How to check a Chinese supplier before paying

Published 15 November 2026

Before sending a deposit to an Alibaba supplier, establish which company you are paying, what supports its factory claim, and which questions remain unanswered. Use the same approach for a seller on 1688, Made-in-China or its own website.

Keep a folder with the store link, quotation, business licence and payment instructions. Record when you checked each source. A company background check, a product sample and a factory inspection answer different questions; plan the checks around the amount and complexity of your order.

1. Ask for the Chinese business licence

Request a clear, complete copy of the business licence (营业执照), the full Chinese company name and the Unified Social Credit Code (统一社会信用代码). Copy the Chinese characters rather than relying on an English store name or an approximate translation.

Ask which legal entity will sign your order, issue the invoice and receive payment. A storefront, an exporter and a manufacturer can be different companies. That arrangement needs an explanation you can check; matching logos or similar English names do not establish the relationship.

2. Match the licence to public records

Use the National Enterprise Credit Information Publicity System to look up the company. China's market regulator, SAMR, describes the available registration information, including the company name, credit code, incorporation date, registered address and business scope.

Compare those fields with the licence and quotation. Note discrepancies and ask for supporting documents. If the site is inaccessible, a search fails or the result is ambiguous, record the check as unresolved. A missing result alone does not establish that a company is fake, and an active registration does not establish that an order will be fulfilled.

3. Test the factory claim with several signals

A trading company can be a useful supplier. The important question is whether the seller accurately describes its role and can explain who makes your product. Read the registered business scope, then ask for the production site's address, the operating company's name and which processes happen there.

A scope mentioning manufacturing supports a line of inquiry; it does not prove machinery, available capacity or current production. An office address may belong to a sales company with a separate plant. Registered capital, insured staff figures and photographs also need context. Do not turn any one of these into a pass or fail rule.

For an order that warrants it, ask for a live walkthrough focused on your product and consider an on-site audit. Confirm the audit covers the actual production site and the company involved in your order.

4. Read risk findings in context

Look for abnormal-operation listings, administrative penalties, enforcement records and relevant disputes. Check the entity, dates, role in the case and recorded outcome. A dispute involving a similarly named company is not a finding about your supplier; an old resolved dispute differs from an outstanding obligation.

Public records can be incomplete or delayed. “Nothing found” means no relevant record was found in the sources checked at that time. It is not proof that no dispute exists. Save the source and the reason a finding changes your next step.

5. Reconcile the contract and payment details

Compare the company on the licence with the company on your quotation, contract, invoice and payment instructions. The EU SME Centre's due diligence guidance recommends checking licence information against contracts and considering a visit and inspection.

If the beneficiary is an individual or a different company, pause and request a documented explanation. An affiliated exporter or payment arrangement may be legitimate, but you need to understand who owes you the goods and why another entity receives the funds. Independently reconfirm changed bank instructions through an established contact channel.

6. Check the product and order separately

Agree on specifications, materials, tolerances, packaging and acceptance criteria in writing. Evaluate a relevant sample, then decide how production and shipment will be checked. A real registered factory can still make the wrong product or miss your quality requirements.

Read the current terms of any platform payment protection you plan to use. A supplier badge, platform history or inspection document should lead to further questions about its scope and date. None is a promise that your particular order will succeed.

Your decision before a deposit

1. Identity: can you connect the store to a specific legal company?
2. Role: do you know who sells, manufactures and receives payment?
3. Evidence: have discrepancies and relevant risk findings been addressed?
4. Order controls: are specifications, payment stages and inspection arrangements clear?

Resolve material gaps before proceeding. There is no universal safe deposit amount or checklist score: the consequences of a failure depend on your order.

See the $29 supplier check

This guide provides general purchasing information. Public-record research does not replace an on-site audit, product testing, order-specific advice or inspection, and it cannot guarantee delivery or quality.