A beneficial owner, in the context of FinCEN’s BOI requirements, is a natural person who ultimately enjoys the benefits of ownership of a company, even if the legal title isn’t in their name. Here’s a breakdown:

• Direct Ownership: This is straightforward. If someone owns 25% or more of the shares in a company, they are a beneficial owner.
• Indirect Ownership: Things get trickier here. Even if ownership is spread across multiple entities (like trusts or other companies), a beneficial owner is someone who controls 25% or more of those entities, ultimately giving them control over the original company.
• Control Through Other Means: Being a beneficial owner isn’t just about ownership percentages. Someone can also be a beneficial owner if they have significant influence over the company’s decisions, even without owning a large chunk of the shares. This could involve things like voting rights or control over appointments.

There are two main reasons why FinCEN requires Beneficial Ownership Information (BOI) reporting.

1. Increase Transparency: Historically, there haven’t been strong requirements for companies to disclose who truly owns and controls them. This can create a cloak of secrecy that allows people to engage in illegal activities like money laundering, terrorist financing, or fraud. By requiring BOI reports, FinCEN aims to shed light on the real people behind companies, making it harder to hide illicit activities.

2. Assist Law Enforcement: Law enforcement agencies often need to know who owns and controls companies as part of investigations. Having a central repository of BOI information makes it easier and faster for them to track down beneficial owners and follow the money trail in criminal cases.

Overall, BOI reporting is designed to be a tool for preventing financial crime and improving national security. By increasing transparency about company ownership, it aims to make it more difficult for criminals to operate in the shadows.

The deadlines for filing BOI reports depend on when your company was created or registered:

• Existing Companies (Formed before January 1, 2024): These companies have until January 1, 2025, to file their initial BOI report.
• New Companies (Formed on or after January 1, 2024):
  • Companies formed between January 1, 2024, and December 31, 2024 (inclusive), have 90 calendar days to file their initial report after receiving actual or public notice that their creation or registration is effective. Whichever comes first triggers the 90-day clock:
    • Actual notice: This could be a document from the secretary of state’s office or another official confirmation.
    • Public notice: This happens when the secretary of state or a similar office makes the company’s formation or registration public (e.g., online database).
  • Companies formed on or after January 1, 2025, will have a stricter deadline of 30 calendar days after receiving notice of formation or registration (whichever comes first).

A team of accountants founded BOICheap in 2023. When the annoucement regarding BOI filings was released in 2023, many of their existing clients asked to have them file on their behalf.

With more than 5.5 million businesses founded in the USA in 2023, our team formed a division to help service each and every new company. 

Existing LLCs are also required by law to comply with FinCEN. They have until the end of 2024 to filing their BOI reports.

It became a natural progression for our team. We are dedicated to offering the best service in the market and helping companies navigate the choppy waters.

Payment is taken via credit card. After you have chosen your product, you will enter your card details. Your card will be stored in our payment provider’s (Stripe) portal. For security reasons, we do not store your card on this site, and we do not have access to your card details.

Your card is stored so that we can process your monthly payments.

You can cancel your subscription with 30 days notice. Once your cancellation has been processed, you will no longer be compliant with FinCEN, and you will run the risk of being instructed to cease operations.

If you have any questions regarding our service or general BOI information, you can email us at info@boicheap.com.

Once you have confirmed your purchase, you will have access to our team directly.