An embroidery machine cannot read a logo file. A digitizer rebuilds the design as stitches: satin columns for lettering and borders, fills for larger areas, running stitches for fine detail, plus underlay to stabilize the fabric and pull compensation so shapes do not shrink or distort as the thread tightens. The result is saved in a machine format, DST being a common one.
Good digitizing is the biggest factor in how embroidery looks. One logo usually needs separate files for a flat garment and a structured cap, because caps curve and are stitched from the center outward. Files converted automatically by software often pucker, gap or snag because they skip these judgment calls.
Ask whether digitizing is included or charged separately, who keeps the file, and whether you will see a sew-out before production. Send the cleanest vector art you have. The digitizing guide covers what separates a good file from a bad one.