Ultimate Beneficial Owners (UBO): overview and document requirements
Providing your company's Ultimate Beneficial Owner (UBO) details is mandatory to finalize your account creation. In this article, we'll answer common questions about UBOs and document requirements for different countries, providing clarity for companies, self-employed individuals, and associations.
Organization ownership
In the third onboarding step, we'll ask, "Who Has Ownership at Your Organization?" specifically regarding UBOs. Let's clarify what UBO means at Swan.
UBO definition
A UBO is a person that ultimately benefits from and controls a company.
For legal entities with legal capacity, you are a UBO if you:
Have more than 25% ownership or voting rights.
Have ultimate control.
Are a legal representative in a company that doesn’t meet the above criteria.
For legal entities without legal capacity:
Trust agreement: all parties are UBOs.
Joint possession: all joint possessors are UBOs.
Providing UBO information
1. UBO information
When providing your company's UBO information, you might face three scenarios:
Autofill: the UBOs personal data is filled in automatically. Double-check for accuracy.
Partial fill: some personal data is included but there is missing information. Add the missing information.
No data: if no personal data is provided, complete all required details from the start.
2. Type of control exercised
This refers to the UBO status based on the level (%) of control or influence a person holds within a company. If you're unsure, here are some examples to clarify:
Over 25% ownership: automatically a UBO
No one owns over 25%: legal representative becomes UBO
Exactly 25%: not automatically a UBO and the legal representative becomes UBO
3. Direct versus indirect ownership
You must share your company's ownership structure:
Direct ownership: your UBO directly owns or controls a company, a simple structure.
Indirect ownership: ownership is through other companies or entities. For example, if your UBO owns Company A, and Company A has a share in Company B, it's an indirect ownership.
Please ensure that the information you provide corresponds with what is stated in your company's UBO declaration.
Regulations
Information required by law
We collect UBO information to follow regulations that support transparency and prevent financial crimes, such as money laundering and terrorism financing.
If your company is under the ownership of another company, you're required to submit the official proof of registration document for the owning company, such as a Kbis extract for French companies. Both companies will undergo anti-money laundering and fraud screening.
UBO documents by country
For requirements specific to the Netherlands, please consult our article on UBO Requirements for the Netherlands.
If you have further questions, submit a request to Swan Support.