The Belarussian Forex market commenced developing fiercely in 2016 when the presidential Act “About the Over-the-Counter Forex market operation” had come into force. The law gave the green light for companies that were looking for opportunities on how to start a brokerage business. Today, the community calls Belarus amid the most promising jurisdictions to open an FX brokerage firm.
What are the mandatory steps to run a Belarussian brokerage company, following all the norms and regulations? Here is the step-by-step guide.
Step 1. Register a company in Belarus
Licensed companies only are allowed to offer brokerage services in the Belorussian market. The company registration is a step required right before submitting your application to the local financial regulator. The company registration consists of the following stages:
- Prepare the required package of papers and submit your application (online submitting is available as well).
- Open a corporate account in one of the Belorussian banks.
- Applicants get the certificate of state registration within two days.
The state registration body sends the information to all the institutions; which is why business owners may skip to the second step.
Step 2. Get the license for brokerage services
How to start your own brokerage company in Belarus? It’s impossible to enter the market without a license. The procedure requires the following papers:
- company’s business plan;
- confirmation of registered capital worth 200 000 BLR (equivalent to $81 000);
- confirmation of the experience of a company’s managing board;
- confirmation of the shareholders’ business reputation;
- confirmation of the qualification and business reputation of a company’s head and managing board.
The national bank of the Republic of Belarus is responsible for licensing Belorussian brokerage companies. Submit your application and get an answer within 30 business days.
Since your application has been approved, you have three days to make a registration contribution to the guarantee fund launched by the national Forex center. The contribution is equivalent to $55 000.
The license for brokerage services imposes the obligation to send weekly, monthly, or quarterly reports stating a company’s financial situation. Reports are sent to the Belarusian Central Bank and the National Forex Center.
The last legislative step lies in the agreement between a brokerage company and the National Forex Center. Companies are obliged to pay 2 500 BLR (about $1 000) for services provided by the NFC.
Step 3. Connect a trading platform and external integrations
When business owners have passed the legal procedures by, it’s high time to focus on a broker’s functionality, despite the low competition level in the Belorussian Forex market. At the moment of writing, the register of the Belorussian Central Bank contains 21 companies, officially licensed.
The market has enough space to grow; this is why newer entrants should think about upcoming competition in advance.
Top-rated brokerage companies provide their traders with access to the most functional and effective trading platforms (MetaTrader 4/5) – such platforms are the most known in the market. The vast majority of guides, educational videos, and tutorials are based upon the given platforms. Aside from trading platforms, you need to connect top-rated payment providers, KYC instruments, liquidity providers, and more to ensure clients that their orders are about to be executed instantly.
B2Prime, a part of the B2Broker ecosystem, is the only licensed Prime of Prime liquidity provider in Belarus. The connection to B2Prime PoP liquidity unlocks access to one of the deepest liquidity pools in the Forex market.
Step 4. Invite your first traders
While leaving legal and technological issues behind, work on your marketing strategy. Create a portrait of a trader forming your target audience to understand which user groups your strategy is geared towards. The marketing strategy should cover as many channels as possible.
White Label brokerage model
The above-given stages are not easy and fun for newcomers. A wide range of pitfalls take place; this is why beginner brokers prefer the turnkey service, getting a brokerage company launched by the White Label model.
For instance, B2Prime has a perfect answer for how to start a Forex business. Business owners get a ready-made company with the Belorussian license, connection to the leading trading platforms (MT4 or MT5), and deep liquidity pools. Furthermore, the solution includes a technological and innovative CRM system, and other services understood as the best Forex market options.