Projects like yours secured a Legal Services with Rengangyongsheng

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A perfect fit for our business

I highly recommend Legal to any entrepreneur or business seeking top-notch services for their company formation.

Tom

Best for Crypto Licenses

Best company for Crypto Licenses! Kudos to the team for making the incorporation of our company really smooth

Charlotte

Fast and Reliable

Quick set-up and straightforward process. It was a smooth process, we are happy to have chosen Rengang as our Partner for incorporations, globally.

‌Daniel

Highly recommended!

They are undoubtedly top-level experts when it comes to licensing and registrations in the crypto and web3 industry. Highly recommend!

James

Excels at adapting to challenges

Rengang excels at adapting to challenges and demonstrates a perfect understanding of our business needs.

Alexander

A fruitful cooperation

As a result of the fruitful cooperation with Rengang, Yellow Card obtained a VASP registration, fast and without any legal complications.

Jack

HOW DOES OUR EXPERT HELP YOU SUCCESSFULLY LAUNCH YOUR PLATFORM

Examples of Rengang's assistance with Money Transfer companies

A cross-border payment system, in general, uses a standard legal setup. In this section, we will briefly explain how Rengang can turn such a project into reality.

Assessing the need for a license
Once Rengang receives a project request and agrees on the terms with the client, our pro-lawyers start by assessing the need for a money transfer license. Most often, obtaining a license is the client’s request for enhanced trustability from clients and banks. Then, the question is which license suits the client’s company best.

To answer this question, Rengang conducts a proper legal assessment of the project and its business model, laying out the results in the form of a legal opinion. A legal opinion is the fastest and most reliable way to find out which international transfer license will cover all the activities of your company in full.

Forming and registering a company
The company formation of your future money transfer platform can be undertaken in full by Rengang. We are not only well-acquainted with the legal intricacies of the incorporation process but we also have local agents in different jurisdictions, coordinating the process for the clients locally. It is also possible to entrust the lawyers with remote incorporation if the possibility of traveling is currently excluded from your plans.

Most often, the requirements for company formation will include:

Outlining the company’s purpose and activities to be proposed in the form of a business plan;
Coming up with a company name and a shareholder structure;
Providing non-criminal records and basic personal information of key shareholders and other figures at your company;
Drafting AML-CFT compliance policies;
Opening a bank account with a starting share capital.
Rengang takes care of the incorporation process in full, drafting and submitting all the necessary documentation on the client’s behalf.

Ensuring AML-CFT compliance
One of the milestones of a successful company formation is AML-CFT compliance. It must be built carefully block by block with all the current regulations and amendments taken into account. Jurisdictions will require a properly drafted AML compliance policy, a responsible AML officer, and regular reporting.

These requirements are mandatory whether your company already holds a money transfer license or not. Keeping track of the current regulations, Rengang undertakes the drafting of an AML policy, educates the key shareholders and employees of your company on the vital AML compliance practices, and can even find a suitable individual to fill the role of an AML officer.

Opening a corporate bank account
Any business, especially in the FinTech sector, requires a bank account. Opening one can be a stringent and tedious procedure since there are too many details and legal subtleties to consider. In order to save you time and trouble, Rengang establishes a proper connection with the bank of your choice as soon as you give the green light.

Providing ongoing legal support
Even after your company is already active and operating on the market, ongoing legal support is indispensable. Rengang assists clients with regular reporting to the regulator and keeping records of the company’s activity and expenses. Any possible legal issue your company might come across while being operational can be solved by us. The legal support is uninterrupted at every stage of the company’s existence and includes ad-hoc advice and assistance when needed.

LEGAL SERVICES FOR CROSS-BORDER PAYMENT COMPANIES

Common services for Money Transfer Businesses and their regulation

International transfers are a universal method of remitting or sending money abroad. Transactions can be executed via multiple methods: bank transfers, bank cards, e-wallets, or mobile payments. At the same time, an online cross-border payment institution is a blend of their best qualities: security and speed along with the leading methods of customer protection.

The fast-paced development of international trade and the growing number of immigrants around the world have increased the demand for international transfer institutions allowing for remittance transactions. These companies allow for person-to-person, person-to-business, and business-to-business transactions without grave losses for either party in fees. The demand is predicted to only grow in the future, hence now is the best time to commit to establishing your business.

Setting up a cross-border payment company comes with a number of legal implications. As experienced lawyers, Rengang will outline the most common aspects to take into account while starting your business.

Choosing a license
In most cases, opening your own cross-border payment company for money transfers abroad and remittances starts with securing a license. Is the money transfer license always mandatory? The answer is yes, but the type of it depends on the nature of the provided services and your business model. Most often, you will be required to obtain a FinTech license, either onshore or offshore depending on your project structure and aspirations. Apart from FinTech, it is possible to secure a small payment institution license or an EMI (Electronic Money Institution) license.

A legal permit opens the doors to international money transfers for your business, which is the main purpose of its existence. The license comes with requirements to be met depending on your chosen jurisdiction but at the same time, it improves your visibility among clients and partners, contributing to the trustability of your business. It is solid proof, first of all, to clients that their funds are in safe hands.

Complying with AML-CFT
Your company must be AML-compliant, whether licensed or not. It is the duty of many national and supranational authorities to ensure that cross-border payments are not used for money laundering or sponsoring financial terrorism. When your company does not involve crypto payments, it is more transparent, which means easier to control.

Having an AML-CFT compliance program drafted is mandatory in both cases. Before opening, your company needs to prove its compliance to the authorities. As a rule, the process consists of the following steps:

Preparing an AML-CFT compliance program;
Assigning a responsible compliance officer (AML officer);
Instructing key shareholders and figures on the compliance procedures;
Submitting regular compliance reports.

IT infrastructure and audit
An international money transfer system most likely means an online-based company. Later, of course, your business can expand to the land-based form, allocating special agent offices or booths around the globe like Western Union, an exemplary leader in the industry, does. But primarily, an online platform is formed, allowing the company to start its operations faster.

In that case, a proper arrangement of the IT infrastructure and cybersecurity is required. Some jurisdictions will also require a proper technical audit done by a professional before allowing your company to go to the market.

Acquiring multiple banking solutions
A cross-border payment system works as an intermediary between two parties meaning to send and receive funds. Your platform will want to provide clients with multiple ways of completing transactions, the most popular being bank accounts, debit or credit cards, e-wallets, and cash pick-ups (if applicable).

These channels of sending and receiving money require not only a meticulous technical setup but also a proper legal approach. Connecting a new transaction channel to your platform is relatively easy once you obtain a license: from there, the main objective is to find and get access to a proper banking gateway.

In addition, you won’t be able to do without a corporate bank account, which must be obtained separately. This is the bank account for your company’s internal payments, from the employee’s salaries to the overhead expenses.

Legal Services in Cross-Border Payments