Know Your Customer
Barclays – KYC Structure Chart
We use our “Know Your Customer” process to identify, verify and gather records regarding your business’ structure and the key personnel who control and own it.
It’s a mandatory process that all banks have to go through with new and existing customers, to help protect us all against financial crime.
Key Officials of the business, such as the Managing Director and Finance Director, will be asked to complete a ‘Personal Details Form’ and provide identification such as a certified UK passport.
The rest of the information we require is then determined by creating a structure chart of the ownership of your business.
To help explain this, let’s use the example of the fictional company, ABC Ltd.
When investigating the structure we need to identify all individuals who hold a 10% or more shareholding in ABC Ltd.
In this case, the company is owned by XYZ Limited, Mrs Red and 123 Limited.
As Mrs Red’s shareholding is less than 10%, no further information is required from her.
For XYZ Limited and 123 Limited, we’ll need their registration details, including their country of incorporation if they are domiciled outside of the UK. And the upward ownership structure for each entity.
XYZ Limited is 100% owned by XYZ Holdings Limited and 123 Limited is 100% owned by 123 Trust, which is domiciled in Jersey.
As both entities have shareholdings that have not reduced below 10% of ABC's ownership, we'll need information on their ownership structures too.
And in the case of 123 Trust, we'll need the trust deed to confirm the related parties.
For the 123 Trust, we need the settlor, all individual trustees and all trust beneficiaries deemed to have a 10% beneficial interest in the income and/or assets of the trust, to complete a Personal Details form.
This arm of the structure chart will then be complete, as we have identified the physical individuals who own and control the shares ultimately invested in ABC Ltd.
For XYZ Holdings Limited, 75% is owned by XYZ Incorporated, registered in the USA and quoted on the New York Stock Exchange.
As these shares are publicly listed we need no further details.
However, 25% of XYZ Holdings Ltd is owned by BAR Incorporated, which is also registered in the USA.
As this is still a 10% interest in ABC Limited, we'll need to take our structure chart to a further level.
BAR Inc is 100% owned by Mr Green who is the ultimate beneficial owner.
To identify Mr Green we will ask for personal details.
The structure chart for ABC Limited is now complete and we can work with you to gather the rest of the information required to complete the process and help us to deliver on your requirements.