Are you prepared for the evolving landscape of beneficial ownership reporting?
We all understand the critical importance of staying ahead of regulatory changes to ensure compliance. With the recent updates in beneficial ownership regulations, it’s essential to equip your organisation with the right tools to navigate these requirements seamlessly.
Background
In April last year, the mandatory submission of beneficial ownership information was introduced in response to South Africa’s greylisting. This requirement mandates that anyone who receives a financial benefit directly or indirectly in a company’s issued capital, owning or controlling 5% or more of the company’s issued shared capital, must be disclosed and submitted to the Companies and Intellectual Properties Commission (CIPC).
Changes in Regulations:
Effective from April 15, 2024, CIPC announced that companies and close corporations must have up-to-date beneficial ownership information to file annual returns. Failure to comply can result in penalties, enforcement actions, and even deregistration due to non-compliance.
Requirements for Companies:
To comply with these regulations, companies need to ensure they have the necessary documentation in place, including a mandate to submit on behalf of clients:
- A register of share accounts
- A register of beneficial ownership (or a beneficial interest register for smaller companies)
- A shareholder organogram.
How GreatSoft Can Help with:
GreatSoft understands the challenges organisations face in managing beneficial ownership information. We continue to develop a comprehensive solution, incorporated into our Company Secretarial product, to streamline this process and ensure compliance with regulatory requirements. The following features are currently available in our product:
Features:
- Dedicated Dashboard: Our platform provides a fully automated dashboard that detects any changes to shareholders’ information and interests.
- Reminder and Visual Cues: Easily identify beneficial owners requiring resubmission through reminders and visual cues, ensuring no deadlines are missed.
- Role-Player Feature: Capture beneficial owners and companies not managed by your firm, attaching them to other shareholdings without the need for recapturing.
- Exporting Capabilities: Export beneficial ownership registers in the format required by CIPC, simplifying the submission process.
- Shareholder Organogram Generation: Generate shareholder organograms showing beneficial ownership relationships and holding interests, with the ability to certify the information.
- System Reports: Access various system reports providing full disclosure of beneficial owners, ensuring transparency and compliance.
Figure 1 – GreatSoft Company Sec user interface
Conclusion:
It’s imperative to proactively address the evolving landscape of beneficial ownership reporting. GreatSoft Sec offers a robust solution to streamline this process, allowing your organisation to remain compliant while delivering exceptional service to your clients. Contact us today to learn more and take the first step towards ensuring compliance with confidence.
