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SME Multi-Entity Business Account

Product ID PRD-017
Launch tier 3
Jurisdiction NZ + AU
Status Planned
Regulations AML/CFT Act 2009 · AML/CTF Act 2006 · Privacy Act 2020 · Privacy Act 1988

The SME multi-entity business account supports companies operating multiple legal entities — such as a holding company with subsidiary operating accounts — within a single banking relationship. Each entity has its own ledger and KYC record while group-level views consolidate balances and activity across the hierarchy. Dual authorisation, per-entity payment limits, and consolidated reporting are built in as standard.

Key terms

Term Value
Account structure Up to 3 levels of parent-child hierarchy per group
KYC Each legal entity onboarded and risk-rated independently
Authorisation Dual authorisation available; authorisation matrix configurable per account and transaction type
Payment limits Per entity and per authorisation tier (MOD-021)
Group reporting Consolidated balance and transaction view across all entities
Monthly fee Per fee schedule (per entity)
Transaction fees Per fee schedule
Direct debits Supported per entity account
Statement frequency Monthly per entity; group-consolidated monthly statement available

System capabilities

The multi-entity hierarchy is established in a single onboarding flow — not a separate process per entity. Dual authorisation is enforced in real time by MOD-021 — no offline approval workflow or email confirmation is used. The consolidated group balance view is computed in real time from individual entity ledgers with no manual aggregation. Each entity is independently KYC-rated — the group relationship does not carry over the risk rating of the parent to subsidiaries automatically. Payment limit breaches are blocked immediately with a structured error response; no post-hoc review is required.

Eligibility

All entities in the group must be legal entities (companies, trusts, or partnerships). Each entity completes an independent KYC process including identification of directors and beneficial owners holding more than 25% ownership per AML-003. The group structure is documented as part of the onboarding record. The parent entity must have an active banking relationship with the bank before subsidiary accounts can be added.

Account / facility opening

  1. The primary contact for the group submits the group structure and entity details.
  2. MOD-105 confirms each entity meets eligibility criteria.
  3. KYC is completed for each legal entity independently — directors and beneficial owners verified per AML-003.
  4. The group hierarchy (parent and child accounts) is configured in MOD-007.
  5. Authorisation matrix and payment limits are set per entity per MOD-021.
  6. MOD-049 captures consent for each entity; MOD-050 delivers pre-contractual disclosures.
  7. All accounts are activated simultaneously. The consolidated group view is available immediately.

Fees

Fee type Amount
Monthly account fee (per entity) Per fee schedule
Transaction fees Per fee schedule
Additional entity setup fee Per fee schedule

Fees are applied by MOD-110 per entity and itemised on each entity's monthly statement.

Interest / charges

No interest is paid on standard business account balances. Where the account has an overdraft facility, interest is charged on the overdrawn balance at the rate set in the facility deed. Refer to the relevant credit product for interest terms.

Statements

MOD-113 generates a monthly statement per entity showing transactions, fees, and closing balance. A group-consolidated monthly statement is also available showing aggregated balances and transaction totals across all entities. Statements are delivered to the nominated administrator's in-app document vault and to each entity's registered contact.

Closing / exit terms

Individual child accounts may be closed without closing the group relationship — subject to no outstanding balances or pending transactions. Closing the parent account closes the entire group relationship; all child accounts must have zero balances before the parent account can be closed. No penalty applies for closing individual accounts or the group relationship.

Regulatory

New Zealand: AML/CFT Act 2009 per AML-003 — beneficial ownership verification required for each entity; ongoing monitoring. Privacy Act 2020 per PRI-001.

Australia: AML/CTF Act 2006 per AML-003 — beneficial ownership verification required for each entity; ongoing monitoring. Privacy Act 1988 per PRI-001.

Each entity in the group is treated as a separate reporting entity for AML/CFT purposes. The group relationship does not reduce the CDD obligations applicable to individual entities.

Governing policies

  • CON-001 — Customer Fairness & Conduct Policy
  • CON-004 — Product Disclosure & Sales Practice Policy
  • CON-005 — Fee & Pricing Transparency Policy
  • CON-006 — Product suitability and governance
  • PAY-001 — Payment Operations Policy
  • PAY-005 — Payment Fraud Prevention Policy
  • AML-003 — Know Your Customer (KYC) & Identity Verification Policy
  • PRI-001 — Privacy Policy

Implementation modules

Module Name Status
MOD-001 Double-entry posting engine Deployed
MOD-002 Immutable transaction log Deployed
MOD-003 Real-time balance engine Deployed
MOD-007 Account state machine Deployed
MOD-020 Pre-payment validation suite Deployed
MOD-021 Payment limit & velocity controller Deployed
MOD-022 Payment audit trail Deployed
MOD-023 Transaction fraud scorer Deployed
MOD-044 JWT role-based access control Deployed
MOD-049 Open banking consent management Deployed
MOD-068 Authentication & session management Deployed
MOD-105 Product eligibility engine Not started
MOD-110 Fee engine Deployed
MOD-113 Statement generation Not started
MOD-114 Direct debit mandate management Deployed

Compiled 2026-05-22 from source/entities/products/PRD-017.yaml