Sep 30, 2026Sourcing Guides
Factory Audits: What Gets Checked and Why It Matters
What a supplier verification audit actually checks - legal identity, real capacity and quality culture - and how to read the report before you commit.
A factory audit answers a question quotations cannot: is this supplier who they claim to be, and can they actually make your product at the quality you expect? This article explains what a supplier verification audit checks, what evidence you should receive, and how to act on the findings.
Identity and legal standing
The audit starts with paperwork: the business licence, the registered address versus the actual production address, and whether the entity matches the bank account you are asked to pay. Many sourcing problems trace back to an intermediary presenting itself as a factory - the audit establishes which you are dealing with.
Production capability
On site, the auditor confirms the machines, lines and workforce behind the promised capacity: whether the equipment suits your product, whether the workshop is running, and how much of the claimed output is realistic for your order size and deadline.
Quality control in practice
A quality manual on a shelf proves little. The audit looks at what actually happens: incoming material checks, in-process inspection points, how defects are recorded and handled, and whether measuring equipment is calibrated. Photos and video from the production floor are part of the evidence.
The report and what to do with it
A useful audit ends in a written report: findings classified by severity, photo evidence, and a clear statement of what was and was not verified. Findings are not automatically disqualifying - the question is whether the gaps matter for your product, and whether the supplier will commit to corrections in writing.
Frequently asked questions
Can an audit be done by video?
A video walkthrough is far better than nothing and screens out the worst cases, but it cannot replace an on-site visit for capability and quality-culture assessment - use video first, on-site before larger commitments.
Trading company or factory - which is better?
Neither is automatically better. Factories suit deep technical products; trading companies consolidate and handle paperwork. The audit establishes honesty about the role, which matters more than the role itself.
How often should a supplier be audited?
Before the first order, and again when the order size jumps, the product changes, or problems appear. Repeat orders with stable quality rarely need repeat audits.
Migibio Sourcing carries out supplier verification and factory audits across China, with written reports and photo evidence - tell us the supplier you are considering and we will check it on the ground.
