How to Verify an FCO (Full Corporate Offer)
By the Vanguard Verify desk · Published 2026-10-24 · Updated 2026-10-30
Short answer: an FCO (Full Corporate Offer) is a seller's written offer of product, quantity, price, delivery and payment terms. It has no official standard and is not proof that goods exist. Verify it by confirming the issuing company is real and entitled to sell, checking that the specification, Incoterms rule and price make commercial sense, and requiring proof of product (POP) before any money or bank instrument moves.
Step-by-step check
- Verify the issuer. Look up the exact legal name and registration number in the official company registry of its country (for example UK Companies House) and in the GLEIF LEI search. Check the registered address, status (active), directors and incorporation date.
- Match the signatory. The person signing should be a director or hold a written authority. Confirm the email domain matches the company's official website.
- Check the Incoterms rule. It must be one of the 11 Incoterms 2020 rules with a named place — e.g. "CIF Jebel Ali, Incoterms 2020". FOB, CFR, CIF and FAS are for sea and inland waterway transport only.
- Test the specification. Compare it against the recognised standard for the product (e.g. ICUMSA 45 for refined sugar, EN 590 for diesel). Contradictory or copy-pasted specs are a warning sign — see is an ICUMSA 45 offer real?
- Compare price to market. Check published benchmark prices. An offer far below market with no explanation needs scrutiny.
- Check the procedure. Buyer gives proof of funds (POF); seller gives proof of product (POP). Inspection should be by an independent body at load port, and payment by DLC, SBLC or escrow per the contract.
- Trace the chain. Ask whether the issuer is the producer, the title holder or an intermediary. If it is a mandate, ask for the mandate letter and verify the principal too.
Red flags
- Fees requested before a contract — "documentation", "registration" or "legalisation" charges.
- Buyer must send POF or open an instrument before the seller shows any POP.
- No named Incoterms place, or an Incoterm that doesn't fit the transport.
- Huge monthly quantities on long contracts from a company with no visible trading history.
- Company registered very recently, dormant, or at a virtual-office address with no operations.
- FCO issued before the buyer's ICPO was checked — see how to verify an ICPO.
What to check, at a glance
| FCO item | Verify against |
|---|---|
| Company name & number | Official registry, GLEIF LEI |
| Signatory | Registry director list or written authority |
| Delivery term | Incoterms 2020 rule + named place |
| Specification | Recognised product standard |
| Price | Published market benchmarks |
| Goods exist | POP and independent inspection |
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FAQ
What does FCO stand for in trade?
Full Corporate Offer: a seller's written offer setting out product, specification, quantity, price, delivery and payment terms.
Is an FCO legally binding?
It depends on its wording and the governing law; many FCOs are expressed as offers subject to contract. The binding document is normally the signed sales contract (SPA). Take legal advice for your situation.
Should I pay a fee to receive an FCO?
Paying upfront fees to receive an offer is a common warning sign. Legitimate costs are normally set out in the signed contract.
Vanguard Verify is run by Vanguard Trade Capital Goods Wholesalers DWC-LLC, Dubai South, Licence 14282. This answer is general information, not legal or financial advice.