Also called: Ultimate beneficial owner
What a UBO means
Companies can be stacked: an operating company owned by a holding company owned by another vehicle. The UBO is the human at the end of that chain, or the person who otherwise exercises control (for example through voting rights or the ability to appoint directors), even if their name is not on the invoice.
Why letterhead is not enough
Sanctions, bank onboarding and fraud checks are aimed at people as well as entities. If only the trading company is named, a restricted person can sit one layer up. Buyers and suppliers who skip UBO work are pricing a name, not a counterparty.
What it covers
Ownership percentages, control rights, and identification documents for the natural persons who meet the applicable threshold. Thresholds and definitions vary by jurisdiction. The file should state which rule is being applied rather than assuming a single global percentage.
What it does not cover
UBO identification does not prove the company can produce or ship the goods. It does not replace product classification or screening of the mill, plant or crop origin. It is not a public register extract unless the source actually is one.
When it is required
TTC’s process requires buyer and UBO verification among its control points before a quotation is treated as a basis for a contract. The exact documents depend on the jurisdiction and the role of the company in the file.
Common mistakes
Stopping at a local nominee director. Accepting “owned by a group” with no chart. Treating a politically exposed person’s relative as irrelevant without checking control. Asking for UBO passports in an unsolicited first email with no secure channel.
TTC uses these terms in its RFQ and transaction process. Nothing on this page is a licence, a certification, a guarantee of clearance, or a substitute for the documents and clauses of a specific contract.