A Reputable Company: How to Spot One

A reputable company, according to some people, is becoming harder and harder to define. While I don't necessarily agree with that assessment, I do believe reputation is very important, especially when it comes to business.

And I have zero tolerance for any company that doesn't deliver on its promises.

With that in mind, here are 5 things you should look for when deciding which company you want to do business with.

1. It Will Have Ready References
That means verifiable references, including personal testimonies from satisfied customers. If a company is reputable it will have no problem providing you with references from customers who have used their product or service.

2.It Will Be in Good Standing
That means a favorable record with the local Better Business Bureau (BBB) and the state Attorney General's office. If there is a history of lawsuits or complaints against the company, you should beware. Remember, it's not necessarily the number of complaints that's important, but how the company handled the complaint... and how the customer was treated. You can get this information from the Better Business Bureau.

3. They Won't Promise You the Moon.
The old saying that "if it looks too good to be true, it probably is" -- is true. Use some common sense here. The moon is not theirs to promise, no matter the trend. I realize hindsight is better than foresight, but just keep that old adage in mind. Reputable companies guarantee their products and services and don't make false claims. And they stand behind their guarantee and deliver on the promise.

4. They're Respectable
Not only will a reputable company be in good standing with the BBB, they'll also be well-known and respected by the community and the people they do business with.

5. The Company Will Be successful, with sales over the last several years trending upward. That's not to say that an unsuccessful company is not a reputable company. It could mean, however, that that company might not be in business much longer. That said, I would much rather do business with a company that's got it goin' on, as they say, than with a company that's on the decline.

Of course, this is not an exhaustive list of characteristics for a reputable company, but this will give you a starting point.

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