Buying direct from a true manufacturer can cut costs, improve quality control, and speed up custom work. But online, manufacturers, trading companies, wholesalers, and dropshippers often look the same. This guide gives you a practical, proof-based method to tell them apart—fast.

TL;DR: The 3-Step “Proof, Process, Paperwork” Test

Start with a quick triage. If a site fails any one of these, proceed with caution.

  1. Proof: Can they show credible evidence of production (factory address, equipment, in-house QC, production team, OEM/ODM)?
  2. Process: Do MOQs, lead times, and engineering support match a factory’s reality (not a reseller’s)?
  3. Paperwork: Do legal records, compliance certificates, and identifiers (VAT/EIN, ISO, CE/FCC/UL, GS1 barcodes, trademarks) trace back to them?

If all three align, you’re likely dealing with a real manufacturer.

Why distinguishing matters

A real manufacturer usually gives better unit economics at scale, tighter quality control, and faster customizations. An intermediary can be useful for small runs or multi-category sourcing, but you’ll pay extra margins, face inconsistent quality, and rely on second-hand information for compliance and warranty. Knowing which is which lets you set the right expectations (and contracts).

Evidence on the website: signals that actually prove things

Look for specific, verifiable details—not vague claims.

  • Factory footprint: Street-addressed facilities, floor area, machinery lists, process photos/videos, and in-house lab/QC descriptions.
  • People & roles: Named engineers, production managers, and quality leads; a careers page hiring machinists, operators, SMT techs—not only sales reps.
  • Process depth: BOM materials, tolerances, certifications mentioned by scope (e.g., “Design & manufacture of…”), and QC stages tied to standards.
  • Narrow specialization: Focused product families and deep technical pages (drawings, CAD notes, maintenance specs) beat “we sell everything” catalogs.

The table you can actually use

The table you can actually use

Check What to do Likely manufacturer signal Likely intermediary signal
Legal entity Look up company registration, VAT/EIN, business registries in the firm’s country. Records match site name, address, and activity (manufacture/production). Recent shell entity, mismatched addresses, “virtual office”.
Factory address Verify on maps/street view; request a live video walk-through. Industrial site, loading bays, signage; floor space consistent with output. Coworking or residential address; no site visit possible.
Certifications Ask for ISO 9001 scope, CE/FCC/UL file numbers; verify in accreditors’ directories. Certificate holder’s name matches vendor; scope includes manufacture. Certificates belong to someone else, wrong scope, or unverifiable.
Barcodes/GTIN Check GS1 ownership of brand/prefix. Brand’s GS1 data points to the same company. GTINs registered to a different company (or none).
Trademarks Search brand in TM databases (WIPO/EUIPO/TMview). Trademark owner is the same entity at the same address. Mark owned by another party; seller has only “authorization”.
Product range Scan catalog breadth and depth. Tight family, deep specs, custom options. Hundreds of unrelated SKUs; generic descriptions.
MOQ & lead time Ask for MOQ by customization level; ask capacity numbers. Higher MOQs for custom parts; lead times tied to line capacity. Any MOQ you want; vague, shifting lead times.
Engineering support Ask technical questions (tolerances, materials, test methods). Precise answers from engineers; sample control plans. Sales answers only; “we’ll ask factory” repeatedly.
Warranty/RMA Request RMA workflow and failure analysis examples. In-house FA reports; clear RMA addresses and timelines. Returns go to “partner warehouse”; no FA capability.
Pricing behavior Test volume tiers and change requests. Transparent cost drivers; stable quotes tied to materials and process. Price swings without explanation; pushes prepayment before tech details.

A step-by-step due-diligence workflow (works for B2B and advanced B2C)

Follow these steps; you’ll filter 80–90% of risky suppliers in days, not weeks.

  1. Identity & ownership
    • Match website name, legal company name, and registered address.
    • Confirm VAT/EIN (or local equivalents).
    • Optional: check the D-U-N-S number (Dun & Bradstreet) for a quick credit/identity snapshot.
  2. Brand & product ownership
    • Search the brand in national/international trademark databases.
    • For packaged goods, check GS1 (UPC/EAN/GTIN) ownership for the brand/prefix.
  3. Compliance trail
    • Request ISO 9001/14001 certificate with scope that includes manufacturing.
    • For regulated goods, ask for CE DoC, FCC ID, or UL file number (as applicable) and verify them in the official directories.
    • Ask for supporting lab reports (test house, date, model, standard).
  4. Production reality check
    • Ask for a 10–15 minute live video walk-through: materials receiving → production → QC → packing.
    • Request production photos with today’s date/PO number on a whiteboard to avoid stock photos.
    • Probe capacity: lines, shifts, monthly units, bottlenecks.
  5. Technical depth
    • Send a short spec sheet and ask three precise questions (e.g., tolerance, finish, test method).
    • Ask for a sample control plan or PFMEA summary for your SKU type.
  6. Commercials
    • Compare quoted MOQs and lead times by customization level.
    • Request tiered pricing with material and process levers called out.
    • Confirm RMA/Warranty procedures and failure analysis capability.
  7. Pilot before commitment
    • Place a small, instrumented pilot order with measurable acceptance criteria.
    • Inspect incoming goods (AQL), document defects, and review their corrective action.

A step-by-step due-diligence workflow

Marketplace reality: reading signals on platforms

Marketplaces blur lines between factories and traders. Here’s how to read them.

  • Business type vs reality: Profiles may show “Manufacturer & Trading”; judge by catalog focus, factory content, and engineering replies.
  • SKU focus: Source manufacturers usually cluster around a narrow family (e.g., only injection-molded organizers). Traders list unrelated categories.
  • Certificates & audits: Favor suppliers whose certificates and factory audits name the same company as the storefront.
  • OEM/ODM confidence: Real OEM/ODM can explain tooling, DFM, and change control; traders repeat marketing phrases.

Red flags that scream “intermediary”

  • “We can make anything” catalogs with inconsistent specs.
  • Certificates without file numbers, wrong company names, or missing test reports.
  • Returns routed to a different company/country than the seller.
  • Only sales contacts, zero production or quality contacts.
  • Prices change wildly with no explanation tied to materials or process.
  • Reluctance to show the factory on live video or to share capacity numbers.

What manufacturers typically look like

  • Focused product lines, deep spec pages, and process transparency.
  • In-house or formally contracted QC/lab capabilities.
  • OEM/ODM documentation (tooling ownership, DFM notes, ECN/change logs).
  • Career postings for production and engineering roles.
  • Stable pricing tiers linked to material and throughput, not guesswork.

What intermediaries often look like

  • “Everything store” catalogs, stock photos, and generic descriptions.
  • Certificates that don’t verify or belong to someone else.
  • No factory walk-throughs, no production roles, only responsive sales chat.
  • MOQs and lead times that magically fit any buyer’s request.
  • Warranty handled by “partner warehouses” with no root-cause analysis.

Buyer checklists you can copy

Documents to request (and verify):

  • Legal: registration extract, VAT/EIN (local equivalent).
  • Ownership: trademark registration for the brand you’ll buy; GS1 prefix/GTIN ownership for the barcode on packaging.
  • Quality: ISO 9001 certificate with scope, recent audit summary.
  • Safety/Regulatory (as applicable): CE Declaration of Conformity + test reports; FCC ID grant and test reports; UL file number; material certificates.
  • Operations: capacity statement (lines, shifts, monthly units), lead time ladder, RMA workflow.

Questions for your first call:

  1. What’s your monthly capacity for this exact product family?
  2. What’s your typical first-article lead time and tooling ownership policy?
  3. Which standards do you test to, and where are tests performed?
  4. Can we set up a 10-minute live video walk-through this week?
  5. Who is the engineering contact for DFM and change control?