Primary Steps in VDD Vendor Due Diligence

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It is the most essential step in vendor due diligence to find out the potential issues. Corporations must ask companies to submit their relevant documents to initiate the process. Primary checks are applied to ensure the smooth onboarding of vendors.KYB Certification Know your business KYB is an integral part of due diligence to verify it. KYB involved gathering the business data and screening it against databases of legal authorities. The analysis of documents and ownership structure is done to validate the business. According to research, 58% of frauds occurred because of inefficient KYB processes.

Background Check The financial history is the focal point of vendor background checks conducted through payment service provider PSP. It helps analyze vendors' past business practices and their legitimacy. Adverse media screening is also done to evaluate any history of chargebacks. If the company has any fraud or corruption history, it raises red flags. Risk Assessment India Phone Number List Studies show that 70% of businesses experience fraud while operating. The main reason behind that is that there are improper measures for risk assessment. However, vendor due diligence plays an influential role in identifying potential risks and threats. On-time risk assessment prevents fraud and fines in attaining business future goals. Business partners will have transparency in financial relations.




Setting up Account When the vendor is verified, the account is created with payment service provider PSP. Link the merchant's mobile app or POS system to the PSP payment gateway for seamless payment processing.