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I'm sorry but if your friend spent $80k on a development company and didn't do enough due dil to ensure that the company he was spending all of that money with
by simonswords82 9y ago
I'm sorry but if your friend spent $80k on a development company and didn't do enough due dil to ensure that the company he was spending all of that money with wasn't outsourcing it - that's on him.
There are a dozen basic things he could have done in order to ensure that he wasn't stiffed. Off the top of my head:
- Visiting the offices meeting the team, including those people specifically assigned to his project
- Requesting staged payments so he pays as phases are met and not prior to receiving any deliverables
- Checking the contract to ensure there's no mention of outsourcing. Did he even check the contract at all?
- Getting references from former customers to ensure the validity of any claims made by the development firm
- Searching online for feedback and reviews about the firm
- Just asking questions in general. "Where is my app going to be developed and who by?" seems like an obvious one before you spend nearly a hundred thousand dollars
Edit: Looking at your post history you seem to be associated with a software development company. Did you not speak with your friend about his decision to spend an extraordinary amount on a development project ahead of him getting in this mess?
- Shanerostad 9y agoThis was well before I worked here. We were still college students at the time and he actually received a seed round of investment from a young angel-firm. They were the ones who advised he worked with said company, so he thought they knew what they were talking about. Long story short, a partner was friends with the owner of this 'development firm' that ultimately created this mess. Just another example of how bad advice and bad investors can kill your startup before it even gets started.