Business Accounts Documentation and Procedures with Beneficial Ownership

There are many types of business accounts with many different ways to do business at banking today. It can be challenging to determine who is authorized to open, close and transact business when dealing with so many business entities. In addition to opening accounts in person for businesses, we now bank businesses online, with debit cards and through remote deposit. Because of these multiple entities and various approaches to opening accounts numerous questions arise. How do we set up these accounts and then change them as the businesses change? What happens when a partner dies? What happens when the sole proprietor dies? Can you keep the same EIN if a sole proprietorship incorporates? What if the LLC members are other businesses? How do they sign? We will look at tax issues when a business is disregarded and reported in a different tax number. And the list of questions goes on. Understanding designations, rules and authority on all different types of business accounts can assure that you are taking the proper precautions and can assist you in avoiding errors that can be costly to your organization.

It is also time to review our business accounts opening procedures and add what will be impacted with New Customer Due Diligence rules. During the program we will cover business account documentation, changing signers and rights at death. This program will address how to complete beneficial ownership forms, how to script the business account interview to include beneficial ownership, purpose, and nature questions. You will receive a business documentation handout to assist you in creating checklists plus some sample situations which will demonstrate how to run your CIP on the business, signatories and beneficial ownership.

• Sole Proprietorship Accounts
• Partnership Accounts
• Corporations
• Limited Liability Companies
• Nonprofit organizations
• Exemptions for CDD, Exclusions for CDD
• Nonprofit corporations
• Record retention
• Developing a risk script for business accounts
• Mapping Multi-tiered entities
• Changing Signers
• Who gets what at death