Beneficial Ownership

What is a Beneficial Owner?

The term ‘beneficial owner’ refers to an individual who has direct or indirect ownership or control of a company.

What is the purpose of Beneficial Ownership?

The Companies and Intellectual Property Commission (CIPC) plans to introduce a Beneficial Ownership (BO) register to have a record of individuals who own or control legal entities. This registry aims to assist law enforcement agencies in their investigations of identifying the ultimate owners of a company and to mitigate the risks identified in the national risk assessment, where legal persons were found vulnerable to abuse for money laundering and terrorism financing activities.

Documents Required

– Original Mandate

– Certified ID

– Securities Register (Shareholder Certificate)

– Beneficial Interest Register

– Disclosure Form

– Beneficial Ownership Registration Certificate

Disclosure Form:

• The form should contain a hierarchical entity-relationship diagram
• Any trusts, should be reflected in the document
• The document should assist the regulator in understanding how the company identified the beneficial owner(s)