How to vet a software development company

Sales decks look alike. These checks show you how a vendor actually works before you sign, and most of them take less than an hour each.

Short answer

Verify every claim at its source, meet the engineers who will do the work rather than the sales team, run a short paid trial, and read the contract for IP assignment, notice periods and data protection. Then check security practices and real working-hour overlap. A vendor that cannot pass these checks quickly will be harder to work with later.

1. Verify every claim at its source

Ratings, awards and client logos are easy to put on a website. Follow each one to its source: a review platform badge should link to a live profile with dated reviews, a client logo should come with a case study and, ideally, a reference you can call. Check that the numbers agree across the vendor’s own pages; inconsistent project counts or team sizes are a warning sign.

2. Meet the engineers, not only the sales team

Ask to speak with the engineers or the tech lead who would join your project, before you sign. Ask them to walk you through something they built: the architecture, a trade-off they made, a production incident they handled. You will learn more in thirty minutes than from any portfolio.

3. Run a short paid trial

A one- or two-week paid pilot on a real but contained task shows code quality, communication and estimation accuracy. Pay for it: free trials attract vendors who make up the cost elsewhere, and you want to see the team that will actually work for you.

4. Look at how they write and review code

Ask how the team works day to day and look for specifics rather than buzzwords.

  • Code lives in your repositories from the first day, not handed over at the end.
  • Every change goes through review and automated tests in CI.
  • There is a written definition of done and a release process.
  • Documentation and architecture decisions are recorded where you can read them.

5. Read the contract for the four clauses that matter

Most disputes come from a few clauses. Check them before price.

  • IP assignment: all code and documentation assigned to you, signed before work starts.
  • Termination: notice periods you can live with and a handover obligation.
  • Data protection: a data processing agreement and, for teams outside your jurisdiction, a valid transfer mechanism.
  • Replacement: what happens if an engineer leaves, and how fast they are replaced.

6. Check security practices

Ask how access is granted and revoked, whether engineers use managed devices, how secrets are stored and how production data is kept out of test environments. A vendor that works inside your accounts and access controls is easier to audit than one that copies your code and data into its own systems.

7. Count the real working-hour overlap

Time zones matter more than vendors admit. Count the hours where both teams are actually at work, not the theoretical overlap, and check whether it holds when clocks change. Three or more shared hours a day is comfortable for most teams; less than two needs a deliberate process for handovers.

8. Ask about the bad project

Ask the vendor to describe a project that went wrong and what they changed afterwards. Every experienced team has one. An honest, specific answer is a good sign; a claim that nothing ever goes wrong is not.

Vendor evaluation scorecard
CheckWhat to ask forRed flag
ClaimsLinks to live review profiles and callable referencesBadges with no link, numbers that differ between pages
PeopleA call with the engineers on your projectOnly sales staff until after signing
TrialA paid one- to two-week pilotRefusal, or a free trial by a different team
CodeYour repositories, review and CI from day oneCode delivered at the end as a zip file
ContractIP assignment before work, clear notice and handoverIP transferred only on final payment
SecurityYour accounts, managed devices, no production data in testShared logins, data copied to vendor systems
OverlapShared hours counted in both seasons“We are flexible” with no numbers
Download the scorecard (CSV for Excel or Google Sheets)

Common questions

How many vendors should we compare?

Three is usually enough. Shortlist on fit and references, run the checks above with all three, and run a paid trial with the one or two that pass.

Are review platforms like Clutch reliable?

They are useful when the reviews are verified, dated and specific. Read the reviews themselves rather than the star rating, and ask the vendor to connect you with one of the reviewers.

Should IP transfer on final payment?

No. Ask for the IP to be assigned when the work is created, with code in your repositories. Tying IP to final payment gives the vendor leverage in any dispute.

How long should vetting take?

Two to four weeks including a short paid trial. Spending that time up front is cheap compared with replacing a vendor six months into a project.

Let’s build what comes next.

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