Sourcing products from overseas can help your business access better prices, goods, and terms. However, it comes with risks and they are just as many as the benefits themselves. International wholesale supplier scams are on the rise, and falling victim is easier than you think.
Needless to say, that falling victim throughout this process means you:
- Lose money.
- Have delayed shipments affecting your supply chain.
- Get into legal trouble.
- Go bankrupt because of an entire decision.
The idea is to learn how to protect yourself by learning how to verify overseas suppliers 2025. At Coastal Surplus Solutions, we have all the knowledge, information, and key aspects to support you.
Our team helps you recognize red flags in global wholesale deals, learn how to use safe payment methods for imports, and choose the best countries for wholesale sourcing.
How do we do it?
You can find the key aspects right below to get started on your guide and what you must see to know they are not the right option.
Red Flag 1: No Verifiable Business Address or Certifications
When searching for suppliers, you need to keep an eye on their legal information and the address and certifications they share.
Are they real? Have they changed it recently? Or have they been working for a while with?
There is a lot involved and you need to make sure you know what they are giving or not, and if it is all valid.
One of the most common red flags in global wholesale deals is a supplier who cannot provide any evidence of this. Hence, always look for companies who have:
- A physical office or warehouse address, which you should be able to verify.
- Clear business registration, export licenses, relevant documentation, ISO compliance, and much more.
- Professional website and consistent contact information around the web.
Red Flag 2: Requests for Upfront Payment via Wire Transfer
Regular procedure? Scanner asking for 100% payment upfront.
While this may seem obvious considering how suppliers tend to be the ones losing once they don’t have their supplies to sell, this is far from how payment should be handled.
Most scammers will also ask for this payment through wire transfers or unconventional methods, like cryptocurrency.
The main reason behind this is because of how difficult it is to track these types of transferences.
And, as stated by Idenfy, fraudsters can easily disappear with your money, leaving you with no resource due to how you cannot request refunds most of the time.
Stick to traditional, secure platforms like credit cards, PayPal, or similar options.
This sounds obvious, but it’s often overlooked, and you can to stick classic when avoiding international wholesale supplier scams.
Solution to Your Problems: Use Platforms like Alibaba Trade Assurance
You can avoid scams and verify overseas suppliers 2025 by using the right platforms and places.
Options like Alibaba’s Trade Assurance offer buyer protection, such as holding your payment in escrow until you confirm you received the goods.
And the goods you received need to fulfill expectations and what was offered and promises by the client.
The key to those platforms is that you can always go through a verification process.
For instance, you can:
- Request and review key documents and certifications.
- Start with a small test order since minimum order quantities are usually lower.
- Booking third-party inspection or using verification services.
- Use safe payment methods for imports without being forced to pay 100% upfront either.
Best Countries for Wholesale Sourcing
Scams are everywhere and can happen anywhere.
This is why it can be tough to decipher a process and know where to go through. This is why it is key to understand your market and how the international flow works.
When going for specific industries or deciding to go for international sourcing, try focusing on these best countries for wholesale sourcing as established by experts and our experience:
- China: It offers a wide selection of items, but requires vetting.
- Vietnam: Great reputation with textiles, electronics, and furniture.
- India: Strong goods in jewelry, textiles, and handicrafts.
- Mexico: Excellent for North American sellers due to proximity.
At Coastal Surplus Solutions, we navigate all this wide market with and for you. This allows you to save time and focus more on your actual tasks and needs.
Feel free to contact us and go through the process with our professionals and every part of surplus goods sourcing.
