For a corporate customer verify both the legal entity and the person acting for it, then establish whether and how that person can bind it. Ownership, governing-body membership and signing authority are distinct facts.
Start with the correct company
Section 5(1)(b) covers name, registered office, identification number or foreign equivalent and governing-body data. Verify existence and information against a reliable source under Section 8(2)(b). Use the identifier and jurisdiction; similar names may refer to different entities.
For foreign companies record the register and legal form. Establish the origin and verifiability of customer-created documents. No Czech ID does not justify assigning an arbitrary Czech number.
Identify the acting individual
Identify the representative as an individual using a lawful method. BankID can identify the person but does not establish their directorship of the company in the questionnaire. If another legal entity is a governing-body member, obtain the relevant additional information and its representative.
An already identified company still requires checks when a new representative appears. A corporate email address or knowledge of a contract number is insufficient.
Read representation rules and powers
Section 8(6) requires evidence of authority unless obtainable from a public register; verify its extent. The register may require two members to act jointly or contain other relevant rules. “Managing director” therefore does not necessarily mean unilateral signing authority.
For powers of attorney check principal, agent, act, duration and restrictions. A stamped paper is not necessarily valid authority. Section 16(1)(h) requires retaining an original or verified copy of the power of attorney, or the reference of a guardian appointment decision where relevant.
Determine ownership separately
A shareholder may lack representation authority and a director may not be the beneficial owner. Section 9 examines ownership and management, beneficial ownership and relevant sanctions matters. Where registration is required, use the register and at least one other source.
One person may hold every role in a simple company, but the file must show how each was established. A new power of attorney or ownership change cannot automatically repair unverified earlier signatures.
Practical steps
- Verify the correct company’s existence and identification data.
- Identify the acting individual using a lawful method.
- Check representation rules or the specific power of attorney.
- Complete ownership, structure and other due diligence separately.
Illustrative scenario
The register requires two directors to act jointly. Staff identify the relevant acting individuals and check that signing follows the registered rule.
When the situation differs
A sole shareholder who is neither director nor agent signs for the company. Staff accept the signature solely because the individual owns it.
What to document
- Current existence and representation evidence.
- Representative identification and authority evidence.
- Separate beneficial-ownership and structure evidence.
Common pitfalls
- Merging representative and beneficial-owner fields.
- Treating corporate email as authority verification.
Frequently asked questions
Is a commercial-register extract enough?
It assists with existence and representation but does not alone identify the individual or complete ownership verification.
Does every representative need a power of attorney?
No, where authority can be established from the public register. Its scope still needs verification.
Put this guidance into practice
Choose a record for the step you are working on. Adapt it to your profession and actual case.
- Individual and sole trader information · PDF / Word
- Legal entity and beneficial owner information · PDF / Word
- Trustees and similar arrangements →
Complete client information online
Where to go next
- Remote identification: lawful options and their conditions — BankID, document copies with a verification payment, qualified signatures and reliance are distinct methods.
- Beneficial owners: establish first, then verify — Distinguish identifying a beneficial owner, verifying identity and substantiating why the person owns or controls the company.
Sources and legal references
- Zákon č. 253/2008 Sb. — aktuální znění e-Sbírky ↗
§ 5 odst. 1 písm. b), § 8 odst. 1–6, § 9 odst. 2 písm. b)–c), § 16 odst. 1 písm. h) · accessed 2026-10-04 - Zákon č. 37/2021 Sb. — aktuální znění e-Sbírky ↗
§ 2, § 4–10, § 12, § 16–17 · accessed 2026-10-04
Editorial work and source checks are not independent legal approval of your particular process. Compare the conditions and exceptions with your own circumstances.