Malta Gaming License Application: Types and Guide
Obtaining a gambling license enhances trust, particularly in regulated markets. For those aspiring to enter the online gaming sector, a Malta gambling license is considered one of the most esteemed globally.
The process to obtain this license may seem challenging, with legal requirements and regulations to meet. This blog provides a clear, step-by-step guide on the types of licenses the Malta Gaming Authority (MGA) offers and how to apply. You’ll learn about the necessary checks, audits, fees, and taxes involved.
We’ll also touch on the strategic benefits, including support from the government and access to global markets, so you can set up your online casino with confidence.
Types of Malta Gambling Licenses by the MGA
The Malta Gaming Authority (MGA) offers two main license types for different areas in the gaming industry: the Gaming Service License (B2C) and the Critical Gaming Supply License (B2B).
Gaming Service License (B2C)
The B2C license suits operators working directly with consumers, like online casinos, sportsbooks, or peer-to-peer games. This license has four subcategories, each covering specific game types:
- Type 1: For games of chance against the house, using a Random Number Generator (RNG). This covers games like roulette, blackjack, and other casino classics.
- Type 2: For betting services on events, with a focus on sports and esports betting.
- Type 3: For player-vs-player games, such as poker rooms and online bingo.
- Type 4: For controlled skill games, where skill influences the outcome more than chance.
Fees for Type 1 and Type 2 games are €100,000, while Type 3 and Type 4 games require €40,000.
Critical Gaming Supply License (B2B)
The B2B license is tailored for companies supplying essential software or infrastructure to gaming operators, like game developers or platform providers. It has a similar structure to the B2C license, covering various service types. Companies holding this license must have a minimum share capital of €40,000.
To run a competitive operation, choosing the right software provider is key. Here’s a list of the top iGaming software providers in the world to help you get started.
If you’re ready to take the next steps, a Malta gambling license offers a well-regulated pathway to establish your gaming operations confidently. Each license category caters to specific needs, ensuring you have the right setup for your gaming business.
How to Apply for a Malta Gambling License (MGA License)
Obtaining an MGA license involves a structured process to assess and verify your business’s suitability. Here’s an overview of the key steps involved:
- Fit and Proper Checks
The MGA conducts a background check to assess your business’s integrity, finances, and overall suitability for a license. This includes looking into past business dealings and any criminal records of the business owners. - Business Plan and Technical Ability Review
You’ll need to submit a detailed business plan, outlining your operational strategy, target market, and financial projections. The MGA also evaluates your technical capacity, ensuring your platform can meet regulatory requirements and industry standards. - System Review
The MGA conducts a thorough examination of your gaming platform’s system architecture, including the software, data storage, and security measures. This step ensures that your systems are safe, reliable, and transparent. - Compliance Audit
Once your business is operational, the MGA performs a compliance audit within the first year. This audit checks that all operational, financial, and technical aspects of your business align with MGA regulations, helping you maintain a compliant and credible gaming business.
For insights on structuring a strong game platform, check out our step-by-step guide to building a game platform.
Also, watch this video to learn the process of starting a gaming company in Malta and outlines the types of licenses necessary
Following these steps carefully will help you navigate the MGA application process and meet all necessary requirements.
MGA Fees and Taxes Explained
Understanding the fees and taxes involved in a Malta gambling license is key to managing your licensing costs effectively. Here’s a breakdown of what to expect:
The licensing process begins with a non-refundable application fee of €5,000 per license type.
B2C Operations Tax Structure
For B2C operations:
- The annual license fee starts at €25,000. For businesses with higher annual revenues, this fee can increase to €35,000.
- A 5% gaming tax is applied on revenue generated from players located in Malta.
- Compliance contributions vary based on the type of gaming service. Type 1 services, like casino games, start with a minimum contribution of €15,000 and can go up to €375,000 annually.
B2B Operations Tax Structure
For B2B operations associated with critical gaming supply licenses:
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- The annual license fee begins at €3,000 and can reach €35,000, depending on revenue.
- B2B compliance contributions are tailored to the specific business activities and services offered.
System Audit Fees and License Renewal
To meet MGA’s regulatory standards:
- Operators must complete system audits after the initial license application, which cost between €2,500 and €7,500, depending on the service complexity.
- A compliance review and a €5,000 renewal fee are required at each license renewal to maintain regulatory compliance.
Being aware of these fees and taxes helps you plan your budget for a Malta gambling license efficiently.
Advantages of a Malta Gambling License
Choosing a Malta gambling license offers multiple benefits for gaming operators. From global market access and tax advantages to a supportive economic environment, Malta has positioned itself as a top choice for iGaming businesses.
Here’s a look at the key benefits that make Malta’s license highly attractive.
Global Reputation and Market Access
A Malta gambling license gives your business instant credibility. The Malta Gaming Authority (MGA) is well-known for high standards and fairness, making its licenses trusted across Europe and beyond. With this license, you can access top markets in the EU, Latin America, and Asia, tapping into a diverse player base.
To learn why so many gaming companies choose Malta, read this Reddit discussion.
Securing reliable payment solutions is essential to expand in new markets. Here’s a list of top iGaming payment solution providers for 2024.
Economic Stability and Government Support
Malta’s stable economy and supportive government make it a great place for gaming companies to thrive. With an English-speaking workforce and a strong iGaming ecosystem, Malta is ideal for building a trusted brand and reaching global audiences. Many industry forums highlight Malta’s commitment to iGaming, making it a top choice for operators worldwide.
Wrapping Up
So, we’ve covered everything you need to know about securing a Malta gambling license—from the types of licenses available, the application process, fees, and taxes, to the advantages that come with MGA approval. With this license, you’re not just gaining entry to a regulated market; you’re unlocking doors to global audiences, attractive tax benefits, and a strong foundation for growth in the iGaming industry.
Yes, there’s a lot to consider, and it’s a serious investment of time and resources. But for many operators, the credibility, flexibility, and reputation that an MGA license brings make it all worthwhile. With Malta’s support network, regulatory strength, and skilled workforce, you’re positioned to build a successful, trusted brand in the global gaming market.
If you’re ready to move forward, Source Code Lab is here to help. We understand the licensing journey inside and out and can guide you through each step. At Source Code Lab, we specialize in guiding gaming operators through the MGA licensing process with expert advice and resources tailored to your needs.
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FAQs
1. What types of licenses does the Malta Gaming Authority (MGA) offer?
The MGA offers two main license types: the Gaming Service License (B2C) for operators working directly with consumers, and the Critical Gaming Supply License (B2B) for businesses supplying software and infrastructure to operators.
2. What are the main benefits of a Malta gambling license?
An MGA license is globally recognized, providing operators with credibility, access to international markets, tax benefits, and a supportive regulatory framework that allows for operational flexibility and growth.
3. What are the fees involved in obtaining an MGA license?
The application fee is €5,000 per license type, with annual license fees starting at €25,000 for B2C and €3,000 for B2B licenses. Additional taxes and compliance contributions apply based on revenue and service type.
4. How long does the MGA licensing process take?
The MGA licensing process can take several months, depending on the completeness of your application, the necessary audits, and the complexity of your operations.
