What we do
dRisk provides a broad range of advisory and consultancy services.
A major part of the dRisk consultancy business covers assisting companies to evaluate the business case for establishing a bank in the United Kingdom (UK) and, should the business case be approved, the subsequent application for a banking licence.
The range of companies seeking such a service can be varied and includes:
- overseas banks seeking to establish a subsidiary in the UK
- investment and other financial and commercial companies expanding their business by establishing international banking operations in the UK
- domestic UK businesses, for example money transmission businesses, that wish to evaluate the benefits of expanding into deposit and other products.
dRisk will provide a service to develop a business case, and if approved, this can be expanded into a business model, financial model, capital model and liquidity model, each of which forms along with stress testing forms the basis for the Internal Capital Adequacy Assessment Process (ICAAP) and the Internal Liquidity Assessment (ILAS) document forms a key part of any submission to the Financial Services Authority (FSA) for a banking licence.
FSA Requirements
dRisk will also assist with the creation of the other supporting documentation the FSA requires.
dRisk considers it important for any company contemplating applying for a UK banking licence to approach the process through clearly defined stages. The establishment of an operation of sufficient capability and quality to be granted a licence is costly, a disciplined and staged process will reduce these costs by ensuring that:
- the permissions required in the licence application closely matches the proposed business model
- ‘real options’ are retained to withdraw from the process should this be necessary in the light of changed circumstances.