Automate your entire onboarding process for business clients (KYB).

KYB, or "Know Your Business," is a due diligence process where companies verify the identity and legitimacy of a business. This helps prevent money laundering, terrorist financing, and other illegal activities by ensuring the business and its stakeholders are authentic and trustworthy.

KYB (Know Your Business) and KYC (Know Your Customer) both follow AML regulations to prevent money laundering. KYC verifies individual customers, while KYB focuses on businesses and their stakeholders. Essentially, KYC is for identifying people, and KYB is for assessing companies.

KYB regulations are laws and guidelines that require businesses to verify the identity and legitimacy of other businesses they work with. In the US, for example, these regulations include the Bank Secrecy Act, USA PATRIOT Act, and FinCEN rules, which aim to prevent money laundering and financial crimes. Similar regulations exist globally, such as the EU's AML directives. These rules ensure businesses assess and manage risks in their relationships to avoid illicit activities.

KYB ensures compliance with Anti-Money Laundering (AML) and Counter-Terrorism Financing (CTF) regulations, reducing the risk of financial crimes. It helps businesses onboard legitimate partners, build secure B2B relationships, and increase trust, leading to higher conversion rates. KYB also reduces operational costs by streamlining verification processes and minimizes fraud by verifying the authenticity of business partners.

Banks, financial institutions, fintech, and crypto companies are legally required to conduct KYB verification. Additionally, insurance firms, online marketplaces, payment service providers, and large corporations in various industries can benefit from KYB. Implementing KYB helps prevent fraud, ensures compliance, and enhances trust and safety with all business partners.

A UBO, or Ultimate Beneficial Owner, is the person who ultimately owns or controls a business, either directly or indirectly. Identifying UBOs is key in KYB processes to understand the source of funds and who benefits from the business. This helps assess risk and ensure compliance with regulations by verifying the legitimacy of the owners.

Automated KYB processes use technology to streamline data gathering, verification, and risk assessment with minimal manual intervention. This includes collecting and verifying company registration documents, addresses, licenses, and the identities of managers and owners. Key steps involve identifying UBOs to ensure legitimacy and prevent illegal activities. Continuous monitoring of business partners helps detect suspicious activities and reduce fraud risks, ensuring compliance with AML regulations.

Automated KYB processes can save up to 90% of the time compared to manual methods. Benefits include faster onboarding, reduced human error, continuous monitoring, and improved compliance with regulations. This efficiency also enhances fraud detection, increases trust, and allows businesses to focus on core activities.

Silt's automated KYB process is superior because we use our own technology and handle everything in-house. We don't rely on third parties, ensuring faster updates and greater control. If a client wants to remove or modify features, we can easily accommodate that. Our system is customizable and adaptable to meet specific client needs, making it highly flexible and efficient.