Application FAQs

If you’re in the process of applying for membership, and you’ve run up against a query, you may find the answer in these FAQs.

Can I join as a start up company and how long does the process take?
Yes, brand new businesses or start-up companies can join ABTA and we'll require an opening balance sheet and future financial projections all of which are part of the application form. The process takes approx. 6-8 weeks but is dependent on the applicant.

Does my business need to have started trading before I can apply for ABTA Membership?
No, but it should begin trading before we can admit you in to Membership and we'll work with you to achieve that goal offering you membership when you’re ready.

Can I join as an overseas company?
Yes, all we require is that you carry on business in the UK, for example sell or offer for sale travel arrangements to the UK market.

Can my business be based from home?
Yes, there is no requirement to operate from either a shop or office based premises, even an on-line business can join.

Do you give advice for start up companies?
We are unable to give advice on how to start a travel agency or tour operator business. However, once you become an ABTA Member we have a whole range of resources to help support and promote your business and to ensure you're operating within the law.

What happens if I conduct business as both an agent (retail) and as a principal (tour operator)?
You cannot choose to have only part of your business in membership i.e. only activities conducted as an agent. You will be admitted as a dual Member and receive two different ABTA numbers, but will only have to complete one application form.

I already have an ATOL for my flight packages and want to start selling packages as an agent for other operators, what are ABTA's requirements?
As an ATOL holder and acting as a principal, any activities sold under your ATOL will be financially protected with the CAA and you don’t have to bond these sales with ABTA again. If you commence activities as an agent for other tour operators you will be required to comply with our financial criteria and provide ABTA with a retail bond based on your gross retail turnover.

I conduct activities as both agent and principal for the sale of non-licensable activities, how much working capital do I require?
Where you conduct activities as an agent you are required to maintain a minimum level of working capital of £15,000 during the new Member period of three years. Where you conduct non-licensable activities as a principal which you are financially protecting with ABTA and these activities either i) make-up 30% or more of your total turnover or ii) exceed £500,000 then you are required to maintain net recoverable current assets equivalent to at least 4% of total principal business (ATOL public sales plus non-licensable turnover which is to be bonded with ABTA).

Do I have to comply with ABTA's financial criteria?
The financial criteria has been designed to ensure that ABTA Members are financially sound thereby giving added confidence to consumers. You are required to comply with the criteria if you either i) conduct activities as an agent or ii) conduct non-licensable activities as a principal which are to be financially protected with ABTA by way of bonding. For the latter, it is a legal requirement to provide financial protection under the Package Travel Regulations if you are selling packages. However, you will be exempt from having to comply with our financial criteria if you elect to financially protect your non-licensable activities by way of financial failure insurance.

Do I need Public/Product liability insurance?
If you're a principal (tour operator) this is a legal requirement under the Package Travel Regulations, however ABTA require all principal Members to have insurance in place whether they sell packages or single element sales (e.g. accommodation only). We can provide you with a list of insurance providers upon receipt of your application form.

Is there a requirement for minimum turnover, profit margin or trading period?
No, there are no requirements for any of the above.