Preferred vendors are Localization Service Providers (LSP) in the Cloudwords network that you have selected as preferred for your projects. You may mark them as preferred because you have done business with them in the past, they were recommended to you or you found them in the Vendors Directory at Cloudwords. You can select unlimited preferred vendors for you organization.
You are not required to select preferred vendors. But the advantage of selecting preferred vendors is that you can automatically filter the list of vendors from which you want to receive bids for your projects. When configuring a request for quotes for a specific project, you can also allow Cloudwords to select any number of vendors, within the maximum of 5 per project.
If you have a Cloudwords Professional Edition account and divided it into departments, then you can configure different preferred vendors for each department.
See also: Selecting Preferred Providers