Vendor Risk Assessment Form Template for Nigeria

A Vendor Risk Assessment Form helps Nigerian businesses evaluate potential suppliers and partners before working with them. It's a structured checklist that captures key information about a vendor's financial health, security practices, and compliance with local regulations like CAMA 2020 and the Nigerian Data Protection Regulation.

Companies use these forms to spot potential risks early - from data breaches to supply chain disruptions. The assessment typically covers business licenses, insurance coverage, financial statements, and operational capabilities. Many Nigerian banks and large corporations require completed risk assessments from all new vendors to protect themselves and meet regulatory requirements.

Use a Vendor Risk Assessment Form before signing any new supplier agreements or when reviewing existing vendors in Nigeria. This becomes especially important when engaging vendors who will handle sensitive data, provide critical services, or have access to your company's systems - like IT providers, financial services firms, or major suppliers.

Key times to conduct these assessments include during vendor selection, before contract renewals, after significant changes in a vendor's business structure, or when Nigerian regulations change. For companies regulated by the CBN or operating in financial services, completing these assessments helps maintain compliance with vendor management requirements and protects against operational risks.

• Basic Assessment Form: Covers fundamental vendor details, financial health, and compliance with Nigerian business regulations - ideal for small businesses and routine suppliers
• Comprehensive Risk Form: Includes detailed security protocols, data protection measures, and NDPR compliance sections - used for tech vendors and sensitive data handlers
• Financial Services Template: Features additional CBN-specific requirements, anti-money laundering checks, and enhanced due diligence sections
• Critical Supplier Assessment: Focuses on business continuity, disaster recovery, and supply chain resilience - crucial for essential service providers
• Industry-Specific Forms: Tailored versions for healthcare, manufacturing, or oil and gas sectors, incorporating relevant regulatory requirements

• Procurement Teams: Lead the vendor assessment process and maintain Vendor Risk Assessment Forms as part of their supplier management duties
• Risk Management Officers: Review and evaluate completed forms to identify potential risks and recommend mitigation strategies
• Legal Department: Ensures the forms comply with Nigerian regulations and updates them when laws change
• Vendor Companies: Complete these forms, providing detailed information about their operations, compliance, and risk controls
• Compliance Officers: Monitor ongoing vendor relationships and verify information against CBN guidelines and NDPR requirements
• Senior Management: Make final decisions based on assessment results and sign off on high-risk vendor relationships

• Vendor Details: Gather basic information including CAC registration, tax identification number, and years in business
• Financial Information: Collect recent financial statements, bank references, and credit history reports
• Compliance Status: Document licenses, certifications, and compliance with Nigerian regulations like NDPR
• Risk Categories: Define specific areas of assessment based on service type - data security, operational, financial, or reputational risks
• Scoring System: Create clear evaluation criteria and risk rating scales
• Review Process: Establish who needs to approve the assessment and what risk levels trigger escalation
• Documentation: Include space for supporting documents and evidence of vendor claims

• Vendor Information Section: Legal business name, CAC registration details, and authorized representative contacts
• Risk Assessment Categories: Clear evaluation criteria aligned with CBN guidelines and NDPR requirements
• Data Protection Clauses: Specific sections addressing data handling, security measures, and breach notification procedures
• Compliance Declaration: Vendor's confirmation of adherence to Nigerian laws and industry regulations
• Financial Disclosure: Requirements for financial statements and credit information sharing
• Regulatory Attestation: Confirmation of licenses and permits required for business operations
• Signature Block: Space for authorized signatures, dates, and company seals

A Vendor Risk Assessment Form differs significantly from a Vendor Risk Management Policy in both scope and application. While they're related, understanding their distinct roles helps ensure proper risk management in your organization.

• Purpose and Scope: A Vendor Risk Assessment Form is a specific evaluation tool for individual vendors, while a Vendor Risk Management Policy sets the overall framework and guidelines for how your organization handles all vendor relationships
• Timing of Use: Assessment forms are completed for each new vendor or during periodic reviews, whereas the policy document remains relatively stable and guides all vendor interactions
• Content Focus: The assessment form captures specific vendor details and risk metrics, while the policy outlines procedures, responsibilities, and risk tolerance levels
• Legal Standing: The policy serves as an internal governance document, while assessment forms become part of your contractual documentation with vendors