Crowdfunding services may be provided by a legal person who has obtained an authorisation granted by Latvijas Banka in accordance with Regulation No 2020/1503.

Qualification requirements for the crowdfunding service provider:

• persons involved in the management have adequate education and experience to manage the crowdfunding service provider;
• persons involved in the management and in the case of shareholders holding 20% or more of their share capital or voting rights with good repute and no criminal record in accordance with the requirements of the paragraph 3 of Article 12 of Regulation No 2020/1503;
• provision of own funds of at least EUR 25 000 or capital requirement (a quarter of fixed overheads in the previous year), if it is more than EUR 25 000, or insurance policy or a combination of own funds and insurance policy.

Regulation No 2020/1503 does not apply to:

• crowdfunding services provided to project owners who are consumers;
• crowdfunding offers with a total consideration exceeding EUR 5 000 000 over a period of 12 months. In excess of the limits specified, a financing offer must be organised in accordance with the requirements of the Financial Instrument Market Law;
• commercial activities related to the marketing of credit claims issued by credit providers on web platforms. Such commercial activity must be authorised by an investment firm or credit institution. Information on licensing other market participants is available on the website of Latvijas Banka.