KYC and KYB: what are the differences and how can they be automated?

Introduction

In the world of compliance and the fight against fraud, KYC (Know Your Customer) and KYB (Know Your Business) are essential processes.
But many people confuse these two acronyms or don't know how to automate them effectively.

Thanks to solutions Dataleon, it is possible to simplify and speed up these verifications, while remaining fully compliant with AML and RGPD regulations.

1. KYC vs KYB: understanding the difference

KYC (Know Your Customer)

• Identity verification of individual customers
• Analysis of documents: passport, identity card, proof of address
• Objective: reduce the risks of fraud and money laundering

KYB (Know Your Business)

• Identity verification and legitimacy of businesses
• Analysis of documents: statutes, Kbis, commercial register
• Objective: to ensure that the client company is legal and solvent

In summary: KYC = natural persons, KYB = companies.

2. Why automate KYC and KYB?

Automation has several advantages:

• Time saver : instant verification of documents
• Reducing human errors
• Seamless customer experience : faster onboarding
• Assured compliance : compliance with AML and RGPD standards

Businesses that continue to perform manual checks lose efficiency and increase the risk of errors.

3. How Dataleon automates KYC and KYB

Dataleon combine OCR, AI, and automated workflow to manage KYC and KYB securely:

• Automatic data extraction from documents
• Instant verification of information
• Detection of anomalies or falsified documents
• Human validation possible for complex cases

The result: a fast, reliable and compliant process that satisfies customers and regulators.

4. The benefits for businesses

• Reduced onboarding time : from several hours to a few minutes
• Decrease in customer abandonments : smoother experience
• Strengthened compliance : automation of AML/KYC/KYB checks
• Scalability : capable of managing a large volume of customers or businesses

Conclusion

KYC and KYB are essential for fraud prevention and compliance.
Automation with Dataleon simplifies these processes, reduces risks, and improves the customer experience while complying with regulations.

‍