Banking Non UK Resident Shareholder

[ash799]

Hello Everyone
Can anyone recommend a high street bank that does not have an issue for opening a business account for a Ltd company, Director and 50% Shareholder is British, but the other 50% shareholder is foreign, does not reside or visit the UK.
Currently banking with Revolut, they opened the account with no issue after id verfications for both director and shareholder. Issue is revolut do not accept bankers drafts/cheques.

High street bank so far applied for
Metro - Emailed me today saying as shareholder is not a british citizen they cannot offer a account.

HSBC - auto populated information that the british citizen director is 75% or more shareholder, unable to change it to 50% and add other 50% shareholder, apparently they pulled this information from companies house, when clearly the latest confirmation statment shows 50% shareholder, maybe their system hasnt updated, so do i go ahead with HSBC showing the british citizen director as 100% shareholder, and once account is active send in the shareholder agreement to update their systems.

Natwest - they correctly autopopulated the information from companies house, 50% shareholder is the director and 50% shareholder is a non uk resident, gave all the information and its been under review for the past 4 days.

Any recommendations from anyone that has been in a similar postion?

Thank you!

 

[elaine@cheapaccounting]

Money Laundering reg are scuppering many such set ups it would seem.

May I suggest looking at why you need to accept cheques and bankers drafts ..... perhaps looking at a different way of receiving funds if at all possible would mean you can stay with Revolut.

It's just a suggest ..... solve the problem that creates the problem

Ignore me if this is not viable

 

[DontAsk]

Does the 50% shareholder need to be a signatory on the bank account? Is that the issue?

Or is it simply that they are not interested even when the account is solely operated by you?

 

[elaine@cheapaccounting]

Does the 50% shareholder need to be a signatory on the bank account? Is that the issue?

Or is it simply that they are not interested even when the account is solely operated by you?

These days Money Laundering rules require checks on all directors and shareholders. Non resident directors / shareholders can some times present issues.

Can I just ask the OP what country is the other shareholder resident in.

There is a sanctions list of countries

 

[nelioneil]

Is it a dealbreaker that Revolut do not accept cheques? Seems a minor issue considering the hoops you had to jump through for getting a bank account as a non resident.

 

[Frank the Insurance guy]

Issue is revolut do not accept bankers drafts/cheques.

Are you sure? I thought that you can pay in a cheque using the app - its all done by taking a photo of the cheque?

 

[elaine@cheapaccounting]

Are you sure? I thought that you can pay in a cheque using the app - its all done by taking a photo of the cheque?

According to their web site they don’t accept cheques:

https://help.revolut.com/business/help/receiving-payments/transfers-info/does-revolut-business-accept-cash-deposits/

Most other banks do allow you to bank them via an App when the App is working which NatWest’s isn’t today

 

[Daybooks]

Your issue is probably with the shareholding on the non uk director and shareholder. The company appears not to be capable of being controlled within the UK.

If you find a bank willing to accept please let me know and I’ll be sure to avoid them.

Your choice to act for them a thus review your anti money laundering regulations if applicable.

 

[ash799]

Hi thank you for the input.
@DontAsk No the shareholder does not need to be signatory, it will only be me (uk british director)

@elaine@cheapaccounting The shareholder is a Pakistani resident, i do beleive Pakistan is not on the sanctions list.

@neiloneil Yes we have some customers that want to pay via cheque/draft, and cannot beleive that revolut do not accept cheques.

@Daybooks according to my limited research HSBC, Natwest and Barclays do accept non uk shareholders up to 50%, sorry if i didnt clarify but the shareholder is not director, the director is a uk british citizen with a 50% shareholding and PSC of the limited company, the Pakistani national is 50% shareholder only.

I will update if they do accept, current status
Natwest - still under review
HSBC - I went with the autopopulated application form, and if approved then immediatly update the shareholding structure, ( as advised by customer service)

Thanks for the replies.