Becoming an Appointed Representative (AR) gives you a quicker route to market if you want to undertake regulated activities in the UK. On top of your own business experience be that in asset management, corporate advisory, brokerage either as a start-up or even as an established entity perhaps from an overseas jurisdiction, you’ll need commitment and drive to make your business succeed in a competitive industry. Partnering with an already regulated entity gives you a solid foundation to grow your business and access to a range of services that you will need. This route into the regulatory environment can be a permeant one or an interim arrangement before obtaining a full UK Financial Conduct Authority (FCA) Authorisation.
Before partnering with an already Authorised Firm you must carry out your own Due Diligence on that firm, obtaining information from current and past clients and the marketplace, and ensure that they understand your business. This arrangement is very much a partnership and therefore you must be comfortable with your business partner as they play a key role in your own potential success.
As well as business support, the Authorised Firm looks after the following areas on behalf of the Appointed Representatives:
- Governance framework
- CASS requirements
- FCA reporting
- Professional Indemnity insurance
- FSCS & FCA fees
- Client relationships
- Regulatory and compliance advice