The Corporations Act contains a single licensing regime for financial sales, advice and dealings in relation to financial products. The Act sets out the licensing requirements for financial service providers.
Any person carrying on a business of providing financial services will require an Australian Financial Services Licence. Consumer credit is separately regulated.
A person provides a financial service if they:
(a) provide financial product advice; or
(b) deal in a financial product; or
(c) make a market for a financial product; or
(d) operate a registered scheme; or
(e) provide a custodial or depository service.
ASIC may issue banning orders or vary, suspend or cancel conditions for a licence.
Conduct and disclosure obligations apply to all licensees, but with some flexibility to tailor requirements to different services, and with additional obligations placed on licensees who provide services to retail clients.
Compliance with other relevant financial services laws is a core licence obligation under the Corporations Act.
The Corporations Act defines financial services laws with which a licensee must comply include any other Commonwealth, State or Territory legislation that covers conduct relating to the provision of financial services (whether or not it also covers other conduct), but only in so far as it covers conduct relating to the provision of financial services (eg AML/CTF, ASIC Act, Privacy Act).
We can assist you with obtaining a licence, applying for relief, training and compliance reviews to ensure you meet ongoing obligations.