To answer your question with a question: can you see any problems with your FX policy, hedging solutions and currency advice being given by the very same organization(s) that benefits by generating (the higher the better) commissions from your trading?
Firstly, despite our laundry list of objections about how banks treat SMEs, banks are wise enough to avoid at all costs the ethical/legal quagmire of creating FX policies while dealing FX with the same organization due to the massive legal ramifications (glaring conflict of interest being one of many). There is also the minor fact that FX policies are costly undertakings even for basic ones (min. ~10k) and banks just don't do free! On the other hand, a morally & ethically relaxed broker might if there were a good reason to, can you think of one? Even then, the conundrum for a financial services company like a broker is this is called "giving advice" and is illegal for an FX broker to give ANY sort of advice as they are deemed to be dealing at arm's length from the client (i.e. both parties are acting in their own self-interest and under no duress or pressure from the other party). Dealing at arm's length is the only reason FX brokers, for the time being, have managed to skirt being regulated; unlike banks, which are heavily regulated and certainly more trustworthy—in certain respects at least.
If your broker is giving you advice in any way, shape or form, they are showing their scruples (lack thereof) by completely breaking laws designed to ensure clients aren't being taken advantage of and that fact alone should be a huge warning sign as to whom will be benefiting in the relationship. Clearly, their "free" version of an FX policy and accompanying solutions are going to be skewed to their goals, but if that's not enough to make you look the proverbial gift horse in the mouth, their policies are 100% templated with a few minor tweaks in a text editor. The only investigation into your company's actual needs will be to ask you for your total FX exposures, so they know how many forwards and options to sell you.
Nothing is more expensive than something free. - Japanese proverb
The reality is that finding your FX exposures are just scraping the surface of what needs to be taken into account. The simplest FX policy we have ever done took just over a full week, so we can only imagine that a "free" one would have to be extremely light on any actual analysis, and definitely heavy on the solutions (hedge with FX options!). You get what you pay for and you WILL be paying for this even if you don't realize it. We guarantee they will not offer to benchmark their performance to show you the value of their "solutions", unlike our solutions, which are always benchmarked to company specific KPIs!
Agency Treasury Firms require contracts of 5-7 years and 6-mths or more for cancellation, but we understand that's a big ask for an SME. The kind of services we offer dictate the long-term, strategic nature of our relationship. We often come in after FX decisions have been made for the current period and only slowly can we implement a new strategy. As such, the results of our strategies can take time to develop, since we usually look at overall needs a year out. For a comprehensive FX risk strategy to bear fruit, these strategies must be allowed time to come to fruition, so we can accurately measure performance and make adjustments when and where necessary.
Accordingly, we ask for a two-year commitment and 3-mth notice of cancellation. However, there are opt-out terms built into every service agreement to recognize that business needs vary and can change rapidly. We strive to be flexible with our requirements to work within yours. We prefer a few months notice to ensure that any transition period is long enough to bring your internal staff up to speed for a seamless realignment should you in-house your FX, but this can be expedited if the case warrants.