5 common mistakes when choosing a software provider and how to avoid them
Choosing the right software provider is one of the most critical decisions in any technology project. I’ve seen companies lose months — and thousands of dollars — because of rushed decisions or lack of analysis. From my experience supporting software evaluation processes, I can confirm that many of these mistakes are avoidable if you learn to spot the warning signs early.
Hiring a software provider isn’t just about selecting someone to write code; it’s about choosing a strategic partner who will have a direct impact on the success or failure of your project. It doesn’t matter whether you’re developing a small app or a critical enterprise system — the right provider makes all the difference.
Over the years, I’ve seen the same mistakes repeated across different industries and company sizes. Here are the 5 most common mistakes when choosing a software provider, along with practical advice on how to avoid them.
Mistake #1: Choosing Based Only on Price
By far, this is the most common mistake. Many companies get drawn in by the cheapest proposal without considering what that price really means. A low price can signal:
Less experienced developers.
Use of outdated or insecure technologies.
No post-launch support or maintenance.
Over-reliance on subcontractors or freelancers with unclear responsibilities.
What seems cheap up front often ends up being expensive later due to rework, bugs, or systems that don’t scale properly.
How to avoid it:
Evaluate the total cost of ownership, not just the initial figure. Ask about licenses, infrastructure costs, maintenance, and future upgrades. Make sure the proposal is detailed, transparent, and clear about what’s included — and what’s not. Above all, prioritize quality over price.
Mistake #2: Not Verifying Past Experience
A polished website or a well-made presentation doesn’t guarantee that a provider has experience with projects like yours. I’ve seen software companies showcase impressive portfolios, but when you dig deeper, you find they’ve never handled projects at the scale or complexity you need.
How to avoid it:
Always ask for concrete success stories. Request verifiable references and, if possible, speak directly with past clients. Look for experience with similar technologies, project complexity, or business models. Don’t settle for vague claims — get real evidence.
Mistake #3: Failing to Define Project Scope Clearly
A contract without a clearly defined scope is almost guaranteed to lead to conflict. I’ve encountered situations where the provider thought the project included one thing, while the client thought it included something else entirely. The result? Scope creep, unexpected costs, and delayed deliveries.
How to avoid it:
Spend as much time as necessary documenting your requirements. Define what you expect in terms of features, workflows, integrations, and final deliverables. If possible, use functional specifications or user stories to make everything crystal clear. If it’s not written down, it doesn’t exist.
Mistake #4: Not Reviewing the Actual Team
Another common mistake is assuming that the people who pitch the project to you will be the same ones who do the work. Sometimes the impressive team presented during negotiations disappears once the contract is signed, replaced by junior developers or subcontractors you’ve never met.
How to avoid it:
Request the actual team profiles for the developers, architects, project managers, and testers who will be involved. Ask whether they’re in-house employees or subcontractors. You deserve to know exactly who will be responsible for delivering your project.
Mistake #5: Forgetting About Maintenance and Support
Many software contracts end at delivery, with no clear plan for what happens after launch. This creates headaches later when bugs appear or small changes are needed. I’ve seen businesses left stranded because they didn’t include ongoing support in the agreement.
How to avoid it:
Include maintenance clauses in the contract. Define response times for fixing issues, the scope of post-launch support, and any costs involved. It’s far better to settle this up front than to face last-minute surprises when something goes wrong.
