# Requests for additional business information

We require additional information from businesses in highly regulated industries or those with a higher risk of fraud. This helps us keep your business compliant and reduce risk in your industry. Provide this information as soon as possible to avoid delays to your account.
The [Privacy Policy](http://stripe.com/us/privacy) explains how we collect, use, retain, disclose, and safeguard your personal data.
## What are beneficial owners?
Beneficial owners are individuals who:
* Own a significant percentage of your company (often 25% or more), and/or
* Exercise significant control over your company. This includes executive officers or
  senior managers such as a CEO, CFO, COO, Managing Member, General Partner, President,
  Vice President, or Treasurer.
Rules vary by country. Read more on the [Federal Register's Customer Due Diligence
Requirements](https://www.federalregister.gov/documents/2016/05/11/2016-10567/customer-due-diligence-requirements-for-financial-institutions).
### Why do you need this information?
Banking guidelines require us to identify all individuals with an ownership stake in your
company, including owners of any legal entities (such as trusts or holding companies)
that own part of your business. For example, if you own 60% of Company A, which owns 50%
of Company B, you are a beneficial owner of Company B with 30% ownership.
## Why do you need my shipping licenses and legal formation documents?
Some items require a license or authorization to ship. For example, laws governing the
shipping and sale of alcohol vary widely by state and country. Check your shipping provider's
rules and make sure you have all required licenses and documents. Similarly, certain industries
like financial services and telemedicine require specific legal formation or licenses to operate.
We collect this information to confirm you're compliant with the legal requirements for your
industry.
### I don't know if I need one.
If you're unsure whether your product has shipping restrictions, check the lists below. If
your product is listed, you may need additional licenses or authorizations to ship legally.
* [US Postal Service shipping restrictions](https://www.usps.com/ship/shipping-restrictions.htm)
* [FedEx restrictions](https://crossborder.fedex.com/us/assets/prohibited-restricted/)
* [UPS shipping restrictions](https://www.ups.com/us/en/help-center/shipping-support/prohibited-items.page)
Some industries also require specific licenses to operate legally. Having these licenses
ensures you're compliant with all required regulations.
## Why do you need to know about my suppliers and vendors?
Knowing your suppliers and vendors helps us assess your risk for disputes and fraud. For
example, a business using dropshipping may purchase products from multiple vendors without
knowing exactly when they ship. Delayed deliveries can lead to higher dispute rates.
## Why do you need to know about my refund policy?
Your refund policy helps us assess your dispute risk. When customers don't know how to get a
refund, they're more likely to dispute a charge. A clear, accessible refund policy helps prevent
this. Learn more about [creating an effective refund policy](https://stripe.com/docs/disputes/prevention#effective-customer-communication).
## Why are you asking about fraud?
All businesses are susceptible to fraud. You should take preventative measures to fight fraud and resolve disputes.
For example, customers may dispute a charge they don't recognize, even if it's legitimate.
Using clear credit card statement descriptors and making your refund policy easy to find
can prevent these misunderstandings and keep your dispute rate low.
## Why do you need to know about my typical customers?
Knowing more about your customers helps us identify fraud risk and confirm you're compliant
with any applicable age restrictions. We take the privacy of your business and customers
seriously.
## Why do you need to know about my processing history?
Your processing volume and dispute rates help us assess your risk profile. We may have difficulty supporting businesses with a dispute rate above 1% by volume or count.
If you're a new business and don’t have this information, provide your best estimates based on what's available to you.
## Additional information
If you received an email asking for business information or to take action on your account,
see Common questions about outreach for account information.