FFMC License online is a process to acquire the Full Fledged Money Changer license. It’s a license that the Reserve bank of India issues that turns into an authorized money changer. It gives you power to conduct business such as:
- Exchanging currencies
- Providing foreign exchange services in certain circumstances
- Holding on to vast amount of foreign currencies in certain conditions.
Being part of a globalized world, India is seeing a rapid rise in the number of entrepreneurs who want to become the part of FFMC license list.
Are you one of them?
If you are, this blog will tell you of ways to obtain FFMC license online.
Who provides the FFMC license?
FFMC license is issued by the Reserve Bank of India. The RBI only provides this certificate or permission to turn you into an Authorized Money Changer if you fit a certain eligibility criteria. The points that come under that criteria are as follows:
- The applicant should be a private limited company or a public limited company.
- The applicant should have at least INR 25 as their net worth to run a single branch of FFMC
- The applicant should have at least INR 50 Lakh rupees as their net worth to run multiple branches of FFMC.
- The memorandum of association of the applicant’s company should clearly mention the money changing is their primary objective.
- None of the members of that company should’ve been previously charged against by Department of Enforcement or Department of Revenue Intelligence.
Meeting the above eligibility criteria is the only way you’ll be able to file the FFMC license application.
The process to acquire the FFMC license
FFMC License, full form, Full Fledged Money Changer license, can be acquired by filing an online application at the RBI official portal. However, without uploading the right documents, you can’t make the RBI assess your application. Following documents inform the Reserve bank of India of your intentions and check your eligibility criteria as well:
- The Certificate of incorporation of your company
- The section of Memorandum of Association that explicitly states that you’re business is to provide money changing services.
- KYC details of all the directors and shareholders of the company.
- Net worth certificate that should be certified by a holding of ICAI registration number – a Chartered Accountant.
- Balance sheet and profit and loss statements of the past 3 years; same documents of past year would be enough if you’re a newbie. However, in both these cases, the documents should be audited by a CA.
- A detailed description of the type of money changing services you provide.
- A receipt that entails information about the FFMC license fee that you’ve paid through online mode.
Provided that all the details present in the application and the documents you’ve provided are correct, the RBI will issue you an FFMC license.
Choosing between doing it yourself or asking for help
Whenever there is matter of filing the application for a business license, you’d notice what the process actually entails is different what you read online. The same is the case here. The process that we have explained in the previous section is merely a theoretical one. Once you start filing the application you’ll start noticing the additional requirements that RBI might ask for. Maybe you’d be able to comply with them, or maybe you won’t. Retrospectively speaking, without FFMC license consultant, it has been deemed impossible to extract any sort of business license from the claws of government authorities, regardless of how meticulous you think you are following every single rule.
So, choose an expert for your license registration needs. Furthermore, having a consultant at your beck and call can give you facilities that go beyond license registration. As you know the Full Fledged money Changer license has an expiry date. Right before the license expires, RBI expects to see an application of FFMC license renewal from you. If you live up to those expectations and file the application on time, you won’t have to fear the thought of FFMC license getting cancelled.
However, that can only happen if you are vigilant enough to look at the expiration date. That’s why FFMC license consultant is more than happy to take care of all the needs on your behalf.
So, to make a good choice, ask a consultant for services of FFMC license, meaning, get an aid of a consultant for your FFMC license needs.