iDenfy’s fully automated KYB workflow for Sole Proprietorships offers a tailored approach for verifying sole proprietors and single-owner entities
Kaunas, Lithuania — November 20, 2024 — iDenfy, a Lithuania-based provider of ID verification and fraud prevention solutions, has announced a new update of its Business Verification solution for Sole Proprietorships, a specialized onboarding feature designed to verify sole proprietors and single-owner entities. This new tool enhances the Know Your Business (KYB) process by identifying, screening, and verifying sole proprietors and other businesses, ensuring companies can confidently onboard these corporate clients and avoid potential risks, such as money laundering or other fraudulent activities.
Single-owner entities and sole proprietors represent a substantial portion of businesses, with their individual structures and independent operation styles often making them excellent conduits for fraudulent activities. According to the Association of Certified Fraud Examiners, businesses with fewer than 100 employees experience a higher fraud frequency than larger organizations, with an average loss of $150,000 per fraud case.
The data shows that unlike larger corporations, which typically have internal compliance resources, singular entities may have limited oversight, which can introduce security risks to their partners. To address these concerns, iDenfy’s new Sole Proprietorship solution for KYB compliance provides a robust system of checks tailored specifically to identify and validate sole proprietors and small business owners, enhancing compliance and helping companies avoid threats.
“Even small entities and sole proprietorships can present real security risks for the businesses our partners interact with. Our new KYB workflow was designed with these unique risks in mind, offering companies a straightforward solution to verify singular entities so that they can confidently work with sole proprietors and smaller clients,” said Domantas Ciulde, the CEO of iDenfy.
The KYB workflow for Sole Proprietorships provides thorough verification and risk assessment, allowing companies to screen small business clients using comprehensive background checks. This includes identifying politically exposed persons (PEPs), conducting global sanctions checks, and analyzing adverse media coverage—all essential steps for ensuring that singular entities meet the same rigorous compliance standards expected from larger corporate clients. By aligning with KYB and Anti-Money Laundering (AML) protocols, iDenfy ensures that every onboarding process is secure and tailored for the unique risks that sole proprietors may cause.
“As digital fraud rises, companies can no longer overlook the potential threats smaller clients pose. Our KYB solution equips businesses to handle even high-risk entities, allowing them to maintain robust security standards without sacrificing efficiency.” Domantas Ciulde added.
Beyond traditional identity checks, iDenfy’s KYB workflow incorporates advanced fraud detection mechanisms that help companies identify and mitigate red flags before they become issues. Proxy IP detection, high-risk profiling, and continuous activity monitoring are integrated into the onboarding process to provide companies with real-time insights into potential risks. This level of protection allows businesses to confidently work with individual clients and sole proprietors without causing any threats to partners’ security or compliance standards.
Domantas Ciulde, CEO of iDenfy, empathized: “Partnering with smaller clients should never compromise a company’s security. Our goal is to provide businesses with the tools they need to manage and mitigate risks. With our KYB Workflow, businesses can be assured that their compliance and security needs are met, whether they’re onboarding a major corporation or a sole proprietor.”
The KYB workflow’s activity monitoring tool further enhances security by enabling companies to track the compliance rates of all onboarded clients, identify missing or incomplete information, and access real-time activity logs for every document upload. This oversight helps to prevent compliance lapses and ensures that any potential red flags are addressed in advance to provide peace of mind to businesses working with smaller clients.
About iDenfy
iDenfy, a platform of identity verification services and fraud prevention tools, ensures AML, KYC, and KYB compliance for every company — from large-scale businesses to small organizations. The rapidly growing business was named the best Fintech Startup in 2020. Recently, iDenfy was featured in G2’s Autumn 2024 report as the leading identity verification software.
For more information and business inquiries, please visit www.idenfy.com.
Media Details.
Company Name: iDenfy
Contact Name: Aurimas Kybartas
Email: aurimask@idenfy.com
Phone: +37067644539
Country: Lithuania
Website: www.idenfy.com