KYB (Know Your Business) is a comprehensive due diligence process used to verify and validate business entities, their ownership structures, and assess potential risks before establishing business relationships.
Key Components
- Business verification
- Ownership structure
- Risk assessment
- Compliance checks
- Financial analysis
Required Information
- Company registration
- Business licenses
- Ownership details
- Financial statements
- Operating history
Verification Methods
- Document validation
- Registry checks
- Background screening
- Address verification
- Director checks
Risk Assessment
- Business type
- Industry risks
- Geographic factors
- Financial health
- Regulatory compliance
Best Practices
- Regular updates
- Documentation
- Monitoring changes
- Risk scoring
- Compliance tracking
KYB processes help prevent business-related fraud and ensure regulatory compliance.