What is the definition of a beneficial owner according to control criteria?

The definition of a beneficial owner according to control criteria is focused on the ability to control or exert influence over an entity. Selecting a single individual with significant responsibility to control the entity captures this definition accurately. This person is recognized as having a substantial power or authority in management or decision-making processes of the organization, which aligns with the regulatory emphasis on identifying individuals who can effectively drive the direction and operations of a company.

Other options might not fully address the concept of control. For example, just having any individual who has invested in the company does not necessarily equate to control. Simply holding a financial stake does not imply they have the authority to make decisions or influence operations. Additionally, limiting the definition to only the top two executives excludes other individuals who may be in control, such as board members or individuals with significant decision-making authority. Hence, the correct answer about a beneficial owner in terms of control emphasizes the aspect of actual responsibility and influence within the organization.