woman sitting at desk working on computer

New Vendor Onboarding Checklist

    Item
    Purpose
Educate Vendors on Working with Your Company — start your relationship with your vendors on the right footing — set their expectations early on by educating them on your terms, processes and procedures Enhance relationship
Welcome Package — provide vendors with welcome package with instructions for invoice processing, completing vendor information form, W-8 or W-9 forms, payment terms, pricing and discounts, returns and account credits process Eliminate errors, missing information and exception items; adhere to policies
Collect Required Documentation — collect any licenses, insurance, ACH forms, certifications and other documentation from vendors Enforce policies, eliminate missing information
Gather Supplier Contact Information and Their Roles — get to know your suppliers Enhance relationship
New Vendor Information Form — have vendor complete vendor information form to collect pertinent information about vendor, such as name, address, phone number, email, EIN, bank details, demographic information, etc. Eliminate errors, missing information and exception items; adhere to policies
Tax Classification — determine whether new vendor is a self-proprietor, partnership, C corporation, S corporation, trust or estate Eliminate fines and penalties, reduce audit exposure and time in audit
Taxpayer Identification Number Validation — compare new vendor TIN and address provided on W-9 with IRS records to ensure accuracy when filing 1099s Eliminate fines and penalties, reduce audit exposure and time in audit
OFAC/SDN/Other Verifications — check government watch lists to ensure it is legal to do business with a new vendor Eliminate fines and penalties, reduce audit exposure and time in audit
Withholding and 1099/1042 Planning — determine whether backup withholding is required; determine if new vendor will require a 1099, 1042 and document Eliminate fines and penalties, reduce audit exposure and time in audit
Securely Store Vendor Information Forms, W-8s and W-9s and Other Documentation — ensure forms are available when you need to access them Protect from fraud and cyber risk
Maintain Notes on New Vendor Processing — keep notes on each vendor in case of an audit Eliminate fines and penalties, reduce audit exposure and time in audit
Train Suppliers on Invoice Inquiries and Other Communication Protocols — let vendors know upfront how to communicate with your organization if they have questions about invoice receipt and payment Enhance Relationship

 

 

Lets Talk!

Vendor Inquiries

— Simplified

Please enable JavaScript in your browser to complete this form.