Appointed Representatives
Expert support whether you're becoming an AR or building your own AR network.
What you need to know
Understanding the AR model
Whether you’re looking to become an Appointed Representative (AR) or a Principal firm looking to appoint one, it’s essential to understand the responsibilities on both sides. The FCA holds Principal firms fully accountable for their ARs’ conduct, so robust compliance and oversight frameworks are non-negotiable.
As a Principal ourselves, we know what it takes to get this right, from onboarding to ongoing monitoring.
Key steps to becoming an AR
If you’re planning to operate as an AR, here’s what the process typically involves:
Find a Suitable Principal
Ensure your chosen Principal holds the correct FCA permissions for your business activities.Meet Fit and Proper Requirements
You’ll need to pass due diligence checks and demonstrate your competence, integrity, and financial soundness.Agree Terms in Writing
Sign a formal AR Agreement outlining your permitted activities and compliance responsibilities, we can help you review this.FCA Notification Process
Your Principal must notify the FCA at least 30 days before your appointment takes effect.Insurance Distribution ARs
If your activities involve insurance distribution, you must appear on the FCA Register before you can begin trading.
Why choose the AR route
For many businesses, the AR route offers an appealing alternative to direct FCA authorisation:
Faster Market Entry
Avoid the lengthy full authorisation process and start operating more quickly.Lower Regulatory Burden
Your Principal Firm handles the majority of regulatory oversight and reporting.Built-in Compliance Support
Benefit from the experience, systems, and structure of your Principal Firm, especially useful for smaller or newer businesses.
How we can help
We provide hands-on, tailored support whether you’re becoming an AR or managing ARs as a Principal:
For Principal Firms
We help design and implement effective oversight and monitoring frameworks that meet FCA standards and protect both your firm and your ARs.For Prospective ARs
We guide you through the onboarding process, help you understand your responsibilities, and review key documentation to ensure your AR arrangement is sound from day one.
Understanding your duties as a Principal Firm
Due Diligence
Assess fitness, propriety, financial stability, and suitability before appointment.
Oversight & Monitoring
Maintain regular reviews of your AR’s operations, governance, and conduct ensuring all polices and procedures are kept up to date.
Training & Competence
Provide ongoing training to ensure your AR meets regulatory standards (e.g. Consumer Duty).
Complaints & Reporting
Submit annual complaints and revenue data, notify the FCA of any material changes.
Risk & Compliance Management
Identify and mitigate potential risks; ensure all activity stays within the scope of the AR agreement.
Financial Resources
Maintain adequate financial resources and insurance to cover liabilities.
Whether you’re becoming an AR or building a network, the risks are real,
our compliance keeps you protected.
Get in touch, it's free to chat...
Give us a call on 01792 926 040 or fill out the form and one of the team will be in touch.
Alternatively, feel free to connect with us on LinkedIn.
