Vendor relationships are a key part of any building materials operation—but they also come with compliance risks. From expired insurance certificates to missing certifications, lapses on the vendor side can quickly become liabilities for your business.
That’s why tracking and maintaining vendor compliance records is so important. Whether it’s for internal audits, insurance coverage, or supplier evaluations, here’s what to document—and how to keep it organized.
- Proof of Insurance
Every vendor or subcontractor delivering to your yard, working on your site, or providing high-risk services should provide:
General liability insurance
Auto liability (for delivery partners)
Workers’ compensation (if required)
Best practice: Store copies of each certificate and set alerts for expiration dates.
- Business Licenses and Certifications
Depending on your region or industry, certain vendors may need to show:
Contractor’s licenses
Business operating licenses
Environmental or safety certifications (especially for hazardous material handlers)
Keep these on file and ensure they match what’s required by your province or state.
- Signed Contracts and Agreements
Maintain copies of:
Terms and conditions
Pricing agreements or bids
NDAs or confidentiality agreements
Service-level agreements (SLAs)
This helps resolve disputes and provides a reference during vendor reviews.
- Safety and Regulatory Documents
If vendors handle materials on your property or near your teams, request:
SDSs for any materials they bring on-site
Safety plans or training certifications
Equipment inspection logs (for cranes, lifts, etc.)
You’re responsible for safety on your site—even when vendors are involved.
- Performance and Incident Records
Track vendor reliability over time:
Missed or delayed deliveries
Quality control issues
Safety violations
Customer complaints
An ERP system or shared vendor dashboard can help you maintain a full vendor history and flag high-risk partners early.
Final Tip: Staying on top of vendor compliance isn’t about micromanaging—it’s about protecting your business. With the right records and alerts in place, you avoid last-minute scrambles and ensure you’re only working with reliable, compliant partners.
How to Prepare for a DOT Roadside Inspection
If your building material supply business operates commercial trucks—whether for local deliveries or regional freight—you’re on the DOT’s radar. Roadside inspections are unannounced, and how your team handles them can impact your safety rating, insurance costs, and operational downtime.
