A real company number does not make an invoice safe. A valid VAT number does not prove that the bank account belongs to the supplier. The payment request still needs its own check.
My process is simple:
- capture the supplier's documents and stated details;
- check the entity in the appropriate official register;
- validate the VAT number where it applies;
- reconcile every name, number, address and beneficiary; and
- confirm any new or changed payment instruction through an independent contact route.
If those fields do not tell one coherent story, I pause the payment. I do not treat the mismatch as an administrative detail just because the website looks professional.
This guide is deliberately narrow. It covers identity and payment-destination reconciliation. The broader supplier-vetting process also checks contact authority, product capability, samples, commercial terms and inspection.
1. What this check can establish
The check can help you establish:
- which legal entity appears in the relevant register;
- whether the supplier's stated VAT number can be validated for the relevant check;
- whether the quotation, invoice, purchase order and payment request name the same seller;
- whether a trading name, group company or payment agent has been explained; and
- whether a changed bank instruction has been confirmed outside the original message thread.
It cannot establish that the supplier is solvent, owns stock, makes the product, is authorised by a brand, will deliver on time or complies with every product rule in your destination market.
That distinction is the point. You are reconciling identity and payment instructions, not buying a guarantee.
2. Create one record before you search
Start by saving the documents you already have. Use the original files where possible, not only screenshots copied into a chat.
| Source document or record | Fields to capture |
|---|---|
| Website and email signature | Trading name, domain, phone, address and named contact |
| Quotation or pro forma invoice | Legal name, address, registration number, VAT number, product, currency, date and payment instructions |
| Purchase order or contract | Contracting entity, product version, quantity, price, delivery terms and payment milestones |
| Bank instruction | Beneficiary name, bank country, account identifier, currency and date received |
| Official register result | Registered name, number, address, status and date checked |
| VAT validation result | VAT number, member state, result and date checked |
| Callback note | Number sourced independently, person reached, what was confirmed and when |
Give each record a version or date. If a supplier sends a revised invoice, keep the old one and note exactly what changed.
The record should make discrepancies visible. A long email chain can hide a changed beneficiary. A single table makes it obvious.
3. Check the legal entity in the right register
Use the official company or business register for the country where the supplier says it is established. Do not use a paid data page as your only evidence when the official register is available.
For a UK company, the Companies House search service provides public company information. The related GOV.UK guidance explains that the service can show details such as the registered name, company number, registered office, status, filing history and officer information. It also warns that the public information is not comprehensive and should not be treated as a complete source of company law or information.
I record:
- exact registered name and number;
- registered office address;
- entity type and status;
- recent name or address changes;
- filing or insolvency information that may affect the decision; and
- the date and link to the result.
Other countries use different registers and disclose different fields. Find the relevant national source. If you cannot identify the register, record that as an open item rather than substituting a commercial directory profile.
The result supports a narrow conclusion: an entity with these public details appears in the register at the time checked. It does not prove that the person contacting you works for that entity or that the entity controls the account in the payment request.
4. Validate the VAT number, then understand its limits
For an EU supplier that gives you an EU VAT number, use the European Commission's VIES VAT-number validation service, where relevant to the transaction. Save the number checked, the member state selected, the result and the date.
The result is useful for a consistency check. Compare the country and legal name with the quotation and register result. If the name is not returned, the service is unavailable or the number belongs to a different entity, ask the supplier to explain before you continue.
VIES is not a due-diligence report. A VAT validation does not prove:
- that the business is reliable or financially sound;
- that the person emailing you is authorised;
- that the supplier owns the goods;
- that the products are genuine or compliant; or
- that the bank beneficiary is controlled by the VAT-registered entity.
Do not use a VAT result as the answer to a bank-detail question. It is one field in the reconciliation record.
5. Reconcile the names and addresses
Now place the stated values beside the independently checked values.
| Field | Supplier-stated value | Independently checked value | What to do if they differ |
|---|---|---|---|
| Legal name | Quotation, invoice and contract | Company or national register | Ask which entity is contracting and request a corrected document |
| Trading name | Website and email signature | Written link to the legal entity | Ask for the relationship in writing |
| Registration number | Invoice or supplier email | Official register | Stop if the number belongs to another entity |
| VAT number | Invoice and quote | VIES or national VAT authority | Check country, name and transaction relevance |
| Registered address | Invoice and contract | Official register | Ask whether the warehouse or factory is separate |
| Bank beneficiary | Payment request | Contracting entity and independent callback | Do not pay until the difference is explained and verified |
| Contact | Email sender | Public company route or switchboard | Confirm that the person is authorised to quote and change payment details |
Not every difference is evidence of fraud. A trading name can sit above a legal entity. A group company can invoice for goods made by another company. A payment service or finance company can receive funds under an agreed arrangement.
The burden is not to reject every complicated structure. It is to make the structure explicit, document who is contracting with you and verify that the payment route matches the explanation.
6. Reconcile the bank beneficiary separately
The bank beneficiary is the field I treat most carefully because a transfer can be difficult to reverse once released.
Ask the supplier to state:
- the beneficiary's full name;
- the beneficiary's relationship to the contracting entity;
- the bank country and currency;
- the account identifier or last four characters, where appropriate; and
- the invoice or order reference the payment should settle.
If the beneficiary is different from the legal seller, ask for the commercial reason and supporting documents. Do not accept “our finance department” as the whole explanation.
For a first payment or any change to an existing instruction, call a number obtained independently. Use the company website, an official register, a prior verified contact or another route that was not supplied in the change message. Confirm the beneficiary and invoice reference with someone who can verify the instruction.
Write down:
| Callback field | Record |
|---|---|
| Number used | Where you found it |
| Person reached | Name and role |
| What they confirmed | Beneficiary, account ending, invoice and amount |
| Date and time | When the confirmation happened |
| Decision | Pass, open, hold or stop |
Do not call the number in the suspicious email if you are testing that email. It may lead to the same person who sent the request.
7. Worked example: a real company with the wrong beneficiary
Imagine that a supplier introduces itself as Northstar Homeware. You find Northstar Homeware Ltd on the UK register. The company is active and the registered office is in Manchester.
The pro forma invoice, however, is issued by Northstar Trading. The VAT number refers to a different entity, and the bank beneficiary is an individual's name in another country.
I would not conclude “scam” from the first mismatch alone. I would put the payment on hold and ask for:
- a corrected invoice naming the contracting entity;
- a written explanation of the relationship between Northstar Homeware Ltd, Northstar Trading and the individual beneficiary;
- supporting evidence for any group, payment-agent or finance-company arrangement; and
- independent confirmation from a public company contact, not only the original sales thread.
If the answer is coherent and independently confirmed, the issue becomes a recorded control. If the answer changes, the supplier refuses a callback or the beneficiary cannot be explained, I stop the payment.
The example is deliberately ordinary. Payment diversion often succeeds because each individual discrepancy is explained away while nobody compares the full set of fields.
8. Stop rules
I stop or hold the payment when:
- the legal name on the invoice does not match the entity you intended to contract with;
- the registration or VAT number belongs to another entity without a documented explanation;
- the supplier refuses to name the contracting entity;
- a new beneficiary is introduced just before payment;
- the only confirmation for a bank change is the same email thread that announced it;
- the beneficiary is in another country and the supplier cannot explain why;
- the contact will not allow an independent callback; or
- the supplier pressures you to pay before the discrepancy is resolved.
A hold is not a verdict. It is a control. Name the evidence needed to release the payment, and keep the previous documents in the record.
9. What to do next
Once the identity and payment route agree, continue with the rest of the supplier check. Confirm the contact's authority, product capability, sample, terms and market-specific evidence.
Use the supplier verification checklist to record each check. If the payment request changed late in the process, read the supplier payment-scam guide before you release funds. For a broader decision, return to how to vet a wholesale supplier.
This is general operational guidance, not legal, tax, banking or financial advice. Register and VAT services have their own scope and limitations. Check the relevant authority and obtain qualified advice for a material or complex transaction.
10. Frequently asked questions
Does a company registration prove that a supplier is legitimate?
No. It supports the conclusion that an entity appears in the relevant register. It does not prove that the contact is authorised, that the entity controls the bank account or that the supplier can provide the product as promised.
Does VIES prove that a supplier is safe?
No. VIES can be a useful VAT-number validation for a relevant EU cross-border check. It does not provide a supplier audit, credit opinion, brand-authorisation check or bank-account confirmation.
Can a supplier use a different bank beneficiary?
Sometimes there is a legitimate group company, payment agent or finance arrangement. Ask for the relationship in writing and confirm it through an independent contact route before paying. If it cannot be explained, stop.
What should I do when a supplier changes bank details?
Treat it as a new verification event. Preserve the old instruction, contact the supplier through an established route and confirm the new details with someone authorised to do so. Do not rely on the change email alone.
How often should I repeat the check?
Repeat it when the risk changes: a new legal entity, product, market, bank account, supplier contact, production site or materially larger order. Keep the date and evidence for every review.