TABLE OF CONTENTS
What is a PSC?
A Person with Significant Control (PSC) is an individual or entity that has substantial influence or control over a UK-registered company, Societas Europaea (SE), limited liability partnership (LLP), or eligible Scottish partnership (ESP). They’re sometimes called ‘beneficial owners’.
These entities must identify and record all PSCs and report any changes in their details or the nature of their control to Companies House within 14 days. As a result, the PSC register is generally the most current source of information.
Most companies will have at least one individual or entity listed as PSC. There may be certain situations where an entity does not have a PSC surfaced. For more information regarding PSCs please refer to this gov.uk guide on PSC requirements.
Reviewing your client's PSCs is crucial for understanding the ownership structure and verifying the appropriate individuals.
Most PSCs are those who hold directly or indirectly:
- more than 25% of shares in the company
- more than 25% of voting rights in the company
- the right to appoint or remove the majority of the board of directors
- the right to exercise, or actually exercises, significant influence or control over the company.
How are PSCs surfaced within KYB Unwrap?
The First AML entity structure automatically labels individuals or entities with Significant Control via the ‘unwrap’ feature.
- Current PSCs, whether a Director and/or Shareholder or not, are added to the structure and labelled with a ‘Significant Control’ tag.
- PSCs who have ceased but remain a current Director and/or Shareholder are added to the structure and labelled with ‘Significant Control (ceased)’
To understand the specific type of control/ownership each PSC has, refer to the Entity summary report within the Manifest.
Understanding PSCs with Manifest
Users of the Manifest Table view can leverage the additional information on an individual or entity by clicking on the Controlling tag, to understand the types of relationships an individual or entity holds within a group of companies: