Software House – How to choose and what to ask?

1. Criteria for choosing a software house offer
2. Key questions before signing a contract with a software house

Summary



Cooperation with a software house is fundamental for companies planning to implement IT projects. The supplier market is vast – the Clutch platform lists over 350,000 companies from around the world. So how do you choose a partner that best meets the specific needs of your business? This guide presents the most important selection criteria, key questions to ask before signing a contract, the differences between collaborating with a local and a foreign company, as well as methods for assessing the supplier's readiness to build a long-term relationship.

• Industry experience and portfolio

Analysis of previous projects allows you to assess whether a given software house has experience in projects similar to yours – both in terms of functionality and industry specifics. The presence of such projects in the portfolio significantly increases the likelihood of smooth implementation and a faster understanding of your unique business requirements.

• Technology stack and team competencies

Each software house specializes in specific technologies and working methodologies. It is crucial that the team can propose a solution perfectly tailored to your needs – both in functional and organizational requirements. An experienced technology partner will not only adapt to your assumptions but also indicate the optimal implementation paths, taking into account business goals, scalability potential, and integration possibilities with existing systems.

• Client reviews and references

A company's reputation is a reliable indicator of the quality of services provided. It is worth looking for independent opinions and reviews from previous clients, for example, on industry portals such as Clutch. Positive ratings and references testify to punctuality, high quality of work, and professionalism. A reliable software house should easily provide you with case studies and, at your request, enable contact with clients who will confirm its competence.

• Work methodology and project management

It is worth finding out how the software house manages projects – whether it prefers agile methodologies (such as Scrum or Kanban) or a waterfall approach. It is also important how much you, as the client, will be involved in the process – for example, through regular progress presentations (demos), iteration (sprint) planning, or ongoing consultations. The working style should harmonize with your expectations and the organizational culture of your company. A good practice is a flexible approach – an experienced partner can adapt the way of cooperation to the individual needs of the client and the specifics of a given project.

• Communication and transparency

Effective cooperation is based on regular contact and transparency of actions taken. Already at the stage of submitting an offer, it is worth assessing how quickly and specifically the company responds to your questions. Good practices include clear information about progress, the availability of the project team, and convenient communication channels (e.g., Slack, Teams, regular status meetings). Avoiding specific answers may signal potential problems in further cooperation.

• Code quality and testing

Code quality directly affects the stability and future development of your solution. It is worth asking about the quality assurance (QA) practices used, the presence of testers in the team, the conduct of integration tests, and the use of continuous integration and continuous deployment (CI/CD) tools. It speaks positively of the company if it is willing to share fragments of technical documentation or code for review. A very low price may involve compromises in quality – therefore, it is crucial that the software house attaches great importance to technical standards and rigorous testing.

• Pricing transparency and billing model

Transparent pricing builds trust and facilitates control over project costs. A good offer should clearly define the scope of work and any potential additional costs. It is worth comparing different billing models – Fixed Price is suitable for a well-defined scope, while Time & Material offers greater flexibility. Ask about possible changes and whether the offer includes post-implementation support. A price that is too low may indicate hidden costs or lower quality of services.

Tip: Do not hesitate to ask for additional explanations to the presented offer. A professional software house will appreciate your proactiveness – it indicates a serious approach to the project. A company confident in the quality of its services will be transparent about costs and the course of the implementation process. If you have any doubts, it may propose additional meetings before the start of the project to more accurately estimate its scope.

Before making a final decision and signing a contract with the chosen supplier, it is extremely important to conduct detailed discussions and ask key questions. This will allow you to dispel any doubts and ensure that the expectations of both parties are fully aligned. Here is a list of key issues worth discussing before starting cooperation:

• Who will be part of the project team?

Ask for an introduction of the key team members – their roles, experience, and competencies, with particular emphasis on the Project Manager, system architect, technical lead, and experienced programmers (senior developers). Make sure they have the relevant qualifications and that the team will be dedicated exclusively to your project.

• What will the development and communication process look like?

Ask for a detailed description of the project implementation step by step – does the company work in iterations (sprints), how often will you be informed about progress, and what does the process of accepting subsequent stages of work look like? Find out what communication and project management tools the company uses (e.g., Slack, ClickUp) and whether their working style will provide you with an adequate level of control over the project.

• How are costs and lead times estimated?

Ask about the assumptions on which the pricing is based – whether it is based on the number of hours worked, specific functionalities, and technologies used. This will allow you to verify whether both parties have a consistent understanding of the project scope and whether the offer includes all your expectations. Also, ask how the company approaches unforeseen changes – do they require a separate agreement, or can they be implemented within the established budget?

• What billing model do you propose, and what are the payment terms?

Determine whether the preferred model is Fixed Price or Time & Material – each of them differently affects budget control and the possibility of making changes to the project. Ask about the rules for billing additional work, how working time is reported, and the payment schedule (advance payment, milestone payments, final payment). Clear financial rules will streamline cooperation and minimize the risk of misunderstandings.

• How do you handle testing and quality issues?

Find out if there are dedicated testers or programmers with testing skills in the team, and what types of tests are planned before implementation (e.g., unit, integration, performance). Make sure that the test plan is part of the offer and whether you will have the opportunity to conduct user acceptance testing (UAT). A solid approach to quality assurance (QA) is a guarantee of stability and error detection before the system is launched.

• Do you offer post-implementation support and maintenance?

Determine whether the company provides technical support after the project is completed – for example, in terms of bug fixes during the warranty period, system monitoring, backups, or infrastructure maintenance. Ask how long the support included in the price lasts and what the rates are after it ends. Also, check if there is a Service Level Agreement (SLA) in place, specifying, for example, the response time to serious failures. Clear arrangements in this regard will help avoid problems after implementation.

• How do you secure data and do you comply with GDPR requirements?

In the case of processing business data, appropriate security measures are crucial. Ask about the security measures used and experience in creating systems compliant with GDPR. Make sure that the contract regulates issues of confidentiality, data ownership, and source code.

• Do you have experience in projects similar to mine?

Although the portfolio may suggest relevant experience, it is worth asking about it directly to hear how the company describes projects similar to yours – for example, what challenges they encountered during development and implementation and how they solved them. Often, important details emerge during such a conversation. This is also a good time to ask for contact with a reference client who implemented a similar project.

Choosing the right software house is a strategic decision that significantly affects the success of your IT project.

The supplier's industry experience, confirmed by a solid portfolio and projects similar to the planned undertaking, is of key importance. The team's competencies and the technology stack used, which should meet your business needs and enable seamless integration with existing systems, should be carefully analyzed. Opinions from other clients and independent references are a valuable source of information about the quality of cooperation and the reliability of a potential partner. The work methodology, project management style, and the level of your involvement should be consistent with your company's organizational culture. Transparency of communication and the availability of the team already at the offer stage are extremely important. The quality of the code created and the approach to testing directly affect the long-term stability of the solution, so these aspects require detailed discussion. Transparent pricing, a clearly defined billing model, and the willingness to provide post-implementation support are signs of maturity and professionalism of the technology partner.

Before signing the contract, be sure to ask key questions regarding, among other things, the composition of the project team, the development process, testing procedures, data security, and the company's previous experience in similar projects. Careful analysis of all these areas will minimize risk and ensure the optimal matching of the supplier to your business expectations.