Know Your Suppliers
Knowing Your Fuel Suppliers Inside and Out is an essential first step to close any deal!
Acquiring new fuel suppliers is a key factor in expanding your business. Building and maintaining an effective fuel Supplier Identification Program (SIP) is essential to satisfying Know Your Customer (KYC) regulatory requirements under The Energy Independence and Security Act of 2007 (EISA) and the Prohibition of Energy Market Manipulation Rule.
Here are some due diligence steps that you should take.
Here are some studies you should conduct:
- Features of SIP and Risk Compliance
- Assess and filter out fuel leads against Ideal Buying Criteria; POF, logistical, Incoterms, delivery terms, port, and target pricing
- Analyze fuel offers for various types of scams, such as financial phishing, endorsement, and storage spoofing scams among many
- Counter-party (seller/buyer) information and verification details for initial mandatory Know Your Customer (KYC) checks
- Review preliminary KYC and risk-based analysis of fuel offer and its associated counterparty seller reputation before fully engaging in the fuel transaction
- What’s the price and quantity? Is there a CIS of the seller available?
