By Meshack Masibo
In recent years, Kenya has emerged as one of the most vibrant and rapidly growing sports betting markets in Africa. Some of the most well-known betting companies operating in Kenya include: Sportpesa, Betika and Shabiki. The industry is very lucrative considering the fact that Kenyans bet an average of more than 155 billion shillings (1 billion USD) each year. However, the industry is also heavily regulated and to enter the market you require a licence.
Sports betting in Kenya is primarily regulated by the Betting Control and Licensing Board (BCLB) which is established under section 3 of The Betting, Lotteries, and Gaming Act (2023). The Body ensures that betting activities are conducted fairly, transparently, and legally. It has the power to issue licenses for various types of gaming activities, including sports betting.
If you are considering establishing a sports betting business in Kenya, it is crucial to understand the legal requirements and steps involved in obtaining a sports betting license.
REQUIREMENTS FOR OBTAINING A SPORTS BETTING LICENSE IN KENYA.
To apply for a sports betting license in Kenya, you must meet a set of requirements that ensure your business adheres to the laws and standards of the country. These requirements include:
A. COMPANY REGISTRATION.
You must establish a company in Kenya. The company should be registered with the Registrar of Companies under the Kenyan Companies Act. The company must be incorporated in Kenya. It can be a Kenyan-owned company or a foreign company operating in the country through a subsidiary.
B. PROPER DOCUMENTATION.
1. Submit a business plan with a detailed concept for the proposed Business, the minimum investment and sources of funding.
2. Attach important documents including;
a. A copy of the certificate of incorporation or registration, articles and memorandum of association for your company whose objects must include bookmaking.
b. A PIN Certificate and Tax Compliance Certificate from Kenya Revenue Authority.
c. A Certificate of Good Conduct for the company directors and the audited accounts for the Applicants’ other business operations for the last three (3) years, and evidence that none of them has pending litigation and if any, provide the case number, nature and status.
3. Demonstrate evidence of your capacity to mitigate excessive play and underage participation and the dispute resolution procedure you have in place.
4. Submit a broad statement on the choice of Kenya for the license applied for and the anticipated benefits to; the players, the Kenyan public, the Government of Kenya and your Directors and Shareholders.
5. Submit the names of Directors and Shareholders.
C. SUBMITTING THE APPLICATION.
Submit the completed application form and documents to the BCLB offices.
D. APPLICATION AND LICENSE FEE.
The applicant must pay an application fee of Kshs 10,000, an Investigation fee of Kshs 50,000 ( Local Director) and a of Kshs 500,000 ( Foreign Director) . These fees are paid upfront and are non-refundable. Other fees that are paid include a license grant of Kshs 200,000, an Annual License fee of Kshs 50,000, a Premises grant fee of Kshs 100,000, a Premise annual fee of Kshs 50,000 and a License and premises renewal fee of Kshs 5,000 each.
E. INSPECTION AND VETTING.
BCLB will conduct a thorough vetting process including site (office) inspections and a review of your business plan.
F. LICENCE APPROVAL AND ISSUANCE
Upon successful vetting, BCLB will issue you the gaming license allowing you to operate in Kenya.
In conclusion, by carefully navigating the application process, paying attention to the licensing requirements, and maintaining responsible gaming practices, you can tap into the billion shillings sports betting industry in Kenya.
In case you need assistance getting the licence you can reach me through info@masibolaw.co.ke
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