Identity & Onboarding

What is know your business (KYB)?

The due diligence process used to verify the legitimacy and ownership structure of a business entity before establishing a commercial relationship. KYB involves verifying the business’s registration, identifying its Ultimate Beneficial Owners (UBOs), screening directors and officers against sanctions and PEP lists, and assessing the business’s risk profile. KYB is essential for preventing shell companies and money laundering through corporate structures.

How it works

Example: A payment processor onboarding a new merchant conducts KYB by verifying the company’s articles of incorporation, identifying all shareholders with more than 25% ownership, and screening each UBO against global sanctions and adverse media databases.