If you have selected Limited company as your business type, you will be asked to add details of all Ultimate beneficial owners (UBOs). This article will give more information about UBOs.
UBOs are individuals or organisations who, directly or indirectly, own or control 25% (or more) of the shares in the business, or on whose behalf a transaction or activity is being conducted.
Control of the business may be exercised through:
- A direct shareholding
- Intermediate holding companies
- Individuals who have decision making capacity with regard to the business
These are individuals who exert significant control over the company, have the power to manage the customer’s account, assets or transactions without requiring specific authority to do so, or who would be in a position to override internal procedures and control mechanisms. Examples of these individuals include power of attorneys, silent partners and guardians.
What constitutes control will depend on:
- The nature of the company
- The distribution of shareholdings
- The nature and extent of any business or family connections between the beneficial owners
If a trust directly or indirectly owns (through any contract, arrangement, understanding, relationship or otherwise) 25% of more of equity interests of a legal entity customer, the beneficial owner is the trustee.
Please provide the names and dates of birth of anyone who exercises control over the management of the company (e.g. CEO, COO, CFO.)