Five questions to ask before you sign a software contract
The demo went well and the price looks fair. Before you sign, these five questions separate a good tool from an expensive habit.
1. What does leaving look like? Ask how your data comes out — format, completeness, cost — before you ask how it goes in. A vendor confident in its product answers this without flinching.
2. What does year two cost? Introductory pricing, per-seat creep, and “usage-based” surprises are where budgets quietly double. Get the renewal terms in writing.
3. Who else has to change? A tool only its champion uses is shelfware. Count the people whose daily habits the purchase assumes will change, and price that honestly.
4. What breaks if it goes down? If the answer is “the business stops,” you need the support tier, the export, and the backup plan — negotiated now, not during the outage.
5. What problem, in one sentence? If the team cannot state the problem the tool solves in one sentence, you are buying a feature list. Write the sentence first; evaluate against it.