How to hire a software development company: a CTO’s checklist

CodeSWI · October 17, 2026

Shortlist on relevant work, test on communication, and decide on the proposal: a good one shows the partner understood your problem, names the team, and is honest about risks.

Choosing a development partner is mostly about reducing risk: the risk that the work is late, wrong, or impossible to maintain. This checklist covers the steps that catch most problems before you sign.

1. Write a one-page brief

Before talking to vendors, write down the problem, who the users are, what success looks like, your deadline and budget range, and any systems the software must connect to. A clear brief gets you comparable proposals and shows quickly who listened.

2. Shortlist on relevant work

Look for work similar in kind, not just in industry: an AI chatbot, a SaaS platform, a data pipeline.
Ask for references you can call, and call them.
Check independent review sites, and read the detailed reviews, not only the score.

3. Questions to ask in the first call

Who exactly will work on our project, and how senior are they?
How do you run a sprint, and what will we see each week?
How do you estimate, and what happens when the estimate is wrong?
Who owns the code, and where does it live during the project?
How do you handle security, testing and code review?
What happens after launch: support, maintenance and handover?

4. Red flags

A firm price before anyone has asked about your requirements.
No questions about your users, data or existing systems.
A team that changes between the sales call and the kickoff.
Code kept in the vendor’s accounts until the final payment.
No automated tests, no code review, or no staging environment.
Pressure to sign quickly.

5. What a good proposal includes

Your problem restated in their words, showing they understood it.
Scope split into phases, with what is in and out of each.
The team: roles, seniority and time allocated.
A timeline with milestones you can check.
Assumptions and risks stated openly.
The engagement model and payment terms.

6. Start small

A short discovery phase or a paid pilot shows you how the partner works before you commit the whole budget. You keep whatever is produced, such as a scoped backlog, architecture notes or a prototype, even if you don’t continue.

7. Contract essentials

Make sure the agreement covers intellectual property assignment, confidentiality, data protection, acceptance criteria, warranty for defects, termination and handover. Have your own counsel review it.

If you would like to test CodeSWI against this checklist, send us your brief and ask us anything on it.

General information, not legal, financial or professional advice for your situation. Timelines and costs are illustrative estimates, not quotes or guarantees. Third-party figures are as published by their sources on the dates shown. See our terms of use.