Know Your Customers with KYC

You know the deal

As a freelance intermediary or platform, onboarding and collecting information from freelancers can often be very time-consuming.

Moreover, you must ensure that all submitted information is accurate. It can happen that a freelancer submits incorrect details, such as using their sibling's Chamber of Commerce (KVK) number or submitting an outdated ID.

By using Finqle's tools, you can implement an automatic and robust KYC process.

This way, you no longer have to worry about the scenarios mentioned above, and you can focus on building successful business relationships.

What exactly is KYC?

“Know Your Customer” (KYC) is a process through which financial institutions verify the identity and background of their customers to prevent financial crimes. It involves collecting official documents and customer data before they can use financial services.

KYC as a response to financial crime

The KYC process enables financial entities to gather and verify customer information, helping them identify and prevent suspicious activities such as money laundering and terrorist financing, while also ensuring compliance with legal requirements and maintaining trust in the financial system.

Why is KYC so important for you as a freelance intermediary?

• Fraud Prevention and Risk Management: By thoroughly investigating the identity and background of both independent professionals and clients, intermediaries and platforms can prevent potential fraudulent activities. This helps protect the interests of both you as an intermediary and your clients.

• Trust and Credibility: Building trust is essential in any business relationship. A solid KYC process shows that you take the reliability and integrity of your freelancers seriously. This not only boosts your credibility but also that of the professionals you represent.

• Legal Compliance: Various industries have specific legal requirements regarding identity verification and due diligence. By adhering to a thorough KYC process, you ensure compliance with these regulations and avoid potential fines or legal issues.

• Liability Protection: As an intermediary between professionals and clients, an effective KYC process can help minimize liability in case of issues such as non-performance or breach of contract.

• Improving Match Quality: A thorough KYC process allows you to make better matches between independent professionals and clients. By understanding the skills, experience, and preferences of professionals, you can better assess which projects suit them best.

• Long-Term Success: KYC is an investment in long-term success. By building a reputation of trust and reliability, you can establish a positive name in the industry.

In short...

KYC is an integral part of the business model for freelance intermediaries and platforms. It helps you create a safe, reliable, and professional environment for all parties involved.

In this context, KYC is also an indispensable part of Finqle.