Requires that Paragon’s financial and non-financial resources are appropriate in relation to the regulated activities that Paragon carries or seeks to carry on. Relevant factors in assessing appropriateness include:
• the nature and scale of the business carried on, or to be carried on, by Paragon;
• the risks to the continuity of the services provided by, or to be provided by, Paragon; and
• Paragon’s membership of a group and any effect which that membership may have.
Most importantly, not only must Paragon have adequate working capital to pursue its commercial aims, it must have, amongst other things, adequate business systems, IT systems and personnel to undertake all tasks that create an operational risk.
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