5 Tips to Opening a European Business Bank Account

Here are some useful tips to opening European business bank accounts and guidelines to help you navigate the European banking system and onboarding process. The banking world is constantly advancing and evolving. The account opening procedure is becoming progressively more challenging especially when you are opening a business bank account and need to abide strictly by KYC regulations and AML procedures. So be prepared to provide the bank with a ton of information and methodically go through a complex process when applying for your business bank account. That said here are a few tips to make the process easier:

  1. Keep it Simple

Make it easy for your bank to understand your company, its directors and principle shareholders. This can be done with a face-to-face meeting; remote web conferencing or by presenting identification papers and supportive documents. Without clearly identifying the lead players in your company the bank will reject your application for a corporate account.

  1. Full Disclosure

There is no point in trying to hide any of the facts or providing erroneous information. In this day and age we all leave a digital footprint that is easily traced and verified. The bank compliance department can access all the information they need about prospective clients including information you would prefer not to share. They will verify all the information you give them and have a clear idea of your company, directors and shareholders before giving the green light to your new business bank account.

  1.  Real Directors Only

You might think you can impress the bank by associating a particular respected individual with your company and creating a fictitious role for him in your enterprise. If you appoint a director or other official in your business then they must serve a real function in the company. Like all other information you provide the bank your directors will be under scrutiny by the compliance officer. An interview may be necessary and references verified before your account can be opened. If a discrepancy is found; if your director is not playing a true role in the company or if he is not who he claims to be your application will be rejected.

  1. Be Organized

When applying for a new business bank account you will be provided with a list of required documents. It is important to gather these documents in an organized, neat, easily understandable package and submit it to your bank or the financial institution where you plan on opening an account. Insure that all the required documents are present and that you submit the documents to the bank in a timely manner. This can affect how you are treated at the bank, whether you are taken seriously and seen as a professional. If you provide all the required documents as requested the bank officials will find it easier to process your application and not be prompted to request further documentation.

  1. Keep it Clean

If the information you provide in your Euro bank account application is not 100% correct, honest and transparent it may raise concerns on the part of the bank. Examples of bad practice when applying for a corporate account includes giving an incorrect address; hiding facts about the company’s activities; creating fictitious employees; incorporating your company in an unreliable jurisdiction or hiding your financial history.

If you have any questions feel free to contact us.