Use this checklist every time you evaluate a new supplier. Working through it systematically turns supplier vetting from guesswork into a repeatable process that catches problems before they cost you money.

Company and legal verification

  • Business licence / registration number obtained and verified against the official government registry
  • Registered company name matches quotes, contracts and bank account details
  • Business scope covers the products being supplied
  • Company age and registered capital are consistent with claimed scale
  • Verifiable physical address (cross-check on maps and via the registry)
  • VAT/tax registration and export licence (Importer Exporter Code or equivalent) confirmed

Capability and capacity verification

  • Confirmed whether the company is a manufacturer, trading company, wholesaler or distributor
  • Factory photos and video walkthrough reviewed
  • Production capacity and lead times documented in writing
  • Equipment, production lines and workforce size confirmed
  • Existing client references requested and (ideally) contacted
  • Third-party factory audit commissioned for significant orders

Certifications and compliance

  • All claimed certifications collected as documents (not just verbal claims)
  • Certificate numbers verified directly with the issuing bodies
  • Certificates cover the specific products and standards you need
  • Certificates are current (not expired)
  • Product compliance for your destination market confirmed (CE, FCC, FDA, etc.)
  • Safety-critical certifications independently validated

Product and quality verification

  • Samples ordered and tested against exact specifications
  • Independent lab testing arranged for measurable/safety parameters
  • Agreed specifications, tolerances and acceptance criteria documented in the PO
  • Pre-shipment inspection (PSI) arranged on the actual production batch
  • Packaging and labelling requirements specified and confirmed

Communication and professionalism checks

  • Responses arrive within one business day during the quoting stage
  • Answers address your actual questions (not copy-paste boilerplate)
  • Email uses a company domain consistent with the website and registry
  • A named contact person with a direct phone/WhatsApp/WeChat line
  • Video call held with the team you'll actually work with
  • Quotes and proforma invoices are itemised, dated and consistent between versions

Communication quality during courtship is the best available predictor of communication quality after they have your deposit.

Commercial and payment security

  • Payment terms agreed (avoid 100% advance to new suppliers)
  • Deposit + balance-after-inspection structure, or Letter of Credit for large orders
  • Payment only to a company bank account matching the registered name
  • Incoterms (EXW / FOB / CIF) clearly defined in the contract
  • Written contract covering specs, timelines, penalties and dispute resolution
  • Any mid-transaction bank detail change verified by phone with a known contact

After the first order: keep monitoring

Verification isn't a one-time gate. Add these to your ongoing routine:

  • Inspect every shipment (or at least every shipment after a price change, material change or long gap)
  • Track defect rates, lead-time accuracy and communication responsiveness order over order
  • Re-confirm certifications annually — they expire
  • Watch for signs of financial distress: sudden discount pressure, requests for unusual prepayment, staff turnover in your contacts
  • Keep a qualified backup supplier warm with occasional small orders

Suppliers.PRO automates much of this checklist with tiered verification badges on every profile — so you start from a position of trust. Sign up for early access.