# JPMC-PDP Documentation from https://developer.payments.jpmorgan.com

# Collect indirect ownership information

Indirect ownership refers to a scenario where an individual or entity owns a stake in a business not directly, but through one or more intermediary entities. In other words, the ownership is held via a chain of entities, rather than a direct, first-layer relationship with the business. 

The following illustration shows an indirect ownership structure. Collect all entities and individuals marked in blue.

![Indirect Ownership ](/api/download/en/docs/commerce/optimization-protection/capabilities/digital-onboarding/how-to/indirect-ownership-cfs/IndirectOwnershipImage.jpg?type=image)

## Ownership information to collect

For the business to be onboarded, collect the following individual or entities from their ownership chain:

- Individual beneficial owners who own, directly or indirectly, 25% or more of the business to be onboarded.

- Intermediary owners (entities in the ownership chain) who own, directly or indirectly, 25% or more of the business to be onboarded.

Collect the following information for an Intermediary owner:

 
**Required fields for intermediary owner**

| Fields | Required value | 
| --- | --- | 
| partyType | ORGANIZATION. | 
| roles | INTERMEDIARY_OWNER. | 
| organizationType | The legal classification of the entity. | 
| organizationName | The legal name of the entity. | 
| organizationIds | The government-issued ID. Required details: idType, value, and the issuer. | 
| countryOfFormation | The country in which the entity was formed or domiciled. | 
| addresses | The legal business address of the entity. | 
| natureOfOwnership | Direct, if directly associated with the business to be onboarded; Indirect, if not directly associated. | 

## How it works

You can create an indirect ownership structure using one of the following approaches:

### Two step approach

#### Step 1: Create client

Send a `POST` request to the `/clients` endpoint to create the business entity to be onboarded, the controller, and individuals or entities of direct ownership in a single API call.

**Method: **`POST`
**Endpoint:** `/clients`

**Scenario**: Sample step one request for the two step approach.

```json
{
  "parties": [
    {
      "partyType": "ORGANIZATION",
      "roles": [
        "CLIENT"
      ],
      "organizationDetails": {
        "organizationType": "C_CORPORATION",
        "organizationName": "Central Park Coffees & Cookies",
        "addresses": [
          {
            "addressType": "BUSINESS_ADDRESS",
            "addressLines": [
              "123 Central St"
            ],
            "city": "Palo Alto",
            "state": "CA",
            "postalCode": "94303",
            "country": "US"
          }
        ],
        "yearOfFormation": "1984",
        "countryOfFormation": "US",
        "dbaName": "Central Park Coffee",
        "naics": "334416",
        "organizationDescription": "We bake fresh cookies and coffee for everyday breakfast needs.",
        "phone": {
          "phoneType": "BUSINESS_PHONE",
          "phoneNumber": "6502694433",
          "countryCode": "+1"
        },
        "organizationIds": [
          {
            "idType": "EIN",
            "value": " 184102294",
            "issuer": "US"
          }
        ]
      }
    },
    {
      "partyType": "ORGANIZATION",
      "roles": [
        "INTERMEDIARY_OWNER"
      ],
      "organizationDetails": {
        "organizationType": "C_CORPORATION",
        "organizationName": "Central Park Cookie",
        "addresses": [
          {
            "addressType": "LEGAL_ADDRESS",
            "addressLines": [
              "124 Central Se"
            ],
            "city": "Palo Alto",
            "state": "CA",
            "postalCode": "94303",
            "country": "US"
          }
        ],
        "countryOfFormation": "US",
        "natureOfOwnership": "Direct",
        "organizationIds": [
          {
            "idType": "EIN",
            "value": " 050110294",
            "issuer": "US"
          }
        ]
      }
    },
    {
      "partyType": "INDIVIDUAL",
      "roles": [
        "CONTROLLER"
      ],
      "email": "foobar@example.com",
      "individualDetails": {
        "firstName": "Chandler",
        "lastName": "Bing",
        "birthDate": "2001-01-01",
        "addresses": [
          {
            "addressType": "RESIDENTIAL_ADDRESS",
            "addressLines": [
              "124 Candy St"
            ],
            "city": "Palo Alto",
            "state": "CA",
            "postalCode": "94303",
            "country": "US"
          }
        ],
        "countryOfResidence": "US",
        "individualIds": [
          {
            "idType": "SSN",
            "value": " 437381498",
            "issuer": "US"
          }
        ]
      }
    },
    {
      "partyType": "INDIVIDUAL",
      "roles": [
        "BENEFICIAL_OWNER"
      ],
      "individualDetails": {
        "firstName": "Monica",
        "lastName": "Geller",
        "birthDate": "2000-10-01",
        "addresses": [
          {
            "addressType": "RESIDENTIAL_ADDRESS",
            "addressLines": [
              "125 Candy St"
            ],
            "city": "Palo Alto",
            "state": "CA",
            "postalCode": "94303",
            "country": "US"
          }
        ],
        "countryOfResidence": "US",
        "natureOfOwnership": "Direct",
        "individualIds": [
          {
            "idType": "SSN",
            "value": " 050110337",
            "issuer": "US"
          }
        ]
      }
    }
  ],
  "products": [
    "EMBEDDED_PAYMENTS"
  ]
}
```

#### Step 2: Create parties – indirect owners

Send a `POST` request to the `/parties` endpoint to create each individual or entity of indirect ownership in a separate API call. For each party, populate the immediate parent’s ID in the `parentPartyId` field. Obtain the value [from Step 1](/docs/commerce/optimization-protection/capabilities/digital-onboarding/how-to/indirect-ownership#step-1-create-client). Repeat this step for each layer in the ownership chain.

**Method: **`POST`
**Endpoint:** `/parties`

**Scenario**: Sample step two request for the two step approach with `ORGANIZATION`partyType` and `Indirect`natureOfOwnership`.

```json
{
  "partyType": "ORGANIZATION",
  "parentPartyId": "2001483190",
  "roles": [
    "INTERMEDIARY_OWNER"
  ],
  "organizationDetails": {
    "organizationType": "C_CORPORATION",
    "organizationName": "Cookie Co.",
    "addresses": [
      {
        "addressType": "LEGAL_ADDRESS",
        "addressLines": [
          "124 Central Se"
        ],
        "city": "Palo Alto",
        "state": "CA",
        "postalCode": "94303",
        "country": "US"
      }
    ],
    "countryOfFormation": "US",
    "natureOfOwnership": "Indirect",
    "organizationIds": [
      {
        "idType": "EIN",
        "value": " 134994650",
        "issuer": "US"
      }
    ]
  }
}
```

**Method: **`POST`
**Endpoint:** `/parties`

**Scenario**: Sample step two request for the two step approach with `INDIVIDUAL`partyType` and `Indirect`natureOfOwnership`.

```json
{
  "partyType": "INDIVIDUAL",
  "parentPartyId": "2001472558",
  "roles": [
    "BENEFICIAL_OWNER"
  ],
  "individualDetails": {
    "firstName": "Rachel",
    "lastName": "Green",
    "birthDate": "1999-01-01",
    "addresses": [
      {
        "addressType": "RESIDENTIAL_ADDRESS",
        "addressLines": [
          "125 Candy St2"
        ],
        "city": "Palo Alto",
        "state": "CA",
        "postalCode": "94303",
        "country": "US"
      }
    ],
    "countryOfResidence": "US",
    "natureOfOwnership": "Indirect",
    "individualIds": [
      {
        "idType": "SSN",
        "value": " 214994652",
        "issuer": "US"
      }
    ]
  }
}
```

### Multi-step approach

#### Step 1: Create client

Send a `POST` request to the `/clients` endpoint to create the business entity for onboarding.

**Method: **`POST`
**Endpoint:** `/clients`

**Scenario**: Sample step one request for the multi-step approach.

```json
{
  "partyType": "ORGANIZATION",
  "roles": [
    "CLIENT"
  ],
  "organizationDetails": {
    "organizationType": "C_CORPORATION",
    "organizationName": "Central Park Coffees & Cookies",
    "addresses": [
      {
        "addressType": "BUSINESS_ADDRESS",
        "addressLines": [
          "123 Central St"
        ],
        "city": "Palo Alto",
        "state": "CA",
        "postalCode": "94303",
        "country": "US"
      }
    ],
    "countryOfFormation": "US",
    "dbaName": "Central Park Coffees & Cookies",
    "naics": "334416",
    "organizationDescription": "We bake fresh cookies and coffee for everyday breakfast needs.",
    "organizationIds": [
      {
        "idType": "EIN",
        "value": "184102294",
        "issuer": "US"
      }
    ]
  },
  "products": [
    "EMBEDDED_PAYMENTS"
  ]
}
```

#### Step 2: Create parties – direct owners

Send a `POST` request to the `/parties` endpoint to create each individual or entity of direct ownership in a separate API call. For each party, populate the immediate parent’s ID in the `parentPartyId` field.

**Method: **`POST`
**Endpoint:** `/parties`

**Scenario**: Sample step two request for the multi-step approach with `ORGANIZATION`partyType` and `Direct`natureOfOwnership`.

```json
{
  "partyType": "ORGANIZATION",
  "roles": [
    "INTERMEDIARY_OWNER"
  ],
  "organizationDetails": {
    "organizationType": "C_CORPORATION",
    "organizationName": "Central Park Cookie",
    "addresses": [
      {
        "addressType": "LEGAL_ADDRESS",
        "addressLines": [
          "124 Central Se"
        ],
        "city": "Palo Alto",
        "state": "CA",
        "postalCode": "94303",
        "country": "US"
      }
    ],
    "countryOfFormation": "US",
    "natureOfOwnership": "Direct",
    "organizationIds": [
      {
        "idType": "EIN",
        "value": "050110294",
        "issuer": "US"
      }
    ]
  }
}
```

**Method: **`POST`
**Endpoint:** `/parties`

**Scenario**: Sample step two request for the multi-step approach with `INDIVIDUAL`partyType` and `Direct`natureOfOwnership`.

```json
{
  "partyType": "INDIVIDUAL",
  "parentPartyId": "2001483191",
  "roles": [
    "BENEFICIAL_OWNER"
  ],
  "individualDetails": {
    "firstName": " Monica",
    "lastName": "Geller",
    "birthDate": "2000-10-01",
    "addresses": [
      {
        "addressType": "RESIDENTIAL_ADDRESS",
        "addressLines": [
          "125 Candy St"
        ],
        "city": "Palo Alto",
        "state": "CA",
        "postalCode": "94303",
        "country": "US"
      }
    ],
    "countryOfResidence": "US",
    "natureOfOwnership": "Direct",
    "individualIds": [
      {
        "idType": "SSN",
        "value": "050110337",
        "issuer": "US"
      }
    ]
  }
}
```

#### Step 3: Create parties – indirect owners

Send a `POST` request to the `/parties` endpoint to create each individual or entity of indirect ownership in a separate API call. For each party, populate the immediate parent’s ID in the `parentPartyId` field.

**Method: **`POST`
**Endpoint:** `/parties`

**Scenario**: Sample step three request for the multi-step approach with `ORGANIZATION`partyType` and `Indirect`natureOfOwnership`.

```json
{
  "partyType": "ORGANIZATION",
  "parentPartyId": "2001483190",
  "roles": [
    "INTERMEDIARY_OWNER"
  ],
  "organizationDetails": {
    "organizationType": "C_CORPORATION",
    "organizationName": "Cookie Co.",
    "addresses": [
      {
        "addressType": "LEGAL_ADDRESS",
        "addressLines": [
          "124 Central Se"
        ],
        "city": "Palo Alto",
        "state": "CA",
        "postalCode": "94303",
        "country": "US"
      }
    ],
    "countryOfFormation": "US",
    "natureOfOwnership": "Indirect",
    "organizationIds": [
      {
        "idType": "EIN",
        "value": "134994650",
        "issuer": "US"
      }
    ]
  }
}
```

**Method: **`POST`
**Endpoint:** `/parties`

**Scenario**: Sample step three request for the multi-step approach with `INDIVIDUAL`partyType` and `Indirect`natureOfOwnership`.

```json
{
  "partyType": "INDIVIDUAL",
  "parentPartyId": "2001483191",
  "roles": [
    "BENEFICIAL_OWNER"
  ],
  "individualDetails": {
    "firstName": "Rachel",
    "lastName": "Green",
    "birthDate": "1999-01-01",
    "addresses": [
      {
        "addressType": "RESIDENTIAL_ADDRESS",
        "addressLines": [
          "125 Candy St2"
        ],
        "city": "Palo Alto",
        "state": "CA",
        "postalCode": "94303",
        "country": "US"
      }
    ],
    "countryOfResidence": "US",
    "natureOfOwnership": "Indirect",
    "individualIds": [
      {
        "idType": "SSN",
        "value": "214994652",
        "issuer": "US"
      }
    ]
  }
}
```