EMI License in Lithuania

Suitable for:

The Electronic Money Institution (EMI) License in Lithuania grants the business to offer a big variety of banking services to its clients. If you want to offer your clients (B2B or B2C) the possibility to accept USD/GBP/EUR payments and issue cards, receive SWIFT or issue IBAN accounts, the EMI License is the right one to go for. Here is a list of the main services that can be offered to your clients once your succesfully obtained this license:

• Issue IBAN Accounts and cards
• Money remittance (EUR/USD/GBP)
• Remote (online) opening of accounts for companies and individuals
• Receive payments from any international account using SWIFT
• Open correspondent accounts anywhere in the world
• Cash deposit and withdrawal
• Execution of payment transactions
• Independent decision making process, including your own AML team

Documents for an EMI License in Lithuania

• Articles of association and registered address of the leased office
• Detailed description of IT solutions that will be used
• Business plan including a financial forecast
• Detailed description of how the company will ensure the funds of clients to be safe
• Detailed description of ICS and mechanisms that will be used to comply with the anti-money laundering and terrorist financing acts in Lithuania and Europe
• Company Orga Chart, including individuals and their positions, as well as any other related companies and their roles in the EMI
• A whole set of identifying documents about the UBO(s) and evidence of their impeccable reputation
• Contracts with certified auditoring companies and will independently conduct audits as required by law
• Lease or renting agreement of office space in Lithuania

Note: All documents will be required to be prepared in compliance with the PSD2 and according guidelines. Furthermore the documents do not need to be prepared in Lithuanian, which is a significant difference to other countries and safes money. Once the documents are submitted, by law it cannot take longer than 3 months for an answer from the Central Bank of Lithuania. Every answer that requires changes will lead to the renewed submittance of the adjusted documents and have as a result a new timeline of 3 months to be awaiting a final answer from the Central Bank of Lithuania.

Roadmap for obtaining an EMI License in Lithuania

Stage 1 - Documents and Formalities

The most important part is undoubdedly collecting all the needed documents and bringing them into a form that the Central Bank of Lithuania will accept it.

1. After the agreement for the AEMI License is signed the Central Bank of Lithuania will begin to do KYC on the UBOs, core employees as well as ask for the first technical documents such as business plan and technical details. There is a list of documents that will be asked, which all are standardized. Besides the company documents details about the beneficial owners will be required including income statements, CVs, AML certifications and background checks.
2. Company formation including registration of local phone numbers, office rent and registration of according legal address.
3. Filling out specific forms that are required and described above: Business Plan, Financial forecasts, IT control forms, Orga structure chart.

 

Stage 2 and 3 - Registration of reporting standards and official application

 

1. Open up a bank account and apply for a VAT number.
2. Signing the agreement with auditing and accounting company.
3. Third party analysis for deeper understanding of the business plan and documents that go along the application.
4. Analysis of your business plan (including multiple reviews and feedbacks), a various amount of Risk Management Control Design, Risk Management Workshops and ICS analyses.
5. Signing off all documents and completing the documentation part.
6. Applying officially for the EMI license.

Note: After officially applying for the license it is very common to receive reviews and suggestions by the Central Bank who will either come up with a list of clarifying questions or finalize by granting the licenses

Requirements of the UBO

What are the minimum requirements to obtain the Electronic Money License in Lithuania?

• Initial capital of not less than 350.000 EUR for restricted activities AEMI licence. This license is similar to the regular EMI one, but limits the amount of electronic money to be managed to 900,000 EUR in one month.
• Have all your documents confirming income ready. Including, but not limited to your tax declaration and/or certificate from your local tax control authorities.
• Must have a absence of any criminal records, an indisputable reputation and not have other restrictions from any regulatory bodies within the European Union.
• Should acquire an office space for the business. This can be a long-term rent and bought real estate in the form of a building or office.
• A detailled prepared business plan including budgeting and forecasts
• Contracts with auditing companies and other third parties
• A full description of the technical infrastructure and solution that will be used
• A team of experienced and qualified invidividuals, who will fill in the needed positions (CFO,CTO, CEO and others)