Can I ask a buyer to prove who they are before I send information?

Asking a buyer to identify themselves is a normal first step, and a serious buyer will not take offence. Sellers worry about handing financial statements to a competitor, a fraudster or someone fishing for information, and the cheapest protection is to confirm who is on the other end before the information moves. This identity check is separate from judging whether the buyer can afford the business.

What to ask for

Ask for the buyer’s full legal name, the name of the company or holding company that will make the purchase, and the name of the person who will sign the NDA for it. A numbered company or a newly formed holding company is common and not suspicious in itself, but you should know who stands behind it. Match those names to the NDA signature block so that the right entity is bound.

Check the public registries

Corporate registries are public. Ontario’s Business Registry can be searched free of charge for basic information, and most of what is filed, including the registered office address, is on the public record. BC Registries lets you request information about businesses registered in British Columbia. Corporations Canada offers an online search for federal corporations by name, corporation number or business number, with published details of individuals with significant control. Compare the name and address with what the buyer told you.

What a registry cannot tell you

A registry confirms that a company exists, not that the person writing to you is authorized to act for it or has the money to buy. Ask for a call or video meeting where the person can confirm their role, and write back only to an address on the company’s own domain. Funding is a separate step, covered under proof of funds, and how to qualify a buyer sets out the full sequence.