Out of the box there is no functionality for that. With some use of custom office and other customizations you can lock down some things. Can you be more specific? Do you not want them to be able to get into vendor maintenance/inquiry? Not be able to see them in a lookup at all? Not enter a invoice? Not run a report including them? Etc. etc. The first example wouldn't be too hard to customize. The remaining ones would get pretty complicated fast.
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