How to Verify a license Claim
This guidance explains how clients, partners, and counterparties can verify licensing claims and identify representations that fall outside authorised scope.
Purpose of This Guidance
This document provides practical guidance on how to verify licensing claims made by businesses or intermediaries. It is intended to reduce reliance on marketing statements and to support informed due diligence.
Step 1: Identify the Legal Entity
Verification should begin by identifying the exact legal name of the entity making the license claim. Trading names, brand names, and group references should not be relied upon for verification.
Step 2: Search the Public Register
The Authority’s public register should be searched using the legal name or reference number. The register confirms whether the entity is licensed and records authorised activities.
Step 3: Confirm Authorised Activities
Verification does not end at license status. Users should review the authorised activities listed and confirm that the services being offered fall within that scope.
Common Red Flags
- Claims of “full regulation” without specifying authorised activities
- Use of Authority logos or seals without permission
- Marketing language broader than register descriptions
- Group or affiliate claims that are not reflected on the register
Limitations of Verification
Verification confirms license status and scope only. It does not constitute an endorsement of financial performance, business practices, or product quality.
Conclusion
Proper verification relies on register information rather than promotional statements. Users are encouraged to perform verification independently before entering into any commercial relationship.