The Securities and Commodities Authority (SCA) regulates the UAE’s financial markets and ensures that only qualified, reputable firms are allowed to offer financial consultancy, promotion, and introduction services. The SCA Category 5 License is designed for companies that want to advise clients, promote financial products, and connect investors with licensed institutions — but eligibility is strictly controlled.
This article explains who can apply, the requirements for UAE and foreign firms, and how Alliance Advisers can guide you through the process.
1. Eligible Applicants
The SCA Category 5 License is available to corporate entities rather than individuals. Firms that commonly apply include:
- Financial Consultancy Firms – Companies providing advisory services on investments, portfolio strategies, and market opportunities.
- Investment & Wealth Management Firms – Assisting clients with investment planning and financial structuring.
- Brokerage & Financial Service Providers – Firms that introduce clients to licensed brokers, fund managers, and investment platforms.
- Fintech Companies – Digital platforms promoting or introducing regulated financial products in partnership with licensed institutions.
- Corporate Advisory Firms – Businesses helping clients raise capital, manage issuance processes, and structure financial deals.
This license is ideal for firms seeking credibility, market access, and regulatory approval to operate within the UAE’s financial ecosystem.
2. Foreign Firms & Cross-Border Applicants
Foreign companies seeking to obtain an SCA Category 5 License must meet additional regulatory expectations:
- The company must be properly regulated in its home jurisdiction by a recognized financial regulator (e.g., FCA, CySEC, ASIC, MAS, FSC, FSA, LFSA, etc.).
- Must demonstrate a clean regulatory record and a history of compliance in all jurisdictions of operation.
- The firm must establish a UAE-registered entity to hold the license.
- In some cases, the SCA may request evidence of oversight from the applicant’s home regulator and detailed documentation on ownership and financial soundness.
This ensures that only credible, compliant, and well-supervised institutions are allowed to promote or introduce financial products within the UAE.
3. Ownership & Structure Requirements
The SCA places emphasis on transparency and governance:
- Applicants must establish a UAE-registered company (Mainland or Free Zone, depending on the model).
- Shareholders and directors must demonstrate financial soundness, relevant experience, and professional integrity.
- A clear organizational structure is required, showing compliance, risk management, and operational responsibilities.
4. Fit & Proper Criteria for Key Personnel
The SCA evaluates the qualifications and suitability of senior management and operational staff:
- A licensed compliance officer approved by the SCA must be appointed.
- At least one qualified financial consultant with relevant certifications and proven experience is required.
- All directors, shareholders, and controllers must meet the SCA’s “fit and proper” standards, demonstrating integrity, competence, and a strong compliance history.
5. Why Apply for the SCA Category 5 License
Obtaining the license positions your firm to:
- Introduce and promote financial products directly to clients in the UAE.
- Collaborate with licensed brokers, fintechs, and investment firms under the SCA framework.
- Build credibility and trust with clients, regulators, and financial institutions.
- Secure better access to corporate banking and PSP solutions.
- Expand your market presence and reputation in a regulated, high-growth financial hub.
Alliance Advisers – Your Partner for SCA Licensing
Applying for the SCA Category 5 License requires careful planning, in-depth knowledge of regulatory frameworks, and strict adherence to compliance requirements. At Alliance Advisers, we specialize in helping both UAE-based and foreign firms secure their licenses.
Our services include:
- Assessing eligibility and regulatory readiness
- Preparing a complete SCA application pack
- Liaising with the SCA and relevant authorities
- Supporting with compliance frameworks, AML/KYC policies, and operational manuals
- Providing strategic guidance to ensure faster approvals and long-term success
📩 Contact Alliance Advisers today to find out if your company qualifies for the SCA Category 5 License and unlock opportunities in the UAE financial market: https://allianceadvisers.com/contact-us
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