Obtained a leasing license and made changes to the register

This article will be interesting for:

• heads and owners of companies that deal with leasing activity;
• for companies that have passed already a part of permitting procedures (for example, getting included in the register of the National Commission of Financial Services), but cannot pass further stages independently;
• owners and senior managers who need to make changes in a financial license or reference that have been obtained already.

In winter 2018, a client applied to us – a leasing company (in form of an LLC), with foreign founders. The purpose of applying to us was to bring activity of the company into compliance with the Ukrainian financial law in part of permitting documents.

Upon the moment of applying to us, the client’s company had been included in the register of leasing companies, but after that it was suspended for a long time and did not carry out any economic activity.

What to do in this situation?

As of today, the final and underlying document that allows providing the leasing services is a financial license.

Although the client applied to us concerning getting actually that license, the thing which interested principally the client was how to bring information in the information system of the National Commission of Financial Services in compliance with the changes that have taken place in the company since being included independently in the register of leasing companies.

The information subject to changing was about:

• name of the company;
• its registered address;
• contact information.

For making changes in the register of leasing companies, the key aspect was to inform correctly to the National Commission of Financial Services, since it is a specialized government authority of financial services. The matter is that, according to the current law, 2 different procedures of making changes in the register of leasing companies are provided:

• notifying about change of the name and the registered address which is called a re-registration of the reference about registration of a legal entity;
• notifying about change of other information.

Another important thing for that stage was efficient response, since a concrete deadline is provided both for one and for the other information.

After the said mentioned information was brought in compliance, another task appeared for our lawyers: to get a license for financial leasing.

Concerning preparation of the license, the client wanted to simplify that procedure as far as it was possible. Among other things, the thing which interested him was whether it was possible to avoid preparation and submission of the auditor’s reporting. Because that was one of the principal documents in part of licensing that also requires engagement of the third party – an audit company (accredited by the National Commission of Financial Services).

Namely in this situation it was impossible to avoid that requirement, therefore we suggested for the client some alternative options that would let allowed simplifying the process.

In order to solve the above-mentioned difficulties, our lawyers developed the following plan of actions:

• In spite of the fact that the procedures about changes were different, not only 2 packages of documents were provided for submitting to the controlling body, but also the corresponding supporting letters. This allowed synchronizing the procedure of re-registration of the reference and entering other necessary information in the information system;
• Since after client’s applying to us there remained not much time for providing documents, a whole team of specialized lawyers worked on the project, which allowed preparing the documents quickly and at the high-quality level;
• Since in our client’s situation it was impossible to do without the auditing report, our lawyers prepared it through the partner auditing company. Although even that did not exclude the client completely from the process, but it made the preparation of that document as quick as possible;
• Another step for speed-up of procedures was that the lawyers was that the layers had prepared the audit report yet at the stage of consideration of documents for re-registration of the reference of the leasing company. That is, while conducting the processes in parallel, upon the moment we could of re-registration of reference we could make for getting the license right away.

What use did the client get while applying to us?

• Legally correct preparation of document. Including preparation of documents that are no provided directly in the law, but which help avoid misunderstandings with the controlling body;
• We engaged the developed contacts with the auditing enterprises, which helped getting the result;
• Many years of experience in this field allowed getting a license within the required deadline.

Do you need to get a leasing license? For all questions, please call: 0 800 330 967