Table of Contents Show
In the 1990s, online gambling businesses were introduced. Their appearance added fuel to the thriving global gambling scene. Currently, there are 4,792 casinos & online gambling businesses worldwide worth $263.3 billion.
A regulatory body issues a gambling license, allowing operators to run online betting platforms in certain territories. Since the online gambling business is one of the most profitable industries in the world, companies flock to apply for licenses.
The online gambling industry will exponentially grow with the development of technology. Getting a license is the first thing to consider when setting up your online gambling business. Discover everything you must know about the industry below.
- After a successful application process, gambling businesses also have to pay annual fees of around $25,000.
- Curacao has been issuing online gambling licenses for 25 years.
- One of the cheapest online gambling licenses is in Curacao, amounting to only $21,000 to $26,000.
- An Anjouan Gaming License offers 0% GGR tax and 0% VAT on gambling businesses.
- Another cheap gambling license option comes from Anjouan, which costs $25,000.
- In 2023, the Isle of Man provided 85 companies with a gaming license.
- The annual fee for the Isle of Man license is £35,000.
- 700 companies are licensed under Malta, allowing 1,500 gaming websites to be accessible.
Overview of the Cost of Getting a Gambling License
Depending on several factors, a gambling license costs range from $20,000 to $120,000. Here is a breakdown of the components:
|Factors affecting gambling license cost||Reason|
|Jurisdiction||Different sets of rules and regulations in each country’s gambling industry.|
|Application Process||The proceedings vary for each licensed provider, and the processing and registration fees differ.
Moreover, remember that, in most countries, the application fees are non-refundable.
|Type of License||Each jurisdiction has several types of licenses determined by the company’s size and specific service type.|
|Other legal processes||The licensing process is a complex procedure. With that, the business will need legal help for consultation and compliance with the jurisdiction’s laws.|
With all these factors, getting a gambling permit is more than the initial license cost paid by the jurisdiction. After that, the business must maintain its rights by paying annual fees of around $25,000 per license.
Gambling License Cost Statistics
Thousands of licenses worldwide for online gambling are continuously getting processed regularly. Below are some statistics you should know regarding the cost of getting and maintaining a gambling license.
1. A Curacao gaming license costs around $21,000 to $26,000.
Curacao’s jurisdictions first come to mind when talking about online gambling licenses. It has been serving the industry for 25 years. Below are the services received from the permits:
- Being easy to obtain
- One of the cheapest options
- Fast application process (7 to 10 weeks)
- The oldest and, therefore, most reliable jurisdiction
- Low corporate income tax rate of 2% and no VAT
However, Curacao is also the most criticized jurisdiction in online gambling licensing. Since applying for a license is cheap and easy, some people question its reputation.
Regardless, Curacao licensed some of the biggest names in online gambling, such as:
- 32Red Sportsbook
2. Businesses enjoy 0% gaming tax in their GGR and 0% VAT when they have an Anjouan Gaming License.
(GBO, Fast Offshore)
GGR is “gross gambling revenue,” players’ bets minus winnings. The GGR goes to the betting company. Businesses licensed under Anjouan would not have to pay any tax or VAT.
Moreover, obtaining an Anjouan license is quick and costs around $25,000. Despite that, an Anjouan license remains lesser known among online gambling jurisdictions worldwide.
3. The Isle of Man provided 85 individual companies with online gambling licenses in 2023.
(Xace, Tetra Consultants, Fast Offshore)
The Isle of Man is a small-scale British Crown dependency island. Since its legislation in 2001, it has been one of the most prestigious territories to obtain an online gambling license.
Applying for a full license costs £5,000, while the annual license fee is £35,000. The price is worth it for the few companies with an Isle of Man license since it is well-respected and upholds high professional standards of ethics.
4. Malta Island granted licenses to 700 companies in 2022, allowing 1,500 gaming websites to operate.
Many companies favor a Malta gaming license. It is considered prestigious to have a license from one of the largest jurisdictions within the European Union. Moreover, cooperating with banks and payment providers is more accessible with a Malta license.
However, only countries that do not ban online gambling can apply for a license in Malta.
The cost of acquiring an online gambling license, and prices will vary according to essential factors. It depends on the price set by each jurisdiction and the gambling service the company intends to provide.
Added fees come from maintaining the license and consulting legally, which important since obtaining an online gambling license is intricate. Choosing the right jurisdiction will make all the processes and fees worth it in the booming online gambling industry.
Frequently Asked Questions
Can I start my own online casino?
To start an online casino, you must first apply for a gaming license from a selected jurisdiction. Without a permit, you cannot operate and provide service.
Which is the easiest gambling license to get?
The easiest gambling license to get is from Curacao. It is also cheap and will only take a few weeks.
What is the cheapest country to get a gambling license?
Curacao offers one of the cheapest gambling licenses globally at around $21,000 to $26,000.