Know Your Customer – The process of a business identifying and verifying the identity of its clients and assessing their suitability, along with the potential risks of illegal intentions towards the business relationship. The term is also used to refer to the bank regulations and anti-money laundering regulations which govern these activities.


Know Your Business – The process of performing due diligence review of a business and industry. If your U.S. business is a regulated entity such as a financial institution (including banks and certain types of businesses), or if the value of the transaction warrants it, KYB is a legal compliance requirement to identify and verify the identity of beneficial owners of legal entity customers, subject to certain exclusions and exemptions at the time a new account is opened.