KYB compliance is a critical task for every law firm, but it can often be a cumbersome and time-consuming process, especially for your fee earners carrying out checks manually on top of an already substantial workload.
Manual KYB checks are slow, unreliable and prone to oversight. Human error can adversely affect your firms’ onboarding process with mistakes arising when a significant amount of corporate data and information must be collected and analysed for a single KYB check, exposing firms to an increased risk of non-compliance.
As a result, corporate clients can sometimes take weeks to onboard.
In this article, we take a look at 7 ways automated KYB software can help you streamline KYB compliance in your legal firm, making the process a smooth and effective one for both your clients and your team.
With a streamlined, automated KYB process, you can reduce the time and effort required for compliance. An efficient workflow, especially when coupled with powerful automated software such as NorthRow’s WorkStation, will enable your firm’s fee earners to focus on critical decision-making and delivering value for clients rather than wasting hours on mundane AML tasks.
Implement robust KYB processes
The onboarding process for new clients becomes significantly smoother with automated KYB software. The software can quickly verify the legitimacy of potential clients, ensuring they meet all compliance requirements before being safely onboarded. This speed and efficiency improves client satisfaction and trust in the firm’s due diligence processes.
Integrations with existing tech stack
Modern KYB software can seamlessly integrate with existing systems used by legal firms, such as Customer Relationship Management (CRM) software and document management systems. This integration ensures a smooth transition and eliminates the need for duplicating efforts across different platforms, thereby enhancing overall productivity and giving everyone that needs it complete oversight of entire client cases.
Automated data collection
Automated KYB software can streamline data collection by automatically gathering required information from various global databases and sources. This reduces the need for manual input, minimises human error, and ensures that data is collected swiftly and accurately. Legal firms can save valuable time and resources by automating this initial step in the KYB process.
Customisable workflows
Legal firms can tailor automated KYB software to fit their specific workflows and compliance needs. Customisable workflows ensure that the software aligns with your firm’s internal processes and appetite for risk, enhancing efficiency and mitigating risk. What’s more, automated reminders and notifications can be set for various compliance tasks, ensuring nothing is overlooked and deadlines are consistently met so your firm can uphold the highest of customer service standards.
Utilise electronic ID&V
Electronic Identification and Verification (ID&V) tools are integral to modern KYB processes. Automated KYB software together with ID&V tools can quickly and securely verify the identities of individuals and businesses. This technology reduces the risk of identity fraud and ensures that only legitimate entities are onboarded. It also speeds up the verification process, improving overall efficiency and compliance accuracy.
🔗 How ID&V applications support regulatory compliance
Automate monitoring processes
Automated KYB software can continuously monitor business relationships and individuals for any signs of suspicious activity or compliance breaches. This real-time monitoring allows legal firms to respond promptly to any potential issues, maintaining compliance with AML and other regulatory requirements. Automated alerts and reports ensure that any anomalies are quickly identified and can be swiftly addressed.
Centralised case management
Automated KYB solutions like NorthRow’s offers a centralised management system, allowing legal firms to store, access, and manage all compliance-related information and documentation in one place.
This single source of truth ensures that all necessary information is easily retrievable for colleagues for case discussions or progression, audits, and regulatory reviews, reducing the time spent searching for physical or dispersed digital files.
