Whose identity needs to be verified at my organization?
Whose identity needs to be verified at my organization?
All beneficial owners of a merchant need to be verified.
The U.S. government defines a beneficial owner as any individual (1) who directly or indirectly owns or controls 25% or more of the company, and (2) who directly or indirectly exercises “substantial control” over the reporting company.
Whether an individual has “substantial control” over a company depends on the power they may exercise over a reporting company. For example, the CEO or another senior officer of a company is considered to have substantial control over a company.
What if no one owns 25% or more of the company?
An individual controlling member should complete the owner section. Typically, we recommend someone who has “substantial control” over a company like a CEO or CFO.
