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iDenfy launches KYB workflow for sole proprietors

Friday 15 November 2024 10:52 CET | News

iDenfy, a Lithuania-based regtech firm, has introduced a new KYB verification workflow for sole proprietorships.

The solution simplifies the onboarding process for sole traders, small businesses, and legal entities through a unified dashboard.

iDenfy launches new KYB verification workflow for sole proprietors

The new KYB feature offers a customisable, automated approach, allowing businesses to adjust verification steps based on client needs. The platform simplifies document collection and verification with automated questionnaires and templates, improving efficiency for compliance teams. This integrated system meets the specific requirements of sole proprietors, who are personally responsible for their business's debts and profits, similar to larger organisations.

iDenfy’s platform supports compliance by automating the collection of necessary information, minimising manual assessment tasks, and reducing onboarding times. It provides extensive verification services, including credit bureau checks, AML screenings, and sanctions reports. This ensures a thorough assessment of the client’s risk profile, identifying politically exposed persons (PEPs) or individuals with high-risk financial histories.

The solution incorporates specific rules for identity verification using official documents, helping maintain a consistent experience. It also screens clients against global sanctions lists from institutions like the World Bank, Interpol, SECO, and Europol to prevent onboarding individuals linked to illegal activities.

In addition, iDenfy’s KYB platform monitors adverse media coverage and analyses proxy IP addresses to detect reputational risks. It allows companies to implement customised automation rules, ensuring compliance with stringent industry regulations. The platform’s activity monitoring feature provides real-time alerts for missing information, tracks the compliance status of onboarded members, and logs all document uploads for more transparency.

iDenfy's latest KYB upgrade aims to empower businesses with advanced compliance tools, offering a user-friendly experience while maintaining robust security standards.

Tighter rules for sole proprietorships boost demand for KYB tools

Regulatory changes across key markets have intensified compliance requirements for sole proprietorships, reflecting broader efforts to combat financial crime and improve transparency. Authorities in the EU and the US have tightened AML regulations, expanding the scope of KYB checks to include smaller entities like sole traders. This shift is driven by a rising awareness of the vulnerabilities associated with sole proprietorships, which often lack the corporate safeguards of larger organisations. As a result, businesses must implement more sophisticated verification processes to meet new standards, mitigating risks tied to fraud, tax evasion, and illicit financial activities. The increased regulatory scrutiny is reshaping the onboarding landscape, prompting a surge in demand for automated compliance tools that can handle the complexity of verifying individual business owners efficiently.


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Keywords: product launch, KYB, regtech, compliance, AML
Categories: Fraud & Financial Crime
Companies: iDenfy
Countries: Europe
This article is part of category

Fraud & Financial Crime

iDenfy

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