Trade Company Evaluation can ensure your supply chain operates smoothly, reliably, and in compliance with quality and regulatory standards.
Trade company evaluation play a crucial role in achieving this goal by providing comprehensive assessments of suppliers' operations, systems, and adherence to industry standards. As a leading supply chain service provider, GIS Inspection offers a comprehensive trade company evaluation solutions to help businesses mitigate risks, maintain product quality, and uphold their brand reputation.
What is Trade Company Evaluation?
Trade company evaluation, also known as supplier evaluation, is a structured process that assesses a supplier's performance and capabilities against business requirements.
It is a crucial process for businesses to ensure they are working with partners who can meet their needs and expectations. Evaluating suppliers thoroughly allows companies to identify the best partners, while weeding out poor performers. This leads to reduced costs, improved quality, and better customer satisfaction.
Trade company evaluation includes on-site checking the information for Trading Company’s legality, main business, trade ability, quality control system, etc. It can help you to choose the qualified trading company to reduce purchasing risk.
Why is Trade Company Evaluation Important?
The importance of supplier evaluation cannot be understated. It provides the evidence needed to make sound sourcing decisions.
Some trading companies may falsely claim to be manufacturers or overstate their capabilities. Evaluation helps verify their true identity and business scope, reducing the risk of scams.
Companies rely heavily on suppliers for raw materials, components, logistics, and other services vital to their operations. Choosing the wrong partners can result in compromised quality, missed deliveries, higher prices, and risks to the supply chain. Robust evaluation minimizes these hazards.
It also uncovers opportunities for improving supplier relationships and leveraging their capabilities for competitive advantage. The time invested in assessment today saves money and headaches down the road.
Key Aspects of Trade Company Evaluation
At GIS, trade company evaluation focuses on verifying the capability, reliability, and transparency of a trading company to ensure a smooth and trustworthy business partnership.
Following are the main aspects:
Basic information and legal qualification of trading company;
verifying the company’s business license, registration status, business scope, and legal representative to ensure it operates legally. Check the basic information like web address, company type, phone number, and human resources. It also confirms the company’s compliance with local laws and industry regulations, reducing the risk of fraud or non-compliance.
Main business, market scattering and history record of sale;
Understanding the core products, market distribution, and previous year sales records helps assess the company's experience and industry focus. Reviewing historical sales records offers insight into its business stability and performance trends over time.
Supplier management;
Evaluates how the sourcing company selects, monitors, and manages its supplier network to ensure consistent quality and timely delivery. Strong supplier management indicates a reliable and stable supply chain.
Clients’ order management;
Reviews the company’s ability to handle and fulfill customer orders efficiently and accurately. This includes their systems for order tracking, production coordination, and delivery management.
Product inspection;
This checks whether the company performs quality control checks—either internally or through third-party services—before products are shipped. Regular product inspection helps prevent defects, reduce return rates, and protect brand reputation.
Post delivery service.
This evaluates the company's capability to handle customer complaints, after-sales inquiries, and product returns. Good post-delivery service indicates a commitment to long-term client relationships and customer satisfaction.
Trade Company Evaluation Report
After the supplier evaluation, GIS audit will deliver a detailed report, which including:
- Part A: General Information
- Part B: Foreign Trade Capacity
- Part c: Follow up and Suggestions
- Photo Attachment
Click here to check a sample report
Part A: General Information
This section provides an overview of the trade company’s basic profile and legal status.
- Company overview: Verify the physical location and registration of the company. Confirms the company’s legitimacy and the individual authorized to represent it legally.
- Human Resources: Check the company chart and number of employees to indicates the company’s scale and capacity.
Part B: Foreign Trade Capacity
This part evaluates the company’s ability to manage and fulfill international trade operations.
- Export Overall Situation: Provides information about previous year annual export revenue. Assesses staff’s proficiency in foreign languages, vital for effective communication. Get the acceptable payment type.
- Market Distribution: Shows where the company has established business relationships.
- Supplier Management: Evaluates how to sort out a new supplier, whether the company establish an effective supplier’s assessment procedure.
- After Service Capacity: Verify whether the company conduct random product inspection and manufacturer production to make sure the product quality and delivery on time. Evaluates the company's capability to handle customer complaints.
Part c: Follow up and Suggestions
This section includes professional feedback and recommendations from the GIS auditor based on findings.
Photo Attachment
Visual documentation to support the findings in the report.
Photos of Office, Warehouse, and Employees: Proves the physical existence and working environment.
- Business License/Certifications: Provides photographic proof of official documents.
- Products or Packaging: Shows the actual product conditions, branding, and packaging methods.
Ready to get started on finding your new supplier?
Click here to get a quote on trade company evaluation
GIS Inspection Benefits
- Only full-time inspectors but part-time or freelancers are used, less bribery risks;
- Service rate is $150/Man-day all-inclusive in China’s major manufacturing regions;
- A strong network of 200+ full-time inspectors located in China, Vietnam, India and Malaysia;
- 14+offices for management locally based in Guangzhou and all major manufacturing regions;
- Inspection reports delivered within 24 hours after the inspection;
- Dedicated account manager and customer service 24/7.
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