How to Get a Lottery License.
In many countries, games of chance, including lotteries, are subject to licensing. It means that the organization of online and offline gambling without a special permit shall lead to legal consequences. An online lottery license will legalize the gambling business, prove the lawfulness of its activities, give it a chance to use the advanced software, enhance the reputation among clients and partners, open accounts at prestigious financial institutions, etc.
However, it is necessary to point out that the term “lottery license” is relatively nominal. Some jurisdictions require you to obtain a separate license for each game type (e.g., Malta). In contrast, others issue a single gambling license for all kinds of such games, including the lotteries (e.g., Kahnawake).
Requirements for lottery licenses
Each jurisdiction has its requirements which may vary, however, some points are common. You can find out about the most prestigious jurisdictions and license types here. The regulatory authorities will need you to provide the following documents:
- Application for a gambling license;
- Copies of passports of the company founders;
- Proof of income for the founders and shareholders;
- Proof of residence address for the directors/founders;
- Copy of the company statute/charter;
- Confirmation of online lottery equipment availability;
- Description of the gambling rules;
- Proof of state license fee payment (a receipt or another document);
There may be other requirements, such as:
- A business plan;
- RNG certification or an agreement with game providers;
- Compliance with the regulations regarding the office and personnel;
- Banking account opening;
- CVs for the directors/founders;
- Letters of reference from a lawyer and a bank working with the director/founder for at least two years;
- A website or a mobile application.
Please, note that many jurisdictions proceed with thorough check-ups of all the directors and founders regarding any convictions, debts, or possible involvement in money laundering or other fraudulent activities. The founder and the director must not be residents of countries under sanctions. The lottery business involves working with other people’s money, so the company’s reputation must be crystal clear.
How to get a lottery license
SBSB FinTech Lawyers work with license applications in the most respectable jurisdictions on a “turn-key” basis. We will help you prepare everything necessary to get your lottery license (or a general gambling license, depending on the jurisdiction) in Malta, the Isle of Man, Curacao, Kahnawake, and other regions which provide the most favorable conditions for gambling business operation. We will also help you choose the jurisdiction, considering the company’s peculiarities. It can be a license for instant win games, drawing lotteries, SMS lotteries, etc.