How to choose software for your business

Choosing a software vendor is not an easy task. In this article, we have described several important points that will help you discover unreliable suppliersbased on personal knowledge and experience. The article is purely informational in nature, that is, it does not call for or oblige to act.

Important features to pay attention to

Next, we will focus on a few important points that may be of concern to the client.

1. The performance of the match engine is too high to be true

Matching engine is an important component of any digital exchange. Its function is to match and execute orders.

Every trading platform owner would like this component to be as impressive and productive as possible. Although software with such options is limited in development, some software vendors and developers necessarily exaggerate the capabilities of this component.

The aforementioned level of efficiency of the match engine can only be achieved by a few, thanks to their powerful capitalization. Such technologies are supported by a very expensive infrastructure that requires a lot of time and serious investments. To sum up the first point, such data cannot currently be achieved at the level of commercial software. Do not believe if they want to convince you otherwise. Most likely the consultant is not fully literate and aware of the issue.

For the commercial software segment, the real productivity of a trading engine is approximately tens of thousands of transactions per second. And for those numbers, you also need to invest in a stable software infrastructure.

How to play it safe. The best way to check the claimed level of efficiency of a trading engine is to test it in extreme.

2. The main emphasis on design, when technical specifics are ignored

Yes, of course, the visual is important, of course, because in the first place your main goal is to attract users to the exchange, and the user interface in this case serves as a calling card, so it’s good if it is logical and easy to use.

But, as a result, for both you and the user, the main thing is the correct implementation of trading operations, protection against slippage, tracking and elimination of security gaps, therefore, during negotiations, you should still be more interested in technical subtleties.

How to play it safe. If you still have any difficulties regarding the proposed technologies, you should focus on the performance of the matching engine and other important parameters.

3. Disguised costs

Situation where a vendor includes a limited number of trading symbols in a standard package and charges another fee for follow-up. We believe that this approach to work is unacceptable.

You may also be told that the solution does not include trading volume fees. This commission is a standard practice for suppliers.

How to play it safe. Be careful when discussing any fees and services.

4. Security

Security is the most important detail in the work. The first thing that should be provided to the client in the process of getting to know each other is information about security protocols.

In the event that you do not receive accurate security data or cannot verify that the necessary elements are in place to ensure the reliability of funds and personal data, then this should cause distrust in you.

How to play it safe. Security cannot be ignored, so you have every right to check everything in person. An important condition is your complete autonomy to test the software for the presence of weaknesses.

5. Overly democratic tariffs

The intention of customers to reduce costs and reap benefits as quickly as possible is understandable, and many software vendors understand and take this into account when calculating the cost of a service. But you need to clearly understand that the cost of teamwork of competent specialists and investment in development absolutely definitely affect the final cost, which has its own minimum.

Considering all of the above, if the final cost that you are offered is several times lower than the average market price, then we recommend that you check with the company with which you are negotiating once again.

How to play it safe. Always be interested in the total cost of the solution.

Quick check. Recommendations

The following are a few brief points through which you can conduct an introductory check on a possible partner.

1. Company image

Team size. The team is usually quite large, has a continuous flow of clients and works with several at once.

It is important that the company has offices in several countries of the world, as this is one of the criteria for product quality.

Qualification of the staff of the development department.

2. Clients

It’s worth asking for a list of customers who have used your potential supplier’s products and solutions. It is worth considering if the company refuses to give at least a few usernames, citing NDA or other legal barriers.

3. Assistance and assistance

It is rather difficult to assess the quality of the service in a short time, but you can and should control everything personally, ask absolutely any questions regarding the work process. Based on the supplier’s reaction, you will be able to assess the quality of customer support in the future

4. Technology stack

For a competent analysis of this area, you need the services of an experienced technical specialist.

5. Documentation

The products that make trading platforms work are often quite complicated to install and master. If the supplier company has well-established algorithms, then this is a huge plus.

Verification of a potential supplier is a very complex and painstaking process that cannot be fully described in one article, but we hope that it was useful to study it.

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