CANADA - Stripe Regulation Compliance: A Complete Guide

Overview

The Financial Transactions and Reports Analysis Centre of Canada (FINTRAC) imposes regulations that require certain businesses in Canada to register as a money services business in Canada. Stripe (Communal's payment processor) is one of these businesses and as such you must submit documentation that verifies the relationship between your Account Representatives/board and your nonprofit/charity. These regulations aim to help protect against online banking fraud and money laundering and are a necessary process for registered charities and non-profits. Below we will outline the steps you must take. 

Step 1: Submit business information 

1. Login to your Communal Manager Dashboard and navigate to the Settings tab on the left-hand side and then click General
2. Once on the General Settings page fill out all the information required under Organization Information
3. Then under Verification Documents, you will need to submit a document that verifies your information. Groups typically have the most success submitting a utility bill from their physical address. If you do not have a utility bill you can submit one of the other Acceptable Documents
   
   
   This document must have your physical address on it and the name of your organization. It must also be dated within the last year. 
4. Once you have input all the information above click Save. Stripe will then review your documents, which typically takes about one day. You will need to keep a close eye on your account to know if your document passes Stripe's verification process or if you need to submit another document following the steps above
   

Step 2: Organization Directors 

While still on the General Settings page scroll down to the Organizational Representatives section. Here you will need to input all of your current director and representative information 

1. Click on Add a Person and add your directors and representatives one at a time. Please note that all directors (executive or not) must be inputted as Directors with the exception of your organization representative who must be input as a representative and if applicable, director. Additionally, the date of birth section is only mandatory for your organization's representative not all directors 
2. Input each director's information and press Save. Once you have input the information click Verify in the banner above. You will need to keep a close eye on your account to know if Stripe requires you to submit additional documents as part of their verification process. Typically this waiting period is about one day. Almost all organizations will need to submit additional documentation to verify their directors and the steps for this are outlined in Step 4. 

Step 3: Know Your Customer (KYC) Representative 

Next, you will need to submit additional information for your Organization Representative. There can only be one Organization Representative, if there are two or more your organization will not pass Stripe’s verification process. In addition to what all directors need to submit your organization representative will also need to enter their birth date, as well as their driver’s license or passport, and a secondary address verification document (most people submit a utility bill or bank statement) in colour. 

Organization Representatives must submit extra information as an additional safety measure because of the responsibility they have with their organization's financials.

1. To submit information for your Representative remain on the General Settings page and navigate to the Organization Representative section
2. Locate your representative and click the Complete Verification link
3. The link will then take you to a secure portal where you can submit your Representative’s information. You will need to first submit their driver's license, passport, or government issued identification, then go through the process again to submit a utility bill, bank statement, or pay stub as the secondary verification document. After you submit your information you will need to keep a close eye on your account to know if there is an issue with your document or if Stripe requires you to submit additional documents as part of their verification process. Typically this waiting period is one day.

Step 4: Director Verification Documentation

Once all of your directors are uploaded to your account you will then likely need to submit a document that verifies the directors. Most organizations have success by submitting an annual return or AGM minutes with a clear list stating board members first and last name as well as their title. If you don’t have either of those documents we would recommend completing our Board Resolution Template which clearly outlines your board of directors. One key thing to note is that your directors listed on the document must match EXACTLY what is listed in Communal otherwise it will not pass the verification process. To submit the director verification document follow the steps below:

1. Go to  the General Settings page and navigate to the Verification Documents section
2. Then upload the document as PDF, JPEG, or PNG file and click Save
3. Then you will need to monitor your account until you see an update as to whether your document was accepted or rejected. Typically this takes around one business day. 

If you complete all of these steps successfully a green banner will show on your Communal dashboard confirming you have passed Stripe's verification process. 

Should you require any support with this process please email help@getcommunal.com or book a meeting.