Gambling (a game for money) is a game between an establishment and a client, in which the client’s winnings depend not on one’s skills, but on chance or luck. In other words, gambling is a collective name for games and entertainment such as poker, roulette, betting, lottery, etc.
In many countries gambling is legalized. This is done to prevent illegal activities of gambling providers and create a significant additional source of budget incomes. Additionally, VigoLex team recommends you acquaint with the conditions for obtaining a gambling license in Ukraine.
A gambling license is an official permit that allows its holder to officially engage in gambling activities
In most countries where gambling is legalized, licenses are issued for the following types of gambling:
- slot machines;
- blackjack etc.
At the moment there are two main types of gambling: offline and online. Offline gambling includes casinos, slot machines halls, betting offices, etc. Offline gambling includes equivalent of these games on the Internet: online poker, online slot machines, online betting, etc.
Each country sets its own requirements for obtaining a gambling license. The general requirements for obtaining a gambling license in almost all jurisdictions are:
- need to incorporate a company in the country of obtaining the license;
- requirements to the company structure with a clearly defined amount of the authorized capital;
- fee for obtaining the initial gambling license itself and the annual fee for its renewal;
- limitation of license period;
- requirements to the company to be verified by the country’s regulatory gambling authority.
When choosing a jurisdiction for obtaining a gambling license, VigoLex team recommends paying attention to the following factors:
- cost of servicing company activities in this jurisdiction;
- cost and the terms of opening company bank account;
- tax load on gambling activities;
- company’s obligations before the regulatory authorities – the regularity of audits, disclosure of corporate information, possibility of inspections, etc.;
- cost and the conditions for issuing a gambling license.
Online gambling has been gaining momentum in recent years. Online gambling providers become sponsors of various events, sport clubs and competitions, etc. This shows the great potential and prospects for the development of online gambling industry.
Based on work experience, VigoLex team sees the following advantages of online gambling:
- territorial restrictions for online gambling are much less than those for offline licenses, that is, some licenses allow you to operate in more than a single country;
- in many jurisdictions online gambling is subject to less strict requirements than other gambling types;
- lower cost of business maintenance.
VigoLex team provides legal support services for the incorporation and obtaining a gambling license in various jurisdictions around the world, but most often clients apply for help in obtaining the following licenses: