We know that Connect can seem like a daunting system to first-time users. However, if you know what to expect from each section beforehand, it will make your application much easier.
Regulated Activities and Permissions
This section asks you to detail all the regulated activities that your company intends to carry out and these must be selected from the list of FCA recognised activities. So, for example, applying for permission for too wide a range of activities or for activities that are not recognised will lead to delays in the authorization process.
Business Model and Financials
This section will ask for details regarding your proposed business model, projected income, capital requirements and your proposed financial resources for the first three years of business. This will include a copy of your business plan and three years of financial forecasts.
Individuals and Approved Persons
Details are required of all Directors, Controllers and any persons performing Senior Management Functions within the proposed firm. A Personal Questionnaire will need to be completed by each individual for the firm, in respect of their employment history, qualifications and any regulatory or criminal convictions. See also adempi.co.uk/fca-authorisation for more information on FCA Authorisation.
Systems and Controls
Your Systems and Controls. How you intend to operate your business as a regulated firm and the arrangements you have put in place to comply with all relevant requirements including the capital requirements. Also your risk framework and how you intend to monitor your regulated activities on an ongoing basis.
Customer and Conduct Details
This section covers your intended customers, your treatment of customers as a firm, and your complaints procedure. Again details of the full information requirements for each application type can be found on the FCA’s authorisation hub.
Having these questions answered before opening Connect saves a lot of time when filling out the application forms.