Classification of vendors –

1. PO vendors
2. Non PO vendors (also considered as payee and customers.

PO Vendors are classified into 2 types:

1 time suppliers – For those whom we deal only for one-time payment

Supplier to be kept active – for those suppliers with who gives us business on a regular basis.

US vendors

Suppliers are also classified on the basis of tax registration numbers as follows

1. Individual – 1099 applicable

2. Partnership – 1099 applicable
3. Limited liability company – 1099 applicable if LLC is an individual or partnership firm
4. Corporation – there are two types of corporation (C corporation and S corporation)
5. Foreign corporation – Supplier from outside US providing services to US.
6. Other classifications – Donations, Charity, revenue share etc.

Documents required to setup US vendor –

1. W9 form – W9 form is a must for setting up an US vendor. W9 form is a form used as a tax
registration form in the United States.
2. Authorised EFT form – Incase the vendor requires payment in electronic mode.
3. W8 Form – W8 Ben E form when the vendor is from other country other than US, providing
services to US and should be a corporation. W8 Ben is a form used as W8 Ben E form but for
individual and partnership firms. If the W8 form is not submitted by the vendor then the
company will have to bare 30% withholding tax imposed by the US laws.

UK vendor

Documents required to setup an UK vendor:

1. Authorized EFT form with date and sign mentioned on it. It should consist 6 digits sort code and
account number. In case the payments have to go through Wire, then they should also provide
Swift code.
2. Tax registration number.
Canada Vendor:

1. Authorised EFT form – Incase the vendor requires payment in electronic mode. It should consist
8 Digits bank and branch code / Transit code (3 Bank code and 5 Branch code) and account
number. In case the payments have to go through Wire, then they should also provide Swift
code.

Israel Germany and France vendors

Documents required to set up:

1. For Israel, we will require WHT(Withholding Tax certificate) document.

2. Authorised EFT form – It should consist IBAN number and account number. In case the
payments have to go through Wire, then they should also provide Swift code.

Indian Vendors;

We need following details:

1. SRF form (Supplier response form) – It includes the name, address of the vendor along with
contact persons information. I also includes banking information like IFSC Code, account number
and Swift code (incase of wire payment). The SRF must also include GST number, PAN number
and also TDS details.