Gambling license in Estonia

Estonia is one of the most interesting and promising European jurisdictions for launching a gambling project. The gambling license of this Baltic country attracts the attention of foreign investors because the state has created transparent conditions for forigners. Experts from SBSB Fintech Lawyers recommend a betting license Estonia for projects that plan to scale up and enter the European market after a successful platform launch.

Regulation of Gambling Industry in Estonia

This European jurisdiction is known for the state’s favorable attitude towards the gambling business. After gaining independence, the country legalized the gambling industry. The Tax and Customs Department is responsible for regulating the gambling sector. Since 2008, the regulator has stopped working exclusively with land-based establishments and began issuing licenses for online gambling. Initially, only local operators were allowed to apply for licensing, but since 2011, the jurisdiction has started licensing foreign projects.

A legal framework has been developed for the legal functioning of gambling companies, regulating all nuances of the industry. Estonia gambling regulations, player protection conditions, requirements for technical conditions for offline and online games, licensing procedures, operator obligations, and their liability for violations are set out in the Gambling Act. This is the main regulatory act, but licensees are also required to comply with the laws on taxation, advertising, and the prevention of money laundering.

Types of Licenses

In Estonia, gambling is divided into several categories. The peculiarity of the jurisdiction is that two different documents are required to legally operate a business and provide services:

• a license for activities allows the operator to provide services in the gambling sector — lotteries, totalizators, skill games, and directly, gambling. Separate licenses are required for all these games. Moreover, one legal entity is allowed to submit applications for several permits if the business model of the company requires it;
• a permit for activities gives the right to open a specific offline venue for gambling or to organize them remotely. Obtaining this document is the second stage, which must be completed after obtaining the license.

Advantages of Estonian Jurisdiction

iGaming operators appreciate Estonia for the following advantages:

• some of the lowest tax rates in Europe. The rates vary depending on the type of gambling and range from 5% to 18%. The corporate income tax rate is 20%;
• a prestigious and respected jurisdiction. The Estonian regulator has developed standards for the transparent operation of operators, as well as rules to ensure fair play and protect the interests of players;
• a long license term. Regulatory bodies issue permits for 20 years of operation, while licenses for instant lotteries or organizing remote gambling are issued for 5 years;
• developed technological infrastructure. The state invests in the development of digital infrastructure, ensuring stable operation.

How to Obtain Gambling License in Estonia

The licensing procedure can take several months. Potential providers of gambling services must go through several stages, the first of which is registering a legal entity in Estonia or in the European Union. Please note that companies are allowed to have only one type of activity — gambling.

If you need assistance in obtaining an online gambling authorization in Estonia, contact SBSB experts! Our team helps to understand the aspects of regulatory acts and provides comprehensive legal support for gambling projects before and after their launch.

Requirements for Obtaining Estonia Casino License and Other Types of Permits

To obtain Estonian regulatory approval for gaming, the potential licensee must go through several stages. The list of key requirements looks as follows:

• confirm the authorized capital, the size of which depends on the type of game (€25,000 for slot machines, €130,000 for sports betting, and €1 million for gambling);
• pay the state fee;
• collect a package of documents with detailed data on management board and shareholders, including certificates of no criminal record;
• prepare a business plan and corporate documents, including the company’s charter;
• develop and implement AML policies;
• provide game rules and software data with conclusions from an independent expert organization;
• host the server in Estonia.

The company must employ at least one local employee. Among the mandatory requirements for licensees is an audit of the financial statements, which should be conducted annually.

Cost of Estonia Gambling License

Since separate types of licenses (betting, lottery, casino) are issued in this jurisdiction, the final cost of each project varies. The total costs are influenced by the mandatory registration fee and payment for additional services when obtaining the permit. Leave a request for consultation, and SBSB lawyers will provide you with detailed information about the regulator’s requirements and the cost of licensing your project.

Why You Should Turn to SBSB Fintech Lawyers Experts for Estonian Gaming Permit

If you are interested in a gambling license, it is better to entrust the preparation of this important document to professionals. Since 2013, SBSB experts have been providing comprehensive legal support for fintech and gambling projects. Our lawyers will select the optimal type of license for you, which corresponds to the business model of your company. We will help you go through all the stages of licensing in accordance with the jurisdiction’s requirements, taking on the resolution of legal issues.

Contact SBSB specialists, and you are guaranteed a successful launch of your gambling project!