Know-Your-Business (KYB) checks

Know-Your-Business (KYB) means checking that a company you deal with is real, legitimate, and actually entitled to do what it claims. In licensing, that cuts both ways: licensors vet licensees, and licensees should confirm that a licensor or agent truly controls the rights.

Licensors often ask new partners for company registration documents, trade references, financial information, and details of distribution and manufacturing. Having these ready makes you look prepared and can shorten the process.

On your side, it's wise to confirm who you're dealing with, especially when an intermediary offers rights. Useful checks include:

Confirming the company is registered and in good standing in its home country.
Asking for written proof of the chain of rights, such as an authorization letter from the master licensor (see 2.4).
Checking that the named rights match the title, territory, and categories on offer.
Screening the company against public sanctions lists where relevant.
Watching for red flags such as pressure to pay quickly, unusual payment destinations, or reluctance to share documents.

KYB requirements can be stricter in some industries and countries, so ask a licensing attorney or compliance advisor what applies to you. AniBiz can help with basic partner verification as part of matching.