What you actually receive.
A condensed extract of a full due diligence report. Company names, registration numbers, certificate numbers, dates and photographs have been altered or withheld.
Sample report — company details anonymised. Verdict: CONDITIONAL PASS (68/100). The report structure, evidence rules, scoring model and verdict logic are identical to those used in live client engagements.
Supplier Verification & Factory Assessment — Remote Engagement
Report reference DD-2026-0917-A · Report date 14 September 2026 · Version v1.0 (final)
0. Executive summary
0.1 What we found — at a glance
| # | Finding | Severity | Buyer impact |
|---|---|---|---|
| F-01 | Subject is a genuine manufacturer: business scope covers manufacturing, all core processes in-house, 118 employees including 9 dedicated QC staff | Positive | Low risk of dealing with a trading intermediary |
| F-02 | The ISO 9001 certificate presented is valid, but its certified scope ("plastic household products") does not cover the aluminium table line quoted | Major | The certificate gives the buyer no assurance over the product actually purchased |
| F-03 | Final-inspection records retained only ~3 months; lot-to-lot traceability incomplete; gauges carry no calibration labels | Major | In the event of a defect batch, the buyer cannot audit how it passed |
| F-04 | Production was idle during the video walk and no output records were provided; the claimed capacity of 60,000 units/month could not be corroborated | Minor | Delivery risk if a large order is placed on trust |
| F-05 | Payment terms requested (50% T/T deposit, balance before shipment) are above the typical 30/70 market norm | Minor | Higher working-capital exposure on a first order |
0.2 Top three actions for the buyer
- Do not release a full production order.Start with a pilot order capped at USD 3,000.
- Close the certification gap.Obtain either a scope-extended certificate or a written, signed scope statement (§9.3, Condition 1).
- Book a pre-shipment inspection.100% final random, AQL 2.5 major / 4.0 minor, before the balance payment is released.
2.3 Factory-or-trader test
| # | Test | What was looked for | Finding | Verdict |
|---|---|---|---|---|
| 1 | Business-scope wording | "manufacturing / 制造" vs "trading / 批发零售" | Scope includes 户外用品制造、加工; no dominant trading wording | Pass |
| 2 | Address consistency | registered = operating = address shown on video | All three match | Pass |
| 3 | In-house processes | cutting, welding, coating, assembly observed | All four observed in-house | Pass |
| 4 | Social-insurance headcount | >50 suggests a real operating entity | 118 | Pass |
| 5 | Certificate-holder name | holder must equal the registered name | Matches | Pass |
| 6 | Export evidence | shipping experience | 4 export markets cited; 2 references provided | Pass |
Conclusion: the subject is a manufacturer, not a trading intermediary — with one caveat: a related trading entity exists, sharing a common shareholder. Contracts and payments may be routed through it, so the buyer should confirm in writing which legal entity will sign the sales contract and issue the invoice.
6. Product certification & compliance
| Certificate claimed | Issuing body | Registry verified | Scope covers quoted product? | Holder = paying entity? | Expiry | Verdict |
|---|---|---|---|---|---|---|
| ISO 9001:2015 | Anonymised | Yes — valid | No — scope limited to "plastic household products" | Yes | 2027-06-30 | Not sufficient for this order |
| CE — Declaration of Conformity | Supplier's own (self-declaration) | n/a | Yes (declaration names HY-T120) | Yes | n/a | Acceptable with limits |
| RoHS test report | Third-party laboratory | Report number verified | Yes | Yes | 2025-11-02 | Expired — re-test required |
An ISO 9001 certificate is not a product certificate. What matters is whether the certified scope covers the product being bought, and whether the certificate holder is the entity receiving the money. Here, (a) the scope does not match and (b) a related trading entity exists, so both tests must be re-confirmed in writing.
9. Verdict & conditions
9.1 Weighted score
| Dimension | Weight | Score (/10) | Weighted |
|---|---|---|---|
| Entity legitimacy & legal standing | 25% | 9.0 | 22.5 |
| Manufacturing capability & capacity | 20% | 7.0 | 14.0 |
| Quality management system | 20% | 5.0 | 10.0 |
| Product certification & compliance | 15% | 4.0 | 6.0 |
| Commercial terms | 10% | 6.5 | 6.5 |
| Financial & legal-health signals | 10% | 9.0 | 9.0 |
| Total | 100% | 68.0 |
Thresholds: ≥ 80 = PASS ｜ 60–79 = CONDITIONAL PASS ｜ < 60 = REJECT. Any Critical finding (fake certificate, non-existent entity, sanctions or export-control exposure, evidence of fraud) forces REJECT regardless of score.
9.3 Conditions precedent
- Certification. Obtain either (a) an ISO 9001 certificate whose scope expressly covers the quoted product category, or (b) a signed statement from the supplier confirming the certified scope and the entity relationship, and clarifying that ISO 9001 covers the process, not the product. Note: option (b) is a disclosure, not additional assurance.
- Traceability & records. Require the supplier to implement lot numbering and to retain inspection records for at least 12 months; the first production lot must be shown with records available before shipment.
- Inspection. Appoint a third-party pre-shipment inspection (100% final random, AQL 2.5 / 4.0) before the balance payment is released.
Appendix B — Limitations & disclaimer
This report is an independent third-party due-diligence opinion prepared for the client named above for internal decision-making. It is not a certification, accreditation or guarantee of the supplier, its products or its management system, and it is not legal or financial advice. Findings are limited to the scope, method and time of the assessment, and depend on information supplied and on what was made available during the assessment. Formal certificate status must always be confirmed with the issuing body. The client remains responsible for its own commercial decisions.
Judgements are formed on the balance of evidence available at the time of assessment. They are not statements of fact about the supplier's future performance.
The full report also contains: engagement and scope, evidence base and reference framework, independence statement, entity verification detail, manufacturing capability and process map, live walkthrough findings, quality-management assessment, commercial terms review, a consolidated risk register, suggested next steps, and an evidence annex with the photograph log, documents verified and interview log.