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The Complete Vendor Due Diligence Checklist
Everything you need to verify before onboarding a new vendor — from basic corporate checks to deep risk analysis.
8 min read6 sections
11. Corporate Identity Verification
Before anything else, confirm the entity actually exists and is what it claims to be:
- Verify legal entity name against corporate registry
- Confirm registration number and jurisdiction of incorporation
- Check registered address against physical presence
- Verify business licences and permits relevant to their services
- Confirm the entity is in good standing (not dissolved, struck off, or suspended)
GREP AI's corporate registry checks cover 200+ jurisdictions and verify all of the above automatically.
22. Ownership & Control Structure
Understanding who ultimately owns and controls a vendor is critical for identifying hidden risks:
- Identify all shareholders with 10%+ ownership
- Trace beneficial ownership to natural persons
- Map the corporate structure (parent companies, subsidiaries, affiliates)
- Identify directors, officers, and key management personnel
- Check for politically exposed persons (PEPs) in the ownership chain
33. Sanctions & Watchlist Screening
Screen the vendor, its beneficial owners, and key personnel against comprehensive sanctions lists:
- OFAC Specially Designated Nationals (SDN) list
- EU Consolidated Sanctions List
- UN Security Council Sanctions
- OFSI (UK) sanctions list
- Country-specific sanctions programmes
- PEP databases and watchlists
- Debarment and exclusion lists (World Bank, government procurement)
44. Financial Health Assessment
- Review recent financial statements (if available)
- Check credit ratings and payment history
- Verify no outstanding liens, judgments, or bankruptcy proceedings
- Assess financial stability relative to the contract value
- Check for recent significant changes in financial condition
55. Litigation & Regulatory History
- Search federal and state court records for litigation history
- Check regulatory enforcement actions and consent orders
- Review any fines, penalties, or remediation orders
- Identify patterns of recurring legal issues
- Check for any ongoing investigations or proceedings
66. Adverse Media & Reputation
- Screen for adverse news coverage (fraud, corruption, sanctions violations)
- Check for negative regulatory commentary
- Review industry reputation and peer assessment
- Check social media and whistleblower reports
- Search in relevant local languages, not just English
GREP AI's adverse media screening covers global news sources and uses AI to filter genuine risk signals from noise.
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