Source of funds documentation is evidence that shows where the money your business uses for its operations actually comes from. It is not about how much money you have. It is about being able to demonstrate that the funds flowing through your account have a clear, legitimate, and traceable origin.
This might seem straightforward, but it is an important distinction. A business might have significant funds in its account, but without documentation showing where those funds came from, we have no way of confirming that the money is from a lawful source.
Under the Bank Secrecy Act and FinCEN regulations, financial institutions are required to understand the source of funds associated with the accounts they manage. This is one of the core pillars of Anti-Money Laundering compliance. It is how regulated institutions ensure that their services are not being used to move money that originates from illegal activity.
This is not a reflection of any suspicion about your business. It is a requirement that applies to every business account, regardless of industry or size.
The document you submit must clearly display all of the following:
Required information | Details |
|---|---|
Business name or account holder name | The name of the business must be clearly visible on the document. |
Identification of the source of incoming funds | Where the money is coming from, for example customer payments, investment income, or loan proceeds. |
Transaction dates and amounts | A clear record of when funds came in and how much. |
Issuing bank or institution name | The name of the financial institution or organization that issued the document. |
Document date | Bank statements and financial records should generally be from the last three to six months. |
Any of the following will be accepted, provided they include all of the required information listed above:
In many cases, bank statements are the simplest and most effective way to meet this requirement. They show a clear picture of money coming in and going out, along with the names of counterparties, which gives us a good picture of your business activity.
Below is an example of an acceptable document. Use this as a reference when preparing your submission.
If your business has an unusual or complex funding structure, for example if it receives funds from a parent company, a holding entity, or investors in multiple jurisdictions, contact our onboarding support team before submitting. We can advise on what documentation will best demonstrate the origin of your funds.