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What Online Casino Operators Should Know Before Entering International Markets

Sooner or later, the business should be scaled. In the case of a gambling project, an excellent solution would be to open an online casino abroad. In this material from Rosloto, you will be able to find out about all the nuances of this process.

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Focus on the Regions With the High Popularity of iGaming

The demand for online casinos

The first thing an online casino owner needs to know before entering foreign markets is the relevance of gambling in a particular region. Not all countries are loyal to the gambling business, and some even provided for the death penalty for the violation of the law. We are talking about the Middle East and several Muslim countries, such as Algeria, Pakistan, and Indonesia.

Online casinos are banned in China, Thailand, and the USA. In these popular tourist areas, you can only gamble in land-based casinos. Their localization is limited to special zones: Macau, Las Vegas, Atlantic City, and others.

When you are planning to reach international markets, it is better for you to focus on such areas as Europe, South America, and Africa. The industry here is officially permitted, and iGaming is one of the five most profitable sectors for investment along with IT, the financial sector, and biotechnology.

It becomes more and more popular to launch and play an online game from time to time, considering the fact that the worldwide emphasis is laid on the release of modern gadgets and mobile platforms.

When planning the international expansion, it is worth taking a closer look at Eastern Europe:

  • In 2020, iGaming was legalized in Ukraine, which opens up good prospects for investments in the country.
  • This year, Bulgaria reduced the tax rate to 10% of the turnover, which is one of the lowest percentages in European countries.
  • Poland, Romania, and the Czech Republic are also planning to introduce a number of relaxations of the rules for operators and gamblers.

As for Australia and Canada, the main benefit of investing here lies in the high standard of living of the locals. Any player is ready to spend a lot of money on a game in the gambling club, and it is done quite often.

The main difficulty is the fragmentation of the legislation depending on the provinces or states. Each region has its own legal framework, and the obtained permit allows you to work only within one territory.

Casino Entry to Foreign Markets: Licensing

Obtaining an online casino license

In general, gambling is legalized in more than 80 jurisdictions. There are territories with minimal government control, and there are those where the government is closely monitoring the operations of companies.

The actions of the authorities almost always are reduced to two main areas:

The original inspection

It is carried out before obtaining a license for iGaming. This process includes checking of the registration, legitimacy, financial well-being of applicants, testing of the servers that will host the gaming site, and security systems

Recontrol

Regulators check already licensed operators for compliance with the legal requirements

How to Obtain a License

The registration of a permit is extremely important when you are entering the international gambling arena. Without it, operation in any jurisdiction would be illegal and lead to many punitive sanctions.

The acquisition of a permit is a labor-intensive process both in Europe and America and in offshore zones.

The procedure can be divided into several stages:

  1. Registration of the company. You can create a branch office of an already existing company but most regulators require the registration of a new legal entity. At this stage, it is worth taking care of the opening of a commercial account in a local bank and renting or buying a server. Sometimes, you will need to have an office in a country. All this involves certain expenses — from 8 thousand to 30 thousand euros, depending on the jurisdiction.
  2. Preparation of a package of documents. It includes all information on the company (a charter, various references, and extracts) and its founders (the work experience, contact information, and a certificate of no criminal record). Often, similar data should be sent about the company's management team.
  3. Registration of the license. The entrance of a casino to foreign markets includes two obligatory payments. The first is a one-time application fee. The second is a fee for the permit. Some jurisdictions require the full amount in advance, and others adhere to the principle of the even distribution of payments depending on the validity period of the document.

It is important to confirm the financial security of applicants. Often, minimum authorized capital is sufficient for the regulators. In Ukraine, for example, it is 30 million hryvnias. In other cases, you need to have a bank guarantee, which is accumulated in a separate commercial account.

Other Important Aspects

Launching an online casino: important aspects

The advantages of the scaling of the business are that the parent company already has vast experience of working in the industry, and many processes are well-regulated. For this kind of company, it is easier and more economical to organize the entrance to international markets for a gambling establishment.

When launching a gambling project, it is important to take care of the following nuances:

  • The design of a platform. You will need a new website that will work only in the allowed domain zone. As a basis, you can take the design of an already existing resource. It will be faster and less expensive.
  • The Purchase of the game content. Providers will wish to re-sign the contracts since their contractor now operates in another country. We recommended you to have a catalog of products, 70% of which are popular slots, and the remaining 30% should be devoted to new slot machines with original game mathematics.
  • Promotion. A marketing strategy should include SEO optimization, e-mail newsletter, cooperation with affiliates, and other tools that will help you to effectively attract and retain customers.

Conclusion

The presentation of an online casino in the international market is always associated with the investment and time expenditures. It is necessary to register a new legal entity, open a bank account, and sign agreements with software vendors. A separate item is a casino licensing since it is a complex and expensive process.

The Rosloto company has vast experience of working in foreign jurisdictions. We organize the activity of a gambling project in any country that you are interested in in terms of the investment and potential profit.

From Rosloto, you can order the development of a turnkey online casino. This is a product with an original design concept, a large selection of video slots, and integrated payment systems. The solution can be launched literally the next day.

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For all the questions that are related to cooperation, please contact us.

Attention!

Check the information used to contact us carefully. It is necessary for your safety.

Fraudsters can use contacts that look like ours to scam customers. Therefore, we ask you to enter only the addresses that are indicated on our official website.

Be careful! Our team is not responsible for the activities of persons using similar contact details.

Contact our manager and get detailed information about Rosloto
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Author: Clara Hazel
iGaming business expert
02.16.2020
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