Company Verification

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What do you use to carry out ID checks on new engagements with companies?

For individuals I would usually take a copy of their passport or driver's license but not sure if this is sufficient for directors of LTDs along with the incorporation certficiate from Companies House?

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RLI
By lionofludesch
18th Dec 2019 13:18

I'd search Companies House for free.

If you don't do that, who's to say that the blokes saying that they're directors are actually the directors ?

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By MrDSGrace
18th Dec 2019 13:36

100% this is what I would do anyway, but I'm wondering if that ID approach is sufficient? Simply take the incorporation cert from CH and then ask for all of the directors' personal ID?

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RLI
By lionofludesch
18th Dec 2019 13:45

MrDSGrace wrote:

100% this is what I would do anyway, but I'm wondering if that ID approach is sufficient? Simply take the incorporation cert from CH and then ask for all of the directors' personal ID?

What else do you suggest ?

Suppose you could do one of these electronic verifications.

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By JDBENJAMIN
18th Dec 2019 13:55

Beyond the ID of the directors, not much else needs checking. You can see the company is real at Companies House, and that the directors' names, service address, and registered office match the ID docs, so that's all you need.

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Replying to JDBENJAMIN:
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By Wanderer
18th Dec 2019 15:10

JDBENJAMIN wrote:

Beyond the ID of the directors, not much else needs checking.

What about shareholders / members / ultimate beneficial owners who own or control > 25%?
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By JDBENJAMIN
18th Dec 2019 19:30

I'm assuming the directors are the shareholders, as they are in 95%+ of these cases.

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By Tax Dragon
20th Dec 2019 07:16

I thought the point of checks was to do away with assumptions?

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RLI
By lionofludesch
20th Dec 2019 09:25

There's only so much you can check.

It's a big assumption that Companies House records are correct from what I've seen.

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By Tax Dragon
20th Dec 2019 10:03

It was you that suggested using those records.

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By kestrepo
18th Dec 2019 17:35

I use a company called Credas to verify passports, right to work and also Anti-Money Laundering AML checks. It is all done via an App on mobile phones and gives a clear exportable report and costs a couple of pounds per check - you could charge it on! I have no affiliation to them but have found their system quite intuitive and easy to use and gives a basic audit trail in case it is ever needed in the future. Not sure I would like to just rely on a company search! If I am ever asked why I didn't spot a passport or other document was a fake at least I can prove that I have conducted myself professionally with a degree of due diligence:

https://www.credas.co.uk/

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David Winch
By David Winch
19th Dec 2019 21:36

It would be a good idea to look at Reg 28 of the MLR 2017
http://www.legislation.gov.uk/uksi/2017/692/regulation/28/made

It is specific and detailed about what info is required.
David

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