Supplier verification is your first line of defense against fraud. This comprehensive checklist covers everything you should verify before engaging with a new supplier.
Step 1: Business Registration
Request the supplier's business registration number and verify it against the official government database:
- Malaysia: SSM (Suruhanjaya Syarikat Malaysia)
- Indonesia: AHU Online (Otoritas Jasa Keuangan)
- Thailand: Department of Business Development
- Vietnam: National Business Registration Portal
Check that the company name, address, and registration date match what the supplier has provided.
Step 2: Trade License
Many commodities require specific export licenses:
- Palm Oil: Malaysian Palm Oil Board (MPOB) license
- Rubber: Rubber Authority of Thailand approval
- Minerals: Ministry of Energy and Mineral Resources (Indonesia)
Verify the license is current and covers the commodities the supplier claims to trade.
Step 3: Bank References
Request two bank reference letters. Contact the banks directly to verify:
- Account exists and is in good standing
- Account holder name matches business registration
- Account has trading history
Step 4: Certifications
Verify certifications directly with the issuing bodies:
- RSPO: Roundtable on Sustainable Palm Oil database
- ISO: International Organization for Standardization
- REACH: European Chemicals Agency
Step 5: Physical Verification
For significant transactions, consider:
- Site visit to verify production facilities
- Third-party inspection at origin
- Video call with facility tour
Red Flags
Walk away if you encounter:
- Refusal to provide business registration or license
- Registration or license that cannot be verified
- Bank references from unknown institutions
- Certifications that don't appear in official databases
- Pressure to move quickly without due diligence
How AsiaTradeHub Helps
Every supplier on AsiaTradeHub has passed this verification process. We check business registration, trade licenses, bank references, and certifications before allowing suppliers to list. This doesn't eliminate your need for due diligence, but it dramatically reduces your risk.