Can this be signed electronically?

Yes. Electronic signatures are legally valid under the federal ESIGN Act (15 U.S.C. ch. 96) and in states that have adopted UETA; New York uses ESRA for e‑signature rules.

Do banks accept e-signed statements?

Many banks accept electronically signed statements but policies vary; some require notarization or in-person verification for account opening and KYC compliance.

Is notarization always required?

Not always. Notarization depends on recipient or jurisdiction. For certain banking or transfer transactions, a notarized acknowledgement or RON may be requested.

What if names or percentages are wrong?

Incorrect ownership or names can lead to account holds, payment delays, or legal disputes. Correct promptly and provide amended signed documentation with supporting exhibits.

How do I update a submitted statement?

Execute an amended statement showing the change, include effective date, supporting corporate resolutions, and redistribute to affected third parties and internal records.

How should I store signed statements securely?

Store signed copies in encrypted storage, keep tamper-evident audit trails, and follow standards such as TLS 1.2/1.3 in transit and AES-256 at rest for electronic records.

Electronic Signature
Templates
Miscellaneous
Business Ownership Statement

Business Ownership Statement

This template is fully customizable. Edit the text, fill out the fields, and send it for signature. Give it a try!

Business Ownership Statement and Agreement

WHEREAS, the undersigned Parties desire to set forth the ownership, management responsibilities, and related terms concerning the business identified below; and

WHEREAS, the Parties intend for this Business Ownership Statement and Agreement to constitute a binding agreement governing the contemplated ownership interests and to memorialize representations, transfer restrictions, payment terms and confidentiality obligations.

NOW, THEREFORE, in consideration of the mutual covenants set forth herein and other good and valuable consideration, the Parties agree as follows.

Identification of Business

Business Legal Name DBA / Trade Name (if any) Principal Business Address Jurisdiction of Formation Taxpayer Identification Number / EIN

Entity Type

Select applicable entity type(s) Sole Proprietorship Partnership Limited Liability Company (LLC) Corporation Other

If Other, describe

Ownership Information

Provide the full legal name, role, percentage interest, and contact address for each owner or beneficial owner. The Parties warrant that the percentages set forth represent the total ownership interest in the business.

Owner 1 — Full legal name Owner 1 — Title / Role Owner 1 — Ownership Percentage Owner 1 — Contact Address Owner 2 — Full legal name Owner 2 — Title / Role Owner 2 — Ownership Percentage Owner 2 — Contact Address Owner 3 — Full legal name (optional) Owner 3 — Title / Role Owner 3 — Ownership Percentage Owner 3 — Contact Address

Representations and Warranties

Each Person listed as an owner or beneficial owner represents and warrants to the other Parties that such Person has full authority to execute this Statement, that the ownership percentages set forth are true, correct and complete as of the Effective Date, and that no other Person holds a legal or equitable interest in the business unless disclosed herein. Each owner further represents that there are no outstanding agreements, liens, encumbrances, or unresolved claims that would impair the transferability of the stated ownership interest except as disclosed in writing to the other Parties.

Scope of Work

The Parties agree that certain owners will perform management duties, operational responsibilities, or deliverables as set forth below. Describe the scope of operational responsibilities, management roles, and any deliverables associated with ownership interests.

Payment Terms (if applicable)

If ownership interests are being purchased, specify the purchase price, payment schedule and remedies for late payment.

Total Purchase Amount (if any) Payment Schedule / Terms Late Payment Fee

Transfer Restrictions & Right of First Refusal

No owner shall transfer any ownership interest, whether by sale, assignment, gift, or operation of law, without first offering such interest to the other owners on the same terms and conditions (right of first refusal). Transfers in violation of this provision shall be voidable at the election of the non-transferring owners. The notice period for proposed transfers is:

Confidentiality

Each Party acknowledges that during the course of business and performance under this Agreement they may be granted access to confidential and proprietary information. Each Party agrees to maintain all such information in strict confidence and not to disclose it to third parties except as required by law or with the express written consent of the disclosing Party. The obligations of confidentiality shall survive termination of this Agreement for a period of three (3) years.

Term and Termination

This Agreement shall commence on the Start Date and shall continue until the End Date or until earlier terminated pursuant to this section. Either Party may terminate this Agreement upon written notice to the other Party delivered at least days prior to the intended termination date.

Start Date End Date

Governing Law

This Agreement shall be governed by and construed in accordance with the laws of the State of without regard to conflict of laws principles.

Entire Agreement; Amendments

This document constitutes the entire agreement among the Parties with respect to the subject matter hereof and supersedes all prior negotiations, agreements and understandings between the Parties relating to such subject matter. No amendment, modification or waiver of any provision hereof shall be effective unless in writing and signed by all Parties.

Certification

Each undersigned certifies, under penalty of perjury, that the information provided in this Business Ownership Statement and Agreement is true, complete and accurate to the best of the undersigned’s knowledge, and that the undersigned is authorized to execute and deliver this document on behalf of the Party identified below.

Owner / Declarant:

By:

Date:

Company Representative:

By:

Date:

What the Business Ownership Statement Is and When it's Used

A Business Ownership Statement is a formal record that documents the owners, ownership percentages, and control structure of a business entity. It typically lists legal company name, employer identification number (EIN), each owner’s full legal name, title, ownership percentage, and signature blocks. Organizations use it for bank account openings, vendor onboarding, equity transactions, compliance checks, and registration with regulators or service providers. When submitted to third parties, the statement establishes who may legally act for the company and supports KYC, tax reporting, and internal governance.

Why a Clear Ownership Statement Matters

A concise Business Ownership Statement clarifies authority, reduces onboarding friction, and supports regulatory and tax compliance, helping counterparties verify signatory authority quickly.

Typical Users and When They Complete This Statement

Organizations complete a Business Ownership Statement when forming banking relationships, updating ownership, or responding to compliance requests.

Small business owners and founders verifying bank account signatories and ownership percentages for financial institutions.
Finance and accounting teams using the statement for KYC, tax reporting, and vendor payment setup.
Legal and corporate governance officers documenting equity changes, capital events, or board-authorized signers.

The form is also used internally by finance, legal, and corporate secretarial teams to maintain accurate ownership records and support audits.

Step-by-Step: Completing a Business Ownership Statement

Follow these sequential steps to prepare an accurate, accepted statement for banks and partners.

01

Gather documents: Collect formation documents, operating agreement, and ID for each owner.
02

Enter entity data: Type legal name, EIN, and principal address exactly.
03

List owners: Record full names, titles, ownership percentages, and contact information.
04

Sign and verify: All authorized signers sign, date, and attach notarization if required.

Core Elements of a Professional Business Ownership Statement

A complete statement should be clear, signed by authorized parties, and supported with attachments that verify identity and control to third parties.

Entity identification

Legal name, trade name if used, EIN, formation state, and principal business address to clearly identify the business for third parties and regulators.

Owner roster

Full legal names, titles, ownership percentages, and contact details for each owner or equity holder to document who controls the entity.

Authority statements

A short declaration that listed individuals have authority to act for the company, including any limits on authority or special approvals.

Signatures and dates

Signature blocks for each authorized signer with printed name, title, and date to authenticate the statement for recipients.

Notarization clause

Space for notary acknowledgement when the recipient or jurisdiction requires notarized verification of signers and identity.

Supporting attachments

Attachments such as articles of organization, operating agreement, or corporate resolutions that corroborate ownership and signing authority.

Required Data Points Commonly Requested

Legal entity: Name of business

Tax identifier: EIN or SSN for sole proprietors

Owner details: Full legal names

Ownership split: Percentage per owner

Signer info: Title and contact

Verification: Notary or ID proof

Where to Send or File the Completed Statement

Routing depends on the recipient’s requirements; common destinations include banks, vendors, state agencies, and internal corporate records.

Bank or financial institution: Provide for account opening and KYC checks.
Vendors and payors: Send to establish vendor accounts and payment authority.
State agency: File when required by specific state filings or franchise tax forms.
Corporate records: Keep original with corporate minute book or digital records.

How to Configure an Online Completion Workflow

Use a reproducible digital workflow to reduce errors and speed verification when sharing the statement electronically.

Field	Configuration
Template	Save standard fields and attachments for reuse
Conditional fields	Show owner fields only for multi-owner entities
Signer authentication	Enable email, SMS, or stronger verification
Storage location	Archive signed copy to secure cloud

Digital Signing and Format Requirements

Verify the recipient’s accepted eSignature methods, file formats, and authentication level before sending electronically.

File formats: PDF, DOCX supported
Integrations: Works with Salesforce, NetSuite
Auth options: Email, SMS, KBA, 2FA

Timing and Typical Processing Expectations

Processing times depend on recipient and whether notarization or additional verification is required; plan for verification delays.

On request:

Provide immediately when requested by bank or vendor

Bank verification:

1–10 business days depending on KYC checks

Notary scheduling:

Same day to several days for appointments

State filings:

Varies by agency and workload

Internal archiving:

Store signed copy immediately after execution

Common Preparation Mistakes to Avoid

Using inconsistent entity names between ownership statement and official formation documents, which prompts rejection by banks or registrars.
Listing informal percentages or vague ownership descriptions instead of precise numerical percentages that total 100% across all owners.
Failing to include required attachments such as operating agreements or resolutions that prove signing authority for listed individuals.
Skipping notarization where recipient policy requires it, causing delays and repeated submission cycles.

Consequences of Incorrect or Incomplete Statements

Account disruption: Bank may block account opening

Backup withholding: Incorrect TINs can trigger 24% withholding

Contract disputes: Unauthorized signers risk unenforceable agreements

Regulatory exposure: Inaccurate records may attract audits

Filing penalties: Late or wrong filings carry fines

Operational delays: Vendor onboarding and payments stall

Select eSignature Pricing and Feature Comparison

Compare common plan features and starting prices for eSignature providers; signNow is listed first per vendor comparison conventions.

	signNow	DocuSign	Adobe Sign	PandaDoc	HelloSign
Starting Price	$8/user/mo	$15/user/mo	$14/user/mo	$19/user/mo	$15/user/mo
Free Trial	7-day free trial	Varies	Varies	Varies	Varies
Bulk Send	Yes	Yes	Yes	Yes	No
Audit Trail	Yes	Yes	Yes	Yes	Yes
HIPAA Compliant	Yes	Yes	Yes	No	No
Envelope Cap	No cap	100 envelopes/user/year	Varies	Varies	Varies

Frequently Asked Questions About Business Ownership Statements

Answers to common questions about execution, notarization, digital signing, and updating ownership details.

Need help? Contact support

Can this be signed electronically?
Yes. Electronic signatures are legally valid under the federal ESIGN Act (15 U.S.C. ch. 96) and in states that have adopted UETA; New York uses ESRA for e‑signature rules.
Do banks accept e-signed statements?
Many banks accept electronically signed statements but policies vary; some require notarization or in-person verification for account opening and KYC compliance.
Is notarization always required?
Not always. Notarization depends on recipient or jurisdiction. For certain banking or transfer transactions, a notarized acknowledgement or RON may be requested.
What if names or percentages are wrong?
Incorrect ownership or names can lead to account holds, payment delays, or legal disputes. Correct promptly and provide amended signed documentation with supporting exhibits.
How do I update a submitted statement?
Execute an amended statement showing the change, include effective date, supporting corporate resolutions, and redistribute to affected third parties and internal records.
How should I store signed statements securely?
Store signed copies in encrypted storage, keep tamper-evident audit trails, and follow standards such as TLS 1.2/1.3 in transit and AES-256 at rest for electronic records.

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