The gambling industry is developing actively. New, promising markets are opening every day. The purchase of a license from a reliable jurisdiction is an excellent way to enter the international arena.

Kahnawake offers loyal conditions for gaming business development. There are almost no taxes. Moreover, the state has a well-developed telecommunications network. Local servers provide 100% protection against hacking and DDoS attacks.

2WinPower experts will help you learn more about this market and choose the right solution for conducting legal business.

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The Features of the Jurisdiction

Kahnawake casino licensing: the features of the jurisdiction

Kahnawake is the national reservation of the Mohawk people. The territory is located in the province of Quebec, Canada. The total area is 48 square meters. About 9,000 inhabitants live here.

A small and poorly populated area attracts entrepreneurs from all over the world, because of loyal tax rates and the fact that the iGaming activities are allowed here.

It is worth mentioning that one of the conditions for the formation of the Indian reservations was the complete independence of local administrations from the Canadian government. The authorities took this opportunity to minimize taxes and legalize the sectors of the economy that are prohibited in the main part of the country.

Due to these historical events, the gambling industry appeared in Kahnawake. It provides about 90% of the income of this territory.

The Kahnawake Gaming Commission (KGC) began its activities on June 10, 1996. More than 5,000 operators have opened casinos licensed in Kahnawake for almost 25 years. Fifty companies from different parts of the world are holders of permits.

The Benefits of Licensing

There are some advantages of cooperating with this jurisdiction:

  • Impeccable reputation. Kahnawake casinos are among the most prestigious establishments in the world. Software suppliers are happy to work with operators. Moreover, users visit such gambling resources with pleasure.
  • Entering the international market. Many companies benefit from working in this jurisdiction. Obtaining a Kahnawake casino license allows the businessmen to expand their business in a short time. This is an excellent solution for entrepreneurs wanting to attract an international audience.
  • Stable legislation. Local laws are protected from changes for the next ten years. This is a good option for long-term investing.
  • Fast response. Kahnawake casinos can be legalized in just six weeks. This period is relatively small compared to other popular jurisdictions.
  • Access to advanced technologies. Up-to-date data centre MIT (Mohawk Internet Technology) operates here. It provides dozens of powerful servers for the largest online casinos. In fact, the institution cooperates with gaming operators from the entire North American continent.
  • Minimum taxes. Loyal taxation is a good reason to receive a Kahnawake casino license. The income tax rate is 0%. In addition, there are no corporate, dividend, withdrawal, and real estate taxes.

Types, Validity, and Cost of Permits

Types of Kahnawake casino licenses

There are several types of Kahnawake casino licenses
Client Provider Authorization This document allows the operation of virtual casinos, including online games management (roulette, slot machines, baccarat, blackjack)
25 000 CAD
Inter-Jurisdictional Authorization It is issued to the holders of permits of other jurisdictions, who want to expand their sphere of influence
25 000 CAD
Interactive Gaming License This document allows businessmen to provide web hosting services in the province
5 000 CAD
Key Persons Licence This is a license for management activities in the iGaming field. It is issued to companies engaged in consulting, maintenance and informational support areas
5 000 CAD
Poker Room License This document allows the entrepreneurs to organize online poker tournaments and sports betting activities
25 000 CAD

The permission is issued for six months. Companies can prolong the license agreement for two years.

Additional Expenses

  1. Opening a commercial bank account — 1 thousand Canadian dollars.
  2. Creating a guarantee bank account — 1.5 thousand Canadian dollars.
  3. Renewal of permission — 10 thousand Canadian dollars.
  4. Mandatory testing of the gaming platform — 15 thousand Canadian dollars.
  5. Registration fee (for the head of the company) — 5 thousand Canadian dollars.

If the commission refused to issue a permit, all expenses (not counting the costs needed for opening bank accounts) are returned to the business owner. This is one of the few jurisdictions practising cost recovery.

The Procedure for Obtaining a Kahnawake Casino License

Procedure for obtaining a Kahnawake license

The KGC regulator does not require registration of a legal entity in its territory.

Other conditions are similar to the requirements of other respected jurisdictions:

  • opening current accounts in local banks;
  • concluding of a purchase (or rental) agreement allowing to use the MIT servers;
  • the presence of the company’s office (both the right of ownership and the lease of the premises are suitable);
  • formation of authorized capital from the company’s funds. It is forbidden to use credit or government money.

Due Diligence

This is the validation test conducted by the commission. Its responsibilities include the independent audit of the gaming platform and its main functional characteristics:

  1. Security system and protection of personal data.
  2. Random number generators used in games of chance.
  3. Description of all games present on the platform (name, manufacturer, mathematics, bonus features, withdrawal of winnings).
  4. Restrictions for minors (up to 21 years of age) and persons suffering from gaming addiction.
  5. Technical support of the website; a guarantee of a quick response to each client.
  6. Payment modules integrated into the gambling platform.

The audit period is 3-4 weeks.

Preparation of Documentation

If the audit is completed successfully, the company can proceed to the next step, sending documentation to the KGC.

The company must provide:

  • authorized application;
  • due diligence results;
  • information about all key persons (shareholders, beneficiaries and the founding members of the firm);
  • a business plan with estimates of expected revenue and expenses of a casino licensed in Kahnawake.

The term for consideration of the documentation package is 2-3 weeks. If everything goes well, the applicant will be able to launch his or her gambling project immediately.

Conclusion

It is possible to open a Kahnawake casino in just 6 weeks. The jurisdiction contributes to a quick start and development of the gambling business. Its government minimized taxation, set simplified requirements for companies, and provided reliable servers.

The main thing is to get a Kahnawake casino license on time. 2WinPower can help you with this task.

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Contact our manager and find out how to open a profitable gambling resource in the shortest possible time:

Enjoy the benefits of cooperation and start your own gaming business with 2WinPower today:
  • e-mail: info@2wpower.com
  • Skype: twowinpower
  • Telegram: @Win2Power
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