first steps in the online gambling business.

Advantages of the Curacao Gambling License

Acquiring a Curacao Gambling License comes with numerous advantages for the licensee, spanning operational, entrepreneurial, and tax incentives.

Swift and Cost-Efficient:

The process of obtaining a Curacao license is the shortest among all gambling license jurisdictions. Assuming all documents are submitted promptly, the process can be as short as two working days, excluding the time needed to compile the necessary documents. This swift turnaround makes Curacao attractive to entrepreneurs on tight deadlines, aiming to go live and become profitable as quickly as possible. In terms of costs, Curacao is one of the most efficient jurisdictions. The setup and ongoing maintenance costs are affordable and accessible to all budgets, especially those just starting out.

Simple and Straightforward:

The application process for a gambling license can be daunting due to the sheer volume of paperwork, application forms, and supporting documents, consuming significant time and money. However, this is not the case in Curacao. While there are requirements to fulfill, the bureaucracy is limited, significantly easing the process for applicants. Curacao remains perhaps the fastest and simplest jurisdiction to obtain a gambling license, offering entrepreneurs an excellent opportunity to test their concept before venturing into more demanding licensing jurisdictions.

All-Inclusive License:

In some jurisdictions, different types of licenses exist depending on the games offered, requiring multiple licensing processes for games like slots, live table games, casino games, lotto, and bingo. This is not the case with the Curacao Gambling License. The online gaming license covers all iGaming-related activities in a single license, offering gaming companies a high level of cost-effective flexibility to diversify their offerings in the future.

Tax Exemption:

Operators acquiring a Curacao Gambling License are not obligated to pay taxes on their revenues, provided all income is generated from abroad. Adherence to applicable rules on economic substance and/or permanent operation is essential. The zero tax rate is significantly lower than in many other jurisdictions, and importantly, it aligns with international rules and practices.

Ideal for Startups

For startups taking their first steps into online gambling, a Curacao license is the most sensible choice. It allows companies to test their concepts, build a customer base, and reinvest funds without shelling out a fortune for expensive applications, taxes, and fees. Moreover, it supports holistic growth, enabling companies to diversify into other market segments, games, and areas without financial setbacks.

Many companies recommend the Curacao Gambling License for startups building their first online gambling platforms. It provides the flexibility to explore, develop, and experiment without a significant capital investment. Once the business is up and running and in good shape, there is always the option to expand into new markets. This might involve applying for a license elsewhere, and there are companies that can assist in this transition.

Requirements for a Curacao Gambling License

If you decide that Curacao is the optimal location for your new gambling venture, consider the applicable license requirements.

A standardized introduction procedure requires you to provide information about who you are, your intentions, your residence, and the source of your funds. Curacao authorities need this information and more before issuing your online gambling license.
A Fit-and-Proper test is required, necessitating proof of your good conduct. This includes a police clearance report from your home country, demonstrating a clean record. You will also be asked to detail your ability to manage the affairs of an online gambling business.
Authorized individuals, shareholders, directors, beneficial owners, or ultimate beneficial owners must submit certified copies of the passport (pages with photo and signature), an original or certified copy of a utility bill, a police clearance certificate, a resume, an original bank reference (relationship must be longer than 2 years), an original professional reference letter from an accountant or lawyer (relationship must be longer than 2 years), details of the software including copies of software agreements and/or third-party certification of the RNG application and its fairness (if applicable), proof of domain ownership, copies of terms and conditions, including youth protection, responsible gaming guidelines, and player KYC policies.

Note: All documents must be in English and not older than 90 days. For documents not in English, certified English translations are required.

Delving into the intricacies of obtaining a Curacao Gambling License unveils a landscape of varying costs tailored to individual needs and circumstances. However, there exist options catering to almost every budget, with numerous companies recognizing the unique nature of each business. Leveraging this understanding, these companies offer flexible, customized solutions to address diverse business needs.

The Curacao Gambling License Comprehensive Package

With over two decades of experience in the online gambling industry and a track record of supporting corporate clients, extensive knowledge has been amassed regarding Curacao Gambling Licenses. Based on this practical experience, a comprehensive service package has been curated, covering all necessary procedural steps.

The entire process takes between 7 to 10 weeks, making it one of the fastest licenses available. With the assistance of specialized companies, you can ensure that your vision is implemented on time and within budget constraints.

The comprehensive package encompasses all administrative, regulatory, compliance, accounting, and maintenance aspects. This ensures that busy business owners have more time to focus on crucial matters such as marketing, games, and platform launch.

The Package Details

Designed for business operators, the Curacao Gaming License comprehensive package includes everything a startup, entrepreneur, or seasoned operator needs to operate their online gambling license with a Curacao sublicense. Importantly, the pricing of this package is competitive compared to other online gambling license jurisdictions.

This package includes company structuring and the establishment of a Curacao company, license application, including due diligence examination, and the required EU contract company. The latter is essential for the Curacao gambling company to offer its products globally (in places where online gambling is legal) with few restrictions regarding the nationality of the target audience. It also facilitates smoother negotiations and better prices with third-party service providers, easing the process of opening accounts in multiple jurisdictions.

Company Structure

Furthermore, a highly efficient company structure is created to ensure maximum tax benefits. Often, establishing a Cyprus EU contract company is recommended, as it allows for the best tax-optimized structure. Cyprus provides a welcoming business environment familiar with online gambling, along with legal and efficient tax rates.

Payment Methods

Payment service providers and merchant accounts are crucial components of your business, and negotiating the best possible terms with them is paramount. Collaborating with companies that have longstanding relationships with most industry leaders allows you to benefit from favorable conditions and lower costs.

As part of the comprehensive package, a corporate settlement account is opened in the name of your Curacao gambling company, along with a merchant account enabling you to accept Visa and Mastercard payments. Close professional connections with several international banks and financial service institutions ensure you secure the absolute best terms.

The Sub-License

The license applied for on behalf of the applicant is known as a “sub-license.” This universal license enables you to conduct a wide range of online gambling activities, including casino games, live dealer, slots, bingo, lotto, eSports, sports betting, and more.

What Does the Turnkey Package Include?

Offshore Company: Establishing an offshore holding company is an excellent choice, offering an extremely low tax status and some of the world’s most business-friendly legal frameworks.

European Contract Company: For the establishment of the required EU contract company, Cyprus is recommended. Cyprus is an ideal choice for founding a company for international business activities, especially for online businesses targeting Asian, European, and Latin American markets. The tax-optimized corporate structure combined with low profit taxes and one of the world’s most business-friendly environments allows you to run your business successfully.

Curacao Gaming Sub-License

A business account for iGaming: Collaboration with a variety of international payment institutes and financial institutions serving the online gaming industry.

Direct online gaming merchant accounts for accepting Visa & MasterCard at the absolute best terms, as well as additional alternative payment methods: Once your business is established, you need to be able to receive payments from your customers.

Payment processing accounts for handling APMs (alternative payment methods) worldwide, such as AstroPayCard, Cash to Code, MuchBetter, ecoPayz, Banco Boleto, and many more.

Ongoing individual support: Several companies can help you run your business abroad. Do you want favorable terms when applying for additional merchant accounts? Do you want to know where to invest your offshore profits for maximum returns?

Ongoing Maintenance of Your Gambling License

After setting up your Curacao gambling license and the corresponding company structures, maintaining them becomes crucial. Regular attention is required for annual reports, compliance, processes, renewal fees, and various other matters. Additionally, you may want to expand your business over time, involving the addition of extra payment accounts, expanding the business description, changes to directors or shareholders, or adding additional licenses to your portfolio.

To handle these matters, it is advisable to avail the services of specialized companies to manage your ongoing maintenance. They can assist you with all the mentioned aspects and more in the weeks, months, and years following the initial setup. Rather than attempting it yourself, it makes sense to continue with a company already familiar with you and your business.

The annual renewal fees for the Curacao gambling license are also low, and specialized companies offer an excellent maintenance package for all clients. This means you receive continuous care for all company matters, compliance obligations, and other business and license-related issues for a competitive fixed fee.

A Curacao-based gambling company enjoys the distinct advantage of a zero tax rate on corporate income. As long as revenues are generated outside the country, no taxes are levied on any income earned by the Curacao gambling entity. This zero tax rate extends to both corporate and income taxes, offering an enticing proposition for operators, especially startups and entrepreneurs keen on keeping costs minimal.

The remarkable aspect is that these zero tax rates remain within the bounds of international regulations, ensuring compliance with legal standards.

Why is the Curacao Gambling License Ideal for Start-ups?

When considering jurisdictions for establishing an online gambling venture, many gambling start-ups automatically think of conventional locations such as the United Kingdom, Malta, or the Isle of Man. While each offers licensing options, the process and acquisition of a license can be costly, complex, and time-consuming.

For start-ups and entrepreneurs looking to test a concept or a new platform—a process laden with risk—it is advisable to opt for a more cost-effective licensing jurisdiction initially. Later, after gaining stability and insight, consideration can be given to other options. Many clients are advised to initially acquire a Curacao Gambling License for testing the waters. Subsequent decisions can be made about whether to transfer platform licenses elsewhere, seek additional licenses, or remain in Curacao.

As a rule of thumb, the Curacao license is optimal for start-ups due to its cost-effectiveness and minimal bureaucracy and paperwork requirements. It can also be acquired more quickly than other online gambling jurisdictions.

For those eager to launch quickly and go live, the Curacao Gambling License stands out as the obvious choice. Suited for every budget, it allows regulated operations for any type of casino game and gambling services through a relatively straightforward procedure.

Setting up an online casino requires only one license. This means that whether you want to establish an eSports gambling site, a live casino, a slots app, or a mix of these, you need only a single license for all. This is particularly advantageous compared to some other licensing jurisdictions, especially for start-ups that may want to add more games and services to their portfolio in the future.

Furthermore, Curacao offers some of the best tax incentives, with 0% on all online gambling revenues and a zero value-added tax (VAT) rate. There are also no sales taxes, import duties, taxes on gross bets, or restrictions on dividend payouts.

History of Online Gambling in Curacao

In 1993, Curacao laid the foundation for some of the world’s first laws regulating the emerging online gambling market. A few years later, in 1996, the government established the Gambling License Authority, tasked with issuing licenses and overseeing and monitoring the industry. Following the issuance of the first license, interest in Curacao as a jurisdiction for online gambling licenses grew, leading to the evolution of corresponding laws.

By 2001, the Curacao Internet Gaming Association was established to ensure that all gaming operators adhered to the regulatory framework and code of conduct. Today, Curacao boasts one of the largest online gambling registries globally, thanks in part to its affordable licensing requirements and the simplicity of the acquisition process. Combined with its robust financial services sector, well-developed telecommunications infrastructure, and political and economic stability, Curacao has become the preferred jurisdiction for iGaming start-ups worldwide. It is also home to several international, established gaming companies that have operated there for many years.

The government of Curacao has diligently worked to create a business-friendly environment for offshore gambling companies. This includes the establishment of flexible corporate structures and zero taxes. Despite its reputation as a “tax haven,” Curacao complies with the EU Code of Conduct on harmful tax practices. It is also a qualified intermediary of the IRS, an OECD jurisdiction, enforces CTF (Counter-Terrorist Financing) and AML (Anti-Money Laundering) compliance, and is a member of the Caribbean Anti-Money Laundering Group.

Issuers of Curacao Sub-Licenses

Anyone seeking to obtain a Curacao Gambling License applies for what is formally known as a sub-license. Initially, the Ministry of Justice in Curacao granted only four online gaming master licenses. These four license holders are:

Cyberluck Curacao N.V. #1668/JAZ
Gaming Services Provider N.V. #365/JAZ
Curacao Interactive Licensing N.V. #5536/JAZ
Antillephone NV #8048/JAZ

An applicant for a sub-license from a master license holder can operate under the master license holder’s license, provided certain criteria are met. These criteria must be satisfied both at the time of application and on an ongoing basis. Consequently, sub-licensees enjoy the same privileges and rights as the master license holder but without the ability to issue licenses.

This single sub-license covers every type of game requiring skill or chance, as well as live games, lotto, bingo, eSports, sports betting, and even slot machines. Additionally, it allows the operator to perform and offer services related to iGaming, including aggregators, software providers, and platform operators.

Fast Offshore – International Corporate Service Provider

In 1998, the managing partner of Fast Offshore identified a market gap. iGaming, forex brokerage, offshore company formations, and e-commerce were flourishing, giving rise to cross-border businesses.

Fast Offshore collaborates with a range of start-ups, entrepreneurs, and established companies of all sizes. From major names to smaller entities, they have assisted industry leaders in all sectors in realizing their business dreams. Visit the Fast Offshore website for more information.

FAQ – Frequently Asked Questions

What makes the Curacao Gambling License particularly attractive for startups?
The Curacao License is ideal for startups due to its easy accessibility, fast processing time, and universal coverage of all types of games.

What benefits does acquiring a Curacao Gambling License offer?
It allows for a quick, cost-effective licensing process and provides entrepreneurial and tax incentives.

How fast and cost-effective is the process of obtaining a Curacao license?
The process can be completed in just two working days, and the costs are lower compared to other jurisdictions.

Why is the application process for a gambling license in Curacao easier?
Curacao limits bureaucracy, significantly easing the process for applicants.

What does a single Curacao Gambling License cover?
It covers all iGaming-related activities such as sports betting, online casinos, lotto, online poker, eSports, and more.

Do operators with a Curacao Gambling License have to pay taxes?
No, operators do not pay taxes on their income as long as it is generated outside of Curacao.

What role does the Curacao Gambling License play for startups?
It allows startups to test and grow their concepts without incurring high costs for applications, taxes, and fees.

What documents are required for a Curacao Gambling License?
Required documents include certified copies of passports, utility bills, police clearances, and resumes, among others.

How much does a Curacao License cost?
Costs vary depending on individual needs, but there are options for almost every budget.

What does the Curacao Gambling License Complete Package include?
The package includes all administrative, regulatory, compliance, accounting, and maintenance aspects.

How long does the process take to obtain a Curacao license?
The entire process takes between 7 and 10 weeks.

What are the tax incentives for online gambling companies in Curacao?
There are 0% taxes on all online gambling revenues and a zero value-added tax rate.

How has online gambling legislation evolved in Curacao?
Since 1993, Curacao has established itself as one of the first jurisdictions globally to regulate online gambling.

What measures has the government in Curacao taken for offshore gambling companies?
The government has enabled flexible corporate structures and zero taxes to create a business-friendly environment.

Who issues Curacao Sub-Licenses?
Sub-licenses are issued by four licensed Master License holders.

What does a Curacao Sub-License cover?
It covers all types of games requiring skill or chance, as well as services related to iGaming.

What are the criteria for obtaining a Curacao Sub-License?
Applicants must meet specific criteria, which are assessed both at the time of application and on an ongoing basis.

What support does Curacao offer for new gambling companies?
Curacao provides comprehensive support and guidance to facilitate the licensing process.

What are the advantages of the Curacao Gambling License over other jurisdictions?
It offers a cost-effective, less bureaucratic, and faster licensing option compared to other jurisdictions.

How does the Curacao License assist startups in expansion?
It provides flexibility to explore and experiment without investing a large amount of capital, supporting expansion into new markets.

Business Growth Compliance Corporate Structure Cost Efficiency Curacao Curacao Gaming License Gambling License Gaming Industry iGaming License Costs Licenses Licensing Offshore Business Online Gambling Payments Start-ups Sub-License Tax Incentives

Michael

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