To verify the identity of a UBO, the document needs to have the person's name, photo and date of birth ─ if not, we'll ask for a new, acceptable document. Here are the documents we accept: Passport (photo page only)
Perform AML and KYB checks to identify the Ultimate Beneficial Owner. If it all looks good, your compliance officer can proceed with the standard anti-money laundering and know your business checks. Both of these aim to essentially 'background checks' which should reveal any suspicious transactions or relationships.
Common thresholds used to define a UBO include those who own at least 25% of the company's shares, hold more than 25% of the voting rights, or otherwise exert control over the business through other means such as decision-making power.
With respect to the requirement to obtain beneficial ownership information, financial institutions will have to identify and verify the identity of any individual who owns 25 percent or more of a legal entity, and an individual who controls the legal entity.
A UBO is the one with ultimate control over the business. They are a natural person who owns or controls, directly or indirectly, at least 25% of the company's share capital or at least 25% of the voting rights or have the right to appoint or dismiss a majority of the managers or directors.
Generally, someone who holds at least 25% of the capital stake, voting powers, and/or profit rights for an asset is considered a beneficial owner (or ultimate beneficial owner, if their ownership share is among the highest for that asset).
Register and log in to eCitizen (www.ecitizen.go.ke). Select Ministry of Lands and Physical Planning. Choose the land search option, enter the title deed number, and pay the fee. Download and review the search results to confirm ownership details.
What constitutes beneficial ownership? The U.S. government regulation defines “beneficial ownership' as being made up of two prongs (1) Ownership Prong and (2) Control Prong. A beneficial owner is an individual, if any, who, directly or indirectly, owns 25% or more of the equity interest of a legal entity customer.
According to the Financial Action Task Force (FATF) definition, an ultimate beneficial owner (UBO), “refers to the natural person(s) who ultimately owns or controls a customer and/or the natural person on whose behalf a transaction is being conducted.
To obtain the Significant Beneficial Owner (SBO) ID, an individual must: Submit a declaration using Form LLP BEN-1 to the reporting Limited Liability Partnership (LLP) if they meet the SBO criteria (e.g., holding at least 10% of contribution, voting rights, or profit participation).
There are three types of ultimate beneficiary: 1) Directors holding a formal office from the Board of Directors such as the CEO, the CFO or the treasury manager, and “deputy” corporate officers in the general sense. You are required to provide a list of all persons holding a formal office from the Board of Directors.
Verify identities: Confirm the identity of potential UBOs through official identification documents, such as passports or driver's licenses, to ensure accuracy and legitimacy.
Types of identification we accept
To verify the identity of a UBO, the document needs to have the person's name, photo and date of birth ─ if not, we'll ask for a new, acceptable document. Here are the documents we accept: Passport (photo page only) National ID card (with the exception of US military IDs)
A company without a registered UBO will not be able exercise its voting rights at the General Meeting or to make decisions as a sole shareholder.
Title deeds and documents are legal papers proving your right to own real property and are vital during a real estate transaction. These documents show legal ownership of tangible property. They detail the property's history, including previous ownership and changes in ownership structure.
Ultimate Beneficial Ownership (UBO) is the individual or entity that ultimately owns or controls a company, partnership, trust, or other legal entity.
While jurisdictions may interpret the specifics of this definition differently, it is commonly agreed that an ultimate beneficial owner or UBO owns more than 25% of a company's shares, or controls more than 25% of the voting rights.
A beneficial owner is an individual who ultimately owns or controls an entity such as a company, trust or partnership. 'Owns' in this case means owning 25% or more of the entity. This can be directly (such as through shareholdings) or indirectly (such as through another company's ownership or through a bank or broker).
The definition of who constitutes a UBO varies between jurisdiction, but generally a UBO is defined as an individual who holds a minimum of 10-25% (dependent on jurisdiction) of capital or voting rights in the underlying entity.
A beneficial owner is defined as any individual who, directly or indirectly, either exercises substantial control over a reporting company or owns or controls at least 25 percent of the reporting company's ownership interests. Every LLC will have at least one beneficial owner.