How? Every self-respecting businessman should check the counterparty before concluding a deal. If not by himself, then with the help of special services or professionals from the relevant agencies. You can also hire a specific person for these purposes.
Why? Yes, it means additional expenses. But it's better than a damaged reputation. Fraudsters are ready to fool anyone. It's better not to deal with them right away, and that's why you need to recognize them.
The article explains:
Who is a counterparty?
When and why to the advantages of line database check counterparties
4 myths about counterparty verification
3 ways to check counterparties for reliability
Instructions for independent verification of counterparties
Paid services for checking counterparties
Signs of an unscrupulous counterparty
What happens if you don’t check your counterparty
Final tips for checking counterparties
5 Scenarios for Using Neural Networks to Increase Website Conversion by 40%
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Who is a counterparty?
A counterparty is an individual or legal entity with whom a civil law contract is signed. That is, we are talking about a supplier or buyer of goods and services. A counterparty can be, for example, a construction company that is building a house, or an individual entrepreneur who purchases greenery from private households.
In most cases, the term "counterparty" is used to describe the relationship between legal entities and individual entrepreneurs. It is not used in everyday life. Although an individual is also a counterparty, individuals rarely sign agreements and only when concluding transactions for large sums. Thus, the sale of a car or land cannot be done without an agreement.
Conclusion of a purchase and sale agreement
When and why to check