How to check a factory before payment
Choosing a partner in China is a critical stage on which the success of your business depends. According to statistics, up to 30% of entrepreneurs face fraud or low-quality products during their first purchase. To avoid risks associated with losing money or receiving defective goods, a comprehensive supplier check in China is necessary.
Documentary Verification:
The first and mandatory step is requesting and verifying documents. We request the Business License (营业执照) and check it through the National Enterprise Credit Information Publicity System (NECIPS). Key points to check:
• Company registration date — the longer the business exists, the higher the reliability
• Registered Capital — shows the seriousness of the founders' intentions
• Business Scope — your field must be explicitly stated
• Export license — without it, the factory has no right to international shipments
• Legal address — must match the actual production site
We also check certificates: ISO 9001 (quality management), ISO 14001 (environmental management), industry certificates (CE, FDA, RoHS) — depending on the product.
Factory Audit:
Photo and video reports are only a superficial level. A professional factory audit includes:
• Production capacity check: real number of production lines, their condition and age
• Personnel assessment: number of workers per shift, qualification of engineers, presence of a quality control department
• Warehouse stocks: volume of raw materials in stock — an indicator of current workload and financial stability
• Production culture: workshop cleanliness, compliance with safety regulations, workplace organization
• Sample authenticity check: ensuring they haven't given you someone else's sample as their own
Risk Control:
We conduct in-depth legal due diligence:
• Analysis of court proceedings involving the company over the past 3 years
• Check for presence on supplier blacklists
• Assessment of financial stability through available databases
• Reputation check through reviews of other foreign clients
• On-site check — our representative physically visits the factory unannounced
Independent Inspection:
On request, we arrange:
• Real-time video call from the workshop so you can personally see the manufacturing process of your order
• Photo documentation of each stage: raw materials → production → finished products → packaging → loading
• Random sample selection and dispatch to an independent laboratory if necessary
Red Flags — What Should Alert You:
• Company registered less than 1 year ago
• Refusal to show the workshop live or via video call
• Requirement of 100% prepayment without the option of phased payment
• Lack of real production photos (only stock or photoshopped)
• Registered address in a residential building or virtual office
• Unwillingness to sign a contract with clear specifications
Working with us turnkey, you get complete confidence in the counterparty's reliability before you transfer the first yuan. We take on all verification risks and provide a guarantee on the found supplier.
