Application for licence to function as a tour operator

General information

It is necessary to gain a licence from the Icelandic Tourist Board in order to operate a travel agency or as a tour operator in Iceland. The service provider needs to apply for a licence at least two months before starting his activity.


In order to gain a licence the service provider:

  1. Has to be at least 20 years old
  2. Must be legally competent and may not, during the last four years, have been convicted of an offence that is related to a commercial activity and is punishable under the General Penal Code, the present Act, or the acts on limited liability companies, private limited liability companies, bookkeeping, annual accounts, bankruptcy or public levies.
  3. Hust be entitled under the law to dispose of his estate.
  4. may not have had a licence to operate a travel agency or act as a tour operator revoked within three years prior to the date of the application.

Necessary supporting documents:

  • Registration certificate from a business register or register of enterprises.
  • Certificate of the registration of a byname from a business register or a register of enterprises (if applicable).
  • Certificate of residency.
  • Police certificate.
  • Confirmation of ownership of estate from the relevant district court.

Other obligations


A travel agency selling packaged tours shall provide security for the reimbursement of money that a customer has paid for a package tour that has not yet taken place and for the customer's transportation home from a package tour, whether within Iceland or abroad, in the event of bankruptcy or the cessation of the travel agency's operations. The security shall also be sufficient to allow the customer to complete a package tour in accordance with the original itinerary of that tour.

The security may take the following forms:

  1. Money deposited in a recognised bank or savings bank in the name of the Icelandic Tourist Board
  2. A security issued by a commercial bank or savings bank, or accident insurance granted by an insurance company.
  3. Other security deemed comparable by the Icelandic Tourist Board


The application for a licence shall specify the name of the tour operator or travel agency and shall specify all alternate names that the party intends to use in his operations. It is prohibited to conduct business activities under names other than those specified in the licence without getting permission from the Tourist Board.

Laws and regulations

Further information


Application for licence to function as a tour operator