Any IT-related project needs the professional input of a reliable software team. Learn how to hire a software development company while avoiding common risks.

How to Hire a Software Development Company

Creating a competitive digital product is no easy task. Incompatibility, poor data, design, usability – all these and other issues start arising at a very responsible and complicated phase of software development.

Outsourcing makes things simpler when your in-house competencies fall short. But there are around 27 million developers available for hire today. And the number will grow by a couple of million in about a year. At the same time, specialized outsourcing providers have become somewhat fewer yet more sufficient in their service.

Opportunities lie just around the corner, but the challenge of ultimate choice remains. Which is why specialists at EXB Soft decided to share some insights on how to hire a custom software development company the right way. Let’s take a look.

How to Hire a Software Development Company

Portrait of a Perfect IT Partner

To avoid common pitfalls and risks, you should look beyond the end result. Firstly, you need to understand why exactly you are heading towards this or that result. In other words, you need a product development vision. And this vision requires qualified executors who can implement it while sticking to the budget.

Exceptional professionals are rarely found, and your competitors are hunting for them every day. You need a balance of the best qualities, which is always valuable. How to hire a software development company that really hits your spot? Don't trust empty promises; focus on finding a developer who treats your product as their own. Furthermore, focus on the following takeaways:


A company that has just been recently introduced to the market is unlikely to possess the capabilities you need to build a top-shelf product. To become a true professional, a specialist needs a minimum of 5, preferably 10 years of work experience. By studying recommendations and reviews, you can create a list of several candidates based on their work track record.

Learn everything you can about them. A good company has nothing to hide. On the contrary, it takes pride in its achievements. Investigate the candidates for successful projects and the use of new tech. Take a good look at the quality of design and content on their website - it’s their “professional reflection.” Study what solutions they offer for what pains. Find out what concerns their staff the most.

If they have a GitHub profile, you can check it. But it's essential to speak with the team directly. Discuss all relevant points, from the entire take on the development process to pricing to the ultimate advantages everyone gets. A good company should grant many.

Team composition and competence level

A reliable software team must be capable of taking on any sort of task, so it should include several must-have specialists to cover all fronts:

The team may include two or three specialists, but each must be well-versed in:

  • Computer science
  • Coding, databases, development environments
  • Software design and architecture
  • Data structure and algorithms
  • Information analysis

As for developers (software engineering specialists and coders), they must possess a particular set of skills for work with:

  • Cloud technologies
  • Big Data storage operations
  • Frameworks such as .NET and JS-based ones (Angular, React, Vue), as well as main programming languages (SQL, Java, Linux, Oracle, Python, etc.)

Before finalizing a product, it must be thoroughly tested. A good company always provides QA specialists who can eliminate errors, bugs, and other issues at the final stages. A reliable team also always supports the finished solution throughout its entire lifecycle, ensuring you have no future problems.

Communication and social stance

Communication culture is important, as you'll need a trusting partnership and to-the-point interactions. Otherwise, you won't be able to clearly convey your ideas and regularly monitor their implementation. Both sides should use well-established communication channels. Seriously-minded companies typically use a wide range of such channels (anything from email and chat to messengers and live call-ups), maintaining contact 24/7.

Learn how potential partners organize this aspect within their company. Inquire about their communication practices and the frequency of client contact. And keep possible cultural differences in mind.

Industry awards, certificates, and a company's public activity indicate its competence. If it organizes seminars, webinars, and training courses, and its employees write books, it's a serious player. Social media posts and a regularly updated blog show that the company has knowledge to share, which can benefit you in a long way.


To hire a custom software development company without falling for common errors, first select the optimal cooperation model. Companies that are closer to you geographically are convenient and advantageous to partner up with. You'll have lower expenses for communication and travel. This is a normal option for projects lasting 4 to 12 months with sufficient budgets.

Offshore development offers a more extensive choice and much lower rates as compared to full-on hiring. However, lower prices don’t always mean poor service. There are plenty of examples where lesser-known companies from Eastern Europe or India worked as well as European or North American ones but charged considerably less.

Conversely, the excessive ambitions of some industry "grandees" led to nothing good. In other words, the choice in each specific case is determined by the urgency of the project, the availability of specialists in the market, and the budget.

An average project takes about 1,000 working hours to complete, and hourly rates range from $40 to $350. Outsourcing is usually seen as a way to reduce costs, and this is true. But in practice, cheap companies often turn out to be extremely unreliable, so you should tread carefully here as well.

Takeaways That Point Out a Reliable Partner

The challenge of finding the best partner is tough but entirely solvable if you pay attention to the following points:

  • Hired experts must be smarter than you. You are worthy of a partner team that can nothing short of astound you. Somebody to make your project truly unique and profitable. Over time, others will want to share in your successes. By uniting the best around you, you can achieve even greater results.
  • Avoiding “yes-man” providers. Don't seek a company that agrees with you on everything. It's unnecessary as long as they are fully immersed in your problem and know how to solve it. They must understand your requirements. However, if they can't prove their solutions effectiveness, they will eventually disappoint you.
  • Chasing cheapness. Low prices often hide a lack of competence. Make sure the prospective partner is able to deliver excellent design, write clean code, and build software solutions that pose no threat to user data. You can test specialists with the help of coding problems in HireVue. There are also quick skill tests in Toggl Hire. Make sure you're dealing with genuinely valuable specialists based on positive recommendations, too.
  • Communication skills. To assess communication skills, you can use game-based assessments (e.g., HireVue Game-Based Assessments) and behavioral interviews. You can also combine games with coding tasks and on-demand video interviews.
  • Real project costs. The actual cost of software projects can significantly exceed the initial budget. So analyze changes you can make later on. Not only features but also data protocols and security standards, which are constantly evolving. Get an idea of the costs of vital changes to avoid bankruptcy or non-functional software in the end.
  • Team test drive. Seeing how a team performs in action is the safest option. This will help you determine if they can become part of your project and handle tasks as quickly and efficiently as you need. Give them space to unleash their potential and achieve more by your side, motivating them to do better.
  • Staff augmentation opportunity. On-demand expansion of the existing team is an effective choice for:
  • Companies looking to expand quickly through additional talent
  • Projects lacking technological experience
  • Business leaders looking for quality services at a reasonable price
  • Enterprises with tight capacity scaling deadlines

Your Hiring Cheat Sheet

To hire a software development company that will be best suited to your requirements, follow a well-tried-and-tested algorithm:

  • Set requirements

Define tasks, required skills, and necessary technologies. Calculate a rough budget - expected profitability should equal or surpass your initial investment. If your planning phase exceeds the budget, consider launching a Minimum Viable Product (MVP).

  • List out candidates

Find companies capable of the work you need. Check client reviews. Narrow down the list to 2-3 contenders, selecting the most compelling offers. Prioritize partner qualities such as communication, dedication, and enthusiasm. And remember - transparency is key. Companies that communicate sparingly won't meet your needs or may work too slowly.

  • Negotiate

Phone/Skype calls are good, but in-person meetings always give a better understanding of what your potential partner can offer. Don't make impulsive decisions or rush. First, check their references and inquire about their past work. Be prepared to say "no." If even the slightest doubt arises, it's better to steer clear. Attempting to fix poorly executed work later can result in major losses.

How We Can Assist You

EXB Soft is among the IT sector’s most reliable players, with a full grip on all relevant software development challenges you might go through. If your project demands experienced professionals, niche expertise, or unique technologies, we're here to help.

We guarantee a simple and swift hiring process – not for teams or individuals but for technologies, knowledge, and cutting-edge experience. Utilizing our vast network and industry knowledge will grant you access to highly skilled experts who are an ideal fit for all scopes of requirements.

The hourly rate of our dedicated development team is lower than hiring individual employees. They will be entirely focused on resolving your tasks. We ensure efficiency and flexibility that would be challenging to achieve independently. Our services guarantee access to international expertise and a swift product market entry with minimal risks.

Bottom Line

The info above should give you a pretty clear idea of how to hire a software development company. With the right approach, you'll have the best specialists at your disposal.

EXB Soft will gladly assist you in assembling the optimal team of experts to efficiently, qualitatively, and cost-effectively address your tasks. Let’s talk to get you consulted and start gathering a team that delivers results fast and to your advantage.

Drop a line

We’d love to know more about your business and how we can help. Let’s connect!

  • United States, +1 (415) 799-11-13
  • Belgium, +32 (466) 90-10-63
  • Sweden, +46 (812) 11-14-80
  • Ukraine, +38 (066) 710-79-76