How to Become a Member - Introduction
This section of FINRA's Web site provides basic guidance for applicants preparing to seek membership in FINRA (Applicants), including a description of the various filing and qualification requirements and admission standards that must be satisfied before FINRA membership is granted. This is a general guide provided for the benefit of Applicants and should not be considered a replacement for the appropriate rules and regulations. Consult the applicable rules and/or contact the Centralized New Member Application (NMA) Department ((212) 858-4000) with any questions about filing the revised New Member Application Form (Form NMA).
If, after reviewing this section of the Web site, the Applicant needs additional information, help completing appropriate forms or clarification of registration requirements, the Applicant should contact the Centralized NMA Department or an application specialist in FINRA's Department of Registration and Disclosure at (301) 590-6500. Technical questions about the online Form NMA may also be directed to the FINRA Gateway Call Center at (301) 590-6500. Additional questions concerning the application process may also be directed to FINRA by email.
IMPORTANT: Effective June 26, 2008, FINRA implemented a revised version of the electronic Form NMA (revised Form NMA) and a new application filing process. See Applying for Membership below for details. (See also Regulatory Notice 08-14).
Some Applicants use service bureaus for assistance with completing membership applications. Electing to use a service bureau does not relieve an Applicant of its regulatory responsibilities, including the timely submission of complete and accurate registration-related filings. FINRA does not endorse or recommend any specific service bureau, but does provide a list of service providers that is intended to be used as a resource only. This list may not contain the names of all such service providers. Please contact the service bureaus directly with inquiries.
Before You Apply
Submitting a FINRA membership application s a serious undertaking and should be considered carefully. You may wish to consider alternatives to applying for membership depending on your desired goals. For instance, working for an existing member firm or managing the branch office of a member firm might achieve your objectives without going through this application process.
If you intend to file an application, you must fully understand all of the substantive and procedural requirements. Moreover, you must be in a position to provide, in a timely manner, information that addresses how you will satisfy the standards for admission and other applicable statutory and regulatory requirements. The first step is to read the NASD Rule 1010 Series and this section of the Web site in detail and, if you believe you are ready, order the FINRA Membership Kit and read the applicable FINRA and SEC rules and regulations in detail to ensure compliance therewith. You should contact the Centralized NMA Department ((212) 858-4000) if you have any pre-application questions concerning substantive filing requirements. Also, once a new membership application is filed, all further communications regarding the application will be with the Centralized NMA Department (see the "Filing Membership Applications" section).
Membership Kit
To facilitate the membership application process, FINRA offers a membership kit that includes a CD with links to the necessary forms and information required to submit an application for membership, register personnel and register any branch offices. To obtain this kit, send a check or money order made out to FINRA for $24.95 (includes shipping and processing) to:
FINRA
MediaSource
P.O. Box 9403
Gaithersburg, MD 20898-9403
Or fill out the MediaSource order form and mail it to the above address.
Membership Application Process
The NASD Rule 1010 Series sets out the substantive standards and procedural guidelines for the entire membership application and registration process. It is imperative that prospective applicants read and fully understand the application requirements and process before submitting an application. These rules require strict adherence by the Applicant to specific time deadlines. Failure to submit complete and accurate information in a timely manner can result in the rejection of the application at the time it is filed (i.e., for failure to file a substantially complete application) or lapse of the application (i.e., termination of the application for failure to completely and timely respond to requests for information) and loss of a portion of or all monies paid to FINRA. Therefore, it is important that applicants thoroughly review and endeavor to understand the standards for admission contained in NASD Rule 1014 as well as the application process as a whole before beginning an application.
All FINRA membership applicants must be submit applications online using an electronic Form NMA. On June 26, 2008, FINRA implemented a revised version of the electronic Form NMA, i.e. revised Form NMA, and a new application filing process (see Regulatory Notice 08-14). The Form NMA in effect prior to June 26, 2008, will eventually be retired (retiring Form NMA).
All FINRA membership Applicants must obtain New Member Application Entitlement (effective 6/26/08) in order to access Form NMA. The date on which an Applicant obtains these entitlements and begins completing Form NMA determines whether the Applicant should use the revised or retiring Form NMA.
Retiring Form NMA
Applicants that received FINRA entitlements BEFORE June 26, 2008, and began completing the retiring Form NMA may continue using that form and file via the electronic online filing system.
Revised Form NMA
Applicants that received FINRA entitlements BEFORE June 26, 2008, and did not begin completing the retiring Form NMA, must obtain new entitlements and file the revised Form NMA via the FINRA Firm Gateway.
Applicants that received FINRA entitlements ON OR AFTER June 26, 2008, must file the revised Form NMA via the FINRA Firm Gateway.
See Regulatory Notice 08-14 for details on the revised process and Form NMA.
Note that all membership applications filed with the revised Form NMA are processed by the Centralized New Membership Application Department (Centralized NMA Department) in FINRA's New York Regional Office ((212) 858-4000, Extension 5 - Membership Application). All new membership applications filed using the retiring Form NMA will be processed by the District Office for the District in which the Applicant will have its principal place of business.
Retiring Form NMA Application Process
If a prospective Applicant registered prior to June 26, 2008, for entitlement to the Form NMA and began completing the retiring Form NMA, the Applicant will be able to submit that version of the Form NMA—via the online system—after June 26, 2008. After the Applicant has completed and submitted the Form NMA with all appropriate attachments, the Applicant must submit certain items as hard copies via first-class mail, overnight courier or hand delivery to the District Office for the District in which the Applicant's principal place of business will be located. Deadlines for submitting these items are stated in the Form NMA and on the Form NMA confirmation and transmittal pages.
The following items cannot be submitted online:
On June 26, 2008, FINRA altered the membership application process. These changes are briefly described below. For additional details, see Regulatory Notice 08-14 and the Participant Guide (PDF 467 KB).
1. Fund the Applicant's CRD Account. Applicants will be required to fund, via electronic funds transfer, the general account from which the application, examination, state and other registration fees will be drawn. Initial payment of the application fee and funding for the Applicant's CRD account will no longer be made by hard-copy checks.
2. Submit Hard-Copy Forms. Applicants will need to complete and submit to Registration and Disclosure at the same time the following forms:
Applicants must complete and submit these forms before entitlements are granted to access the Firm Gateway and begin completion of Form NMA. Also, fingerprint cards will continue to be required in hard-copy form and should be submitted directly to CRD.
3. Access Forms via the Firm Gateway. The FINRA Firm Gateway provides consolidated access to many FINRA applications, including CRD and Form NMA. Upon notification that system entitlements have been granted (i.e., after FINRA processes an Applicant's hard-copy forms mentioned in 2. above), FINRA will provide applicants access to the Firm Gateway and they will be able to electronically submit: (i) Forms U4 for proposed associated persons; (ii) Forms BR for each proposed location; (iii) amended Form BD, as appropriate; and (iv) Form NMA. Note that only the revised Form NMA, not the retiring Form NMA, is accessible via the Firm Gateway.
