What is white label company formation?
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White label company formation is an arrangement in which one provider performs company formation and related corporate work while a second firm presents that service to the client under its own name. The client contracts with, is invoiced by and deals with the firm it already knows. The provider stays behind the brand. In Ireland the provider still carries its own regulatory obligations, including anti-money-laundering obligations on the end client, regardless of whose name is on the invoice.
How is a white-label partnership different from a referral?
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In a referral the client becomes a Chern & Co client: we contract, invoice, set the price and own the relationship, and you receive a one-off commission on that client's first order. In a white-label partnership the client stays yours: you contract, invoice and set your own price, you buy the service from us at a partner price, and the partner price applies to every order you place, not only the first one.
Do I need a TCSP authorisation to offer company formation to my clients?
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If you are a member of a designated accountancy body in Ireland, or an Irish solicitor or barrister, no. Section 84(1) of the Criminal Justice (Money Laundering and Terrorist Financing) Act 2010 places you outside Chapter 9, which is the chapter that requires an authorisation. If you are outside Ireland, the question is answered by your own jurisdiction's rules, and placing the Irish work with an authorised Irish provider is the straightforward route in any case.
I am an Irish accountant or solicitor. Can I take a referral commission?
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That is decided by the professional rules that apply to you, not by us. The codes of ethics of the Irish designated accountancy bodies require a member in public practice to disclose a referral fee or commission to the client and to obtain the client's agreement in advance, and a fiduciary relationship requires the client's informed consent before the member retains it. Our Referral Partner Agreement reflects this: commission is payable only where the payment is lawful and permitted under the professional, regulatory, fiduciary, employment or ethical rules that apply to you, and you are required to make the disclosures those rules call for.
For many Irish practices the white-label model is simply cleaner. You buy a service from us and resell it. There is no third-party payment, so there is nothing to disclose and no conflict to manage. This is guidance on how our programme is built, not legal or professional-conduct advice on your own position.
Who is responsible for AML and KYC on my client?
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Chern & Co. We decide the onboarding, customer due diligence, sanctions screening and client acceptance measures for every client and service, and we cannot delegate that decision. Under a white-label partnership you can collect the information and submit it on your client's behalf, or we can send our form to the client directly. Either way the assessment and the acceptance decision are ours.
Is there a joining fee or a minimum volume?
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No joining fee, no minimum volume, no obligation to send a set number of clients, and no exclusivity in either direction. You can work with other providers and we work with other partners.
Can I set my own price to my client under white-label?
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Yes. Under the White-Label Agreement you determine your resale price. You keep the difference between the partner price and the price you charge, and you carry the commercial risk of your own markup, discounting, collection and bad debt.
How long does an Irish company formation take?
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The Companies Registration Office operates two routes. The Fe Phrainn scheme targets five working days for a correctly completed Form A1 and the ordinary route targets ten. In practice we plan on ten to fifteen working days from a complete file, because the clock only starts once the documents are right and the client's anti-money-laundering checks are done. Most delay in Irish formations is caused at the file-preparation stage, not at the Companies Registration Office.
My client has no EEA-resident director. What then?
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Section 137 of the Companies Act 2014 requires an Irish company to have at least one director resident in the European Economic Area. A company without one must either hold a section 137 bond, which runs for a minimum of two years, or obtain a section 140 certificate from the Registrar confirming that the company has a real and continuous link with an economic activity in the State. We offer both routes, and we also provide a resident director service where that is the better answer for the client.
What happens if something goes wrong?
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Our agreements set a liability cap and an escalation route, and both are in the agreement you sign rather than buried in terms published elsewhere. Your Partner Manager is the first escalation point. We would rather you raise a problem early than discover it through your client.
How do I end the partnership?
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Either side can end the agreement on thirty days' written notice, and immediately for a material breach that is not remedied. Commission already earned is not affected.