This section is designed to help guide new registrants through our rigorous registration process.
The better informed we are about your business before you register, the better we can allocate our resources to ensure we are fulfilling our mandate. It will also increase your ability to stay compliant with securities regulation.
What to Include in a Business Plan
- Executive summary
- Nature of the business
- Mission statement (philosophy)
- Identify shareholders, affiliates, related parties, management, and permitted individuals (provide background)
- Organizational chart and ownership chart
- Related party chart
- Business objectives (short and long term)
- Market analysis
- Target market
- Business goals and strategies (including implementation)
- Marketing (what and how)
- Policies and procedures (set out in a separate PPM)
- Human resources plan (recruitment, training, and staffing)
- Three-year financial projection
- Risk management (identify business/operational risks and mitigation)
- Timetables and milestones
What to Include in a Policy & Procedure Manual (PPM)
- Compliance function and process
- Ultimate Designated Person's (UDP) responsibilities and duties (daily, monthly, and annual)
- Chief Compliance Officer's (CCO) responsibilities and duties (daily, monthly, and annual)
- PPM updates and acknowledgement to read
- Branch and head office supervision
- Registration and renewal of registration
- New account opening procedures, including KYC and suitability (cradle to grave process)
- Account supervision
- Know-Your-Client (KYC) update process (including frequency)
- Money laundering and anti-terrorism compliance
- Proxy voting
- Outside business activities
- Custody and segregation of client assets
- Trade confirmations and account statements
- Disclosure when recommending related party or connected securities
- Subscriptions and redemptions (cradle to grave process, including required documents)
- Personal trading
- Insider and early warning reporting
- Disaster recovery and business continuity plan (including incapacitation of key personnel)
- Oversight of outsourced services
- Advertising, sales communication, and other client communications
- Complaints
- Referral arrangements and, if applicable, soft dollar arrangements
- Borrowing for securities purchases and disclosure to clients
- Human resources (hiring and training)
- Conflicts of interest and disclosure to clients
- Tied selling
- Capital requirements, monitoring capital adequacy, and how excess working capital is calculated
- Bonding and insurance
- Books and records
Clarification: When considering your application, we may request a meeting with the Chief Compliance Officer (CCO) and the Ultimate Designated Person (UDP) of the firm to understand the firm’s business objectives.