Think another company’s turnover can’t affect you? Think again.

When looking to contract with an outside company, it’s important to do your homework. You shouldn’t just evaluate the product or service they are offering, but also evaluate the company itself. Just like you try to run a good business that attracts great employees and retains them, your vendors and service providers should be doing the same. Essentially, the quality and continuity of service you receive is directly related to their employees, and their turnover is very likely to affect you.

I can recall working with a software vendor and having three different project managers in less than a 12-month period. Very frustrating. I had to re-explain my company, and our scenario, over and over. So, what are some additional things to consider when choosing to contract with an outside company? 

• Turnover: Check on LinkedIn for current and former employees. What sort of tenure do they have?
• Testimonials: Do they have any publicly posted feedback? Are they willing to refer you to current clients?
• Recruiting – are they attractive? Go online and check out how it would look if you were a prospective job seeker. Would you want to work there?
• Community Buzz: Has the company won awards? Do they participate in the local community? What sort of hits do you get when you google them?

There are certainly big companies that are very well run and could meet your needs, so this is in no way a dismissal of them, but I am a big proponent of supporting small businesses when choosing vendors and service providers. Not only are you supporting the business community to which you belong (if you are a small business), but you may not need all of the features and add-ons that come along with big company products and services. If you do your homework and choose the right small company, you are likely to have a mutually beneficial relationship, and a lot more flexibility in getting the attention and customization that you want.