I have hired and fired 30+ agencies. These are the warning signs I wish I knew about sooner.
By David Friedman, Founder of AppBrewers
Hiring a web development agency is one of the most expensive decisions a founder makes. A bad choice costs 10,000-50,000 Euro and 6 months of your life. I have been on both sides -- as a client hiring agencies, and now running one. Here are the seven red flags that signal disaster before you sign the contract.
Red Flag #1: They Cannot Explain Their Process
What It Sounds Like
- We will figure it out as we go
- Agile means flexible
- Every project is different
Why It Is Dangerous
An agency without a defined process has no quality control. They will miss deadlines, deliver buggy code, and blame scope creep when you ask for fixes.
What to Look For Instead
A clear, documented process:
| Phase | Deliverable | Timeline |
|---|---|---|
| Discovery | Requirements doc, wireframes | Week 1 |
| Design | Mockups, design system | Week 2 |
| Development | Working prototype | Weeks 3-5 |
| Testing | Bug reports, fixes | Week 6 |
| Launch | Live site, documentation | Week 7 |
Ask: Walk me through your last project step by step. What happened in week 3?
Red Flag #2: They Quote Before Understanding Your Business
What It Sounds Like
- That will be 15,000 Euro
- We charge 100 Euro per hour
- Standard SaaS MVP is 20,000 Euro
Why It Is Dangerous
A fixed quote without discovery means one of two things: they are padding the price, or they will cut corners to hit their margin. Neither helps you.
What to Look For Instead
A discovery phase -- paid or free -- where they ask:
- Who is your target user?
- What is the core feature?
- What does success look like in 6 months?
- What is your budget range?
- What is your timeline?
Red flag: If they do not ask about your users, they are building for themselves, not for you.
Red Flag #3: No Fixed Price, No Fixed Timeline
What It Sounds Like
- We bill hourly
- It depends on complexity
- We will give you a range
Why It Is Dangerous
Hourly billing incentivizes the agency to work slowly. A 2,000 Euro project becomes 8,000 Euro. You have no leverage.
What to Look For Instead
Fixed pricing with clear milestones:
- 30% upfront
- 40% at prototype
- 30% at launch
Ask: What happens if you miss the deadline? A good agency has an answer. A bad one will say that never happens.
Red Flag #4: They Outsource Without Telling You
What It Sounds Like
- We have a global team
- Our developers are in multiple time zones
- We scale resources dynamically
Why It Is Dangerous
Outsourcing is not bad. Lying about it is. If you are paying for a senior developer and getting a junior freelancer, you are being scammed.
What to Look For Instead
Transparency about who does the work:
- Who is my lead developer?
- How many years of experience do they have?
- Will they work on my project full-time?
- Can I talk to them directly?
Red flag: If every call is with a project manager who cannot answer technical questions, you are being shielded from the actual team.
Red Flag #5: They Promise SEO but Build a SPA
What It Sounds Like
- We use React for everything
- Next.js is our stack
- SEO is included
Why It Is Dangerous
A Single Page Application (SPA) built with React renders content in the browser. Google cannot index it properly. You will have beautiful code and zero search traffic.
What to Look For Instead
Server-side rendering (SSR) or static site generation (SSG):
- Next.js with App Router and server components
- Proper meta tags on every page
- Structured data (Schema.org)
- Sitemap generation
- Open Graph tags
Test: Ask them to show you a client site. Run site:clientdomain.com in Google. If nothing shows up, their SEO promise is a lie.
Red Flag #6: No Maintenance or Support Plan
What It Sounds Like
- We hand over the code and you are done
- Support is extra
- We do not do hosting
Why It Is Dangerous
Launch day is day one, not the finish line. Bugs appear. Browsers update. Dependencies break. Without support, your site dies slowly.
What to Look For Instead
Post-launch support included:
- 30 days of bug fixes (minimum)
- Hosting setup or recommendations
- Documentation and handoff training
- Optional monthly retainer for updates
Ask: What happens if the site goes down on a Saturday?
Red Flag #7: Their Own Website Is Bad
What to Check
- Does it load in under 3 seconds?
- Does it work on mobile?
- Is the copy clear or full of buzzwords?
- Do they have case studies with real results?
- Is their own SEO working? (Check
site:agencydomain.com)
Why It Is Dangerous
An agency that cannot build their own site well cannot build yours. This is the one project they control completely. If it is slow, buggy, or ugly, run.
The Questions That Filter Bad Agencies
Ask these in your first call. Good agencies love them. Bad agencies deflect.
- What is your exact process from first call to launch?
- Who will work on my project and what is their experience?
- What is included in the price? What is extra?
- How do you handle scope changes?
- What happens after launch?
- Can I see a live site you built for a similar client?
- What is your refund policy if you miss deadlines?
What a Good Agency Looks Like
At AppBrewers, we publish our process, pricing, and stack openly. We do not do hourly billing. Every project has a fixed price, fixed timeline, and a dedicated lead developer.
| Feature | Bad Agency | Good Agency | AppBrewers |
|---|---|---|---|
| Pricing | Hourly, vague | Fixed, detailed | Fixed, milestone-based |
| Timeline | It depends | Defined sprints | 2-8 weeks guaranteed |
| Process | We will figure it out | Documented | Published online |
| Communication | Project manager only | Direct dev access | Slack + weekly demos |
| Post-launch | Good luck | 30-day support | 30-day support + retainer |
| SEO | We will add it later | Built-in | Server-side rendered |
Need Help Choosing?
We offer a free 30-minute consultation. No pitch, no pressure. We will tell you honestly whether you need an agency right now -- and if you do, whether we are the right fit.
Originally published on the AppBrewers Blog.
Top comments (0)