Seven questions to ask an AI agency before you sign
Written by someone who wants you to ask him these. If a vendor gets cagey on question three, you have your answer.
Answers“what to ask an ai agency before signing a contract”
I want you to ask me these. That is the whole reason the list exists. A vendor who has thought about their own answers will find these easy, and one who has not will get vague in a way you can hear.
If you have hired an agency before and got a deck, a Figma file and an invoice, you already know the failure mode this list is designed to catch.
1. Who owns the repository, and when?
The answer you want is: you do, in your own account, from the first commit.
Watch for "we hand over the code at project completion," which sounds reasonable and is not the same thing. It means that for the entire build you cannot have anyone else look at the work, and it means the handover is a negotiating position at exactly the moment your leverage is lowest.
Also ask where it runs. If the tool only functions while deployed on the agency's infrastructure, on their API keys, you did not buy a system. You started renting one with extra steps.
2. What does this cost to operate per month, after you are gone?
Any system built on model APIs has a running cost. A vendor who has not calculated it has not thought about the volumes you actually run at, which means the number will surprise you in month two.
The good answer is specific and has a shape: roughly this much per document, per lead, per run, at roughly this volume, and here is what happens if volume triples. The bad answer is "it depends on usage," delivered as if that ends the conversation rather than begins it.
Ask specifically what stops the cost running away. Rate limits, a spend cap, a cheaper model on the high-volume path. If none of those exist, the cost control is your credit card.
3. What happens when the model is down, slow, or refuses?
This is the question that separates people who have shipped from people who have demoed, which is why it is the one worth getting cagey-detector on.
Every LLM feature has failure paths: the provider is degraded, the request times out, the rate limit trips, the model refuses the input, the response comes back malformed. Each one needs a defined behaviour. A good answer names them and tells you what the user sees in each case.
For a concrete example of what I mean, the scoping tool on this site's homepage calls a frontier model from a public endpoint with no login. Every failure path in it resolves to a hand-written fallback result rather than an error, because a tool that occasionally shows a broken state is worse than a slightly less impressive tool that never does. That is the level of specificity you should expect back.
4. What is explicitly out of scope?
Ask it in exactly those words, and treat a thin answer as a red flag.
A vendor who has scoped honestly will have a list ready, because knowing what you are not building is most of what makes a fixed timeline possible. Data cleanup, migrations, multi-tenancy, mobile, unlimited revisions: someone who has done this before knows which of these eat projects.
"We are flexible, we will figure it out as we go" is not accommodating. It means the scope conversation has been deferred to the point where it becomes a change order.
5. Who is actually writing the code?
Not who is on the call. Who types.
Agencies sell with senior people and often deliver with whoever is available. This is not automatically disqualifying, but you should know before you sign, not in week three when the technical answers on calls get noticeably worse.
If it is a solo operator, the honest version of this question is the reverse: what happens if you are unavailable for two weeks, and what state is the project in if we stop. Ask me that one. The answer should be that the code is in your account and documented well enough for someone else to continue, and if it is not, that is a real risk you are taking on for the speed.
6. What does the handover look like?
The realistic test: could a developer you hire six months from now pick this up without talking to the vendor?
That needs written documentation of what the system does, where the keys and config live, what breaks first as volume grows, and what the next sensible change is. Two pages is plenty. Zero pages is common.
If handover is not a named deliverable with a definition, it will become an email thread that trails off.
7. What happens if the pilot does not work?
The most useful question, and the one that is most uncomfortable to ask.
There is a right answer and it is not "that will not happen." Some builds do not deliver the value everyone hoped. You want a vendor who says so, and who has thought about what you keep regardless: the code, the documentation, and a clear account of what was learned about the workflow.
Related: what makes them say no. A vendor who takes every project is telling you they are optimising for utilisation, not for fit. I turn down work where the honest recommendation is an existing product, and I would rather do that than take a build that should have been a subscription. Ask what their last "no" was.
The one that is not on the list
Notice there is nothing here about which models or frameworks they use.
That question feels technical and it is nearly useless as a filter, because everyone has a reasonable-sounding answer and the specific choice is one of the easier things to change later. The questions that predict whether you end up with a working system are about ownership, operating cost, failure behaviour and handover. Those are much harder to bluff.
If you would rather see how a vendor thinks before booking a call, the Scope it live tool on the homepage will scope a real problem for free and show you the architecture it would use. And what a $3,000 pilot actually buys is my own answer to questions one, two, four and six, written down in advance so you can hold me to it.