If you want a great logo, versus a mediocre one, you need to acquire a general understanding of what's involved in the process of designing one. You also need to know a thing or two about whom you're trying to sell to. Finally, you need to be able to trust your designer's instincts.

First, some basic terminology:
Icon: a symbol or brandmark. Think Nike's "swoosh."
Wordmark: graphic representation of the name of a brand. i.e. letters only (e.g. GAP, Coca Cola) Brand Slogan/Tagline: phrase that supports the identity of a service/product over a lengthy period.
Logo: A combination of any/all of the above.
Trademark: a logo that has been registered to protect against imitation. (e.g. Coca Cola)
Brand Identity: a combination of all of the above, plus additional integrating graphical (and sometimes multi-sensory) elements arranged in a variety of flexible systems for use across multiple media.

How long will it take?
Most logos take 4 to 8 weeks from initial consult to final delivery. Some happen quickly, some don't. Since there's no way of predicting at the outset, it's best to plan on 8 weeks. A longer lead time allows for more time to mull it over and the results are generally better. The best time of year to call a designer is mid-winter, from December 15 and March 15, when business is seasonally slow. The worst time is mid-summer to late Fall.

How much will it cost?
That depends on 1) the designer's hourly rate, 2) how quickly they are able to grasp your needs, 3) how quickly they work and 4) how many versions you require before you are satisfied.

It also depends on whether you want a logo, or a complete brand identity. Most ethical designers will not agree to "just a logo" because they know very well that you'll need more than that. You'll need colors and fonts and layouts that integrate seamlessly with the look of the logo, so that the website, the business cards, the packaging, the storefront, the advertising, the uniforms, etc all meld into one seamless entity. Otherwise you'll look like an amateur, and a cheap one, at that. Would you hire a chef to cook the food for a dinner party, but not pay for him to arrange the food on the plates?

Most designers will give you a minimum price, and an accurate estimate after an initial consult. You will quickly find there is a broad spectrum of prices, ranging from $500.00 to $50,000.00+ (for major corporations who require a lot of hand-holding, meetings, big presentations, etc). To complicate matters, you are shopping for something that doesn't yet exist. So there's no way to know in advance who will do the best job for you. You just have to do your research and then go with your gut.

Section 2: The Process

Designers have different methods of creating logos and brand identities. Most start with a free initial consultation. This usually lasts about an hour. The more information you can provide, the more help they can give you, and the more accurate your estimate will be.

A day or so later, both parties sign a contract which outlines inclusions, costs and copyright agreements. This prevents many a misunderstanding down the road.

Then the designer prepares a series of rough sketches, followed by digital renderings in a variety of fonts. At this stage, all work should be in shades of black and white (grayscale) only, so as to keep the focus on the design. If you like the final design in black and white, you'll love it in color. However, if color is introduced too early, it only confuses the process, as it is a very subjective element. A good designer will pre-edit the choices for you, to keep the process streamlined. (This is the part about trusting your designer's instincts. You don't really want to see all 58 versions, do you?)

Assuming you have requested a brand identity and not just a logo, your designer will also include additional coordinating colors, fonts, proprietary patterns, and decorative elements, all of which are designed to integrate well with your logo. These are delivered to you in a variety of sizes and digital formats.

Section 3: Pulling it all Together

COMPOSITION
The reason most people hire a designer in the first place is that they have tried to do it themselves, only to be disappointed by the results. Software alone is not enough; what you need is someone with a trained eye, someone with the skills to create a balanced, original composition using the raw materials that you provide and the ideas that you agree upon in collaboration. This is an art, and one that only comes with practice and a passion for the task. It's a bit like cooking: give the same ingredients to a skilled chef versus a beginner, and you'll see completely different results.

Without balanced composition, a logo looks awkward, unfinished, or mediocre, despite heroic efforts on the part of the novice. More importantly, an unprofessional logo will not inspire confidence in your target market. Especially when compared to a more polished-looking competitor. Want proof? Try flipping through the yellow pages and ask yourself which ads attract you and which do not.

FONTS
Font(s) can make or break a logo. If a logo looks boring to you, it's probably because the fonts used are ones common to most computer systems. A good graphic designer will have more than 500 fonts at their disposal, all categorized by characteristics or personality. In addition to the font, the weight chosen (bold, roman, light, ultra light, etc) and the tracking, kerning and leading (space between each letter, each word, and each line) will affect the overall impression. There are certain conventions that apply as well: upper case (capital letters) are used to convey formality and stability, while lower case conveys informality and playful unpredictability. Imagine your bank or university name in all lower case… doesn't convey much authority, does it? Or a pre-school name in heavy capital letters? Yikes. That's a little too much authority.

COLORS:
When it comes to choosing colors, resist the temptation to choose your favorite colors. Your logo should reflect your business and its clientele, not your personal preferences, unless the two coincide.

ICONS:
This may be the trickiest part of all. Humans are far better at retaining images than words. Having an icon certainly helps when selling to foreign markets where words may not translate, or may translate into something undesirable. (It has happened.)

When brainstorming an icon, there are two mistakes people often make that you, dear reader, will want to avoid:

1) they go with the first idea that pops into their head. This is generally a literal interpretation, or a cliched idea and the results are either corny or derivative of other brands
2) they go with an abstract concept. Logos that are abstract are either really boring (which means they are instantly forgotten) or just plain weird, because no-one can figure out what on earth they are. That's why the best logos incorporate a simple, immediately recognizable, everyday symbol.

A truly great logo conveys much more than the product; it establishes an emotional connection. This is most often achieved with an icon or mascot. Case in point: Kellog'gs Cornflakes. Sure, they could have gone with just the image of flakes in a bowl, but would anyone remember that? No. Instead, they added an instantly recognizable image, one that crosses all cultures and creeds: a rooster crowing at dawn. Why a rooster? Well who doesn't want to greet the day crowing with energy and joy, just like a rooster? What better symbol for a morning cereal? Kellogg's has been using the rooster since 1957, with unparalleled success

If you want an emotional connection, think about what benefits your product/service provides, and then think about an everyday symbol that epitomizes that. If you can make it fun, so much the better. There's a reason Mickey Mouse has big round ears and a twinkle in his eye.

Conclusion:
While the thought of hiring a designer may seem like a daunting task, if you approach it with a little knowledge and an open mind, you'll be just fine. Finding the right designer is a lot like choosing a chef for a special event: prices vary, according to talent, experience and reputation. But if their work is consistently good, and you feel they listened and understood your concerns during the initial consultation, you can feel confident hiring them.