Last reviewed: 5 October 2026
Possibly. Your partner’s ability to open a company account depends on the company’s legal structure, governing documents, valid authorisations and the bank’s requirements. Owning half the shares does not necessarily mean every banking decision requires both shareholders’ signatures.
Equally, being a shareholder or ultimate beneficial owner does not, by itself, give someone unlimited power to act for the company. The safest starting point is a document review. Distinguish ownership, management authority, account-opening authority and permission to operate an account. Those roles may belong to different people.
Read the authority documents together
For a mainland limited liability company, the Commercial Companies Law addresses the manager’s appointment and powers. A manager’s authority may be broad unless restricted by the relevant appointment and constitutional documents. [1] Free-zone companies require review of their own regulations and constitutive documents; a mainland rule should not simply be applied to them.
Collect the current memorandum and articles, trade licence, manager appointment documents, shareholder or board resolutions and any powers of attorney. Use the latest registered or valid versions. An unsigned draft or a private understanding may not show the position on which the bank is entitled to rely.
Look for express references to opening and closing accounts, borrowing, issuing guarantees, signing cheques and appointing signatories. A clause allowing each named person to act individually is materially different from one requiring joint action. Check whether later resolutions validly changed the arrangement and whether required registration steps were completed.
Separate opening an account from moving money
A company might authorise one person to complete the application while requiring two approvals for payments. Alternatively, a broad mandate may allow one person to open and operate the account. The online banking setup may introduce further roles, such as creating a payment, approving it or administering user access.
Ask the bank how the proposed mandate translates into its actual controls. Does dual approval apply to every transfer or only above a threshold? Can one administrator add a beneficiary or change another user’s permissions? Who receives statements and transaction alerts?
These operational details should match the corporate authorisation. A resolution requiring joint approvals offers limited practical protection if the bank’s platform is configured for single-person payments.
Understand what beneficial ownership means
Banks identify beneficial owners and other relevant people as part of customer due diligence. Central Bank guidance distinguishes beneficial owners from authorised signatories and people who control or manage the customer. [2] Providing identification for compliance purposes does not itself establish a person’s signing powers.
There may also be more than one beneficial owner. A founder should not assume that describing themselves as “the UBO” excludes another qualifying owner or gives a personal veto over account opening. The company’s ownership information must remain accurate, while its authority structure is assessed separately.
Put controls in place before a disagreement
Consider an illustrative company with two equal shareholders. Both assume that they will approve major financial decisions together, but the documents appoint one as manager with broad individual powers. Their commercial expectations and formal governance do not match. The solution is to align the documents and banking controls while cooperation is still possible.
Useful controls include joint approval for borrowing, guarantees and new accounts; payment limits; independent access to statements; and periodic reporting to shareholders. Reserve especially significant decisions for the appropriate corporate approval, while leaving a workable process for ordinary expenses.
Changes must follow the applicable voting, execution and registration requirements. One shareholder cannot simply rewrite the MOA or issue a resolution on behalf of everyone. After valid changes, notify the bank and obtain confirmation that its mandate and electronic permissions reflect them.
Act on evidence if an account may already exist
Request the company’s account register, resolutions, statements and accounting records through the appropriate channels. If you are authorised to contact a bank, explain the concern factually and provide relevant documents. The bank may need to verify your authority before disclosing information or acting on instructions.
Do not submit an inaccurate fraud allegation to force an account freeze. Where there is evidence of forged documents, diverted funds or an imminent unauthorised transaction, obtain urgent legal advice on preservation and protective measures. Any restriction should be pursued through lawful corporate, banking or judicial procedures.
Practical governance checklist
- Obtain current constitutional documents and appointment records.
- Identify who can open accounts, transact, borrow and give guarantees.
- Review existing resolutions, mandates and powers of attorney.
- Distinguish beneficial ownership from signing authority.
- Match online banking permissions to approved controls.
- Complete required approvals and registrations for any change.
- Arrange regular financial reporting and access to statements.
For a review of banking authority and shareholder protections, contact Prosperiti about corporate governance.
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This article provides general information. The answer depends on the company’s jurisdiction, documents and bank requirements.
Official sources
[1] Federal Decree-Law No. 32 of 2021 — Commercial Companies Law, including Article 83, as amended
[2] Central Bank of the UAE — Guidance on services to legal persons and arrangements