Crowdfunding Handbook
Class 6 - Crowdfunding Handbook - Link to Register of licenceholders
Contents
1. Introduction
The Crowdfunding handbook is produced to provide licenceholders holding a Class 6 Permission under the Financial Services Act 2008 (those who are licensed by the Isle of Man Financial Services Authority (“the Authority”) to conduct equity or loan-based crowdfunding in or from the Isle of Man), such potential licenceholders and other interested parties with easy access to the legislation and guidance relating to the regulated activity of crowdfunding in or from the Isle of Man.
The handbook is produced in an on-line format only. However, copies of all statutory documents (original, un-amended, legislation) may be obtained from the website http://www.tynwald.org.im/links/tls/SD/Pages/default.aspx or from the Tynwald Library, by quoting the SD number shown at the top of each document.
In case of any query, please contact the Investment Services team at the Authority, on 689332.
2. Legislation
2.1 The Primary legislation governing Crowdfunding Platforms in or from the Isle of Man is the Financial Services Act 2008
The Secondary legislation is made under powers contained in the Financial Services Act 2008. It can be found on a central table here. Where these regulations and regulatory codes have been amended after they were made, the “as amended” version is shown.
2.2 Regulatory requirements for Class 6 activity (Crowdfunding platforms) business will be applied by licence conditions initially, as detailed in the Authority’s consultations. This allows the requirements to be ‘tested’ in practice before they become secondary legislation in the Rule Book. Licence conditions may vary between entities and the conditions applicable to any particular licenceholder are shown on its licence. A list of licenceholders can be viewed here and each licenceholder’s name provides a link to its licence conditions. In a future update to the Rule Book, the standard licence conditions will become rules applicable to Class 6 regulated activity (Crowdfunding Platforms).
Here is a list of the standard licence conditions for Class 6.
3. Guidance applicable to Crowdfunding activities
3.1 Guidance and forms which relate to crowdfunding activities:
- Application form for a Financial Services Licence
- Interim Financial Returns Form
- Licenceholder contact sheet
- Forms and Returns Page
- Proforma subordinated loan agreement (N.B. This proforma agreement has been prepared specifically for use by applicants for and holders of a financial services licence under the Financial Services Act 2008. If you are not an applicant or licenceholder, you should not copy, circulate or in any other way use or rely on the wording contained in the agreement. Applicants and licenceholders may copy the proforma but must not rely on the wording of the proforma and should take their own legal advice as to the appropriateness of the wording and the document in their own circumstances.)
3.2 Disaster recovery/business continuity
The use of facilities on the Island by regulated businesses from other jurisdictions for temporary business continuity purposes is addressed by Schedule 2 of the Financial Services (Exemption) Regulations.
4. Guidance applicable to all licensable sectors/activities under the Financial Services Act 2008
Guidance on matters generic to all IOMFSA-licensable activities/ categories of business can be found here.