Top 5 Reasons Small Businesses Should Outsource Development

Small businesses are in a constant struggle for efficiency and control over their growth. A lot of times, they have to get things done on shoestring budgets with only a small staff. So why do some small businesses prioritize near-outdated hiring and labor models over the exact models that were made to work for them?

Outsourcing for small businesses is so vital because it will allow them to get more work done, faster, at about half the cost. And that’s not all. Finding the right balance between quality work from an in-house team, and outsourced work on the rest of your project, will give you more flexibility and ultimately help you grow.

If you would like to get control over the growth of your business, while keeping costs down and possibly doubling the efficiency with which you complete projects, then keep reading. This post is all about outsourcing as a small business, and the benefits it can offer you.

Cost Savings

Outsourcing is an amazing way to reduce the overall costs of your projects. In fact, some business favor an outsourcing-based model for this reason alone, even without getting into all the other possible reasons.

Why is outsourcing such an efficient way to save money? Is it a necessary trade-off for quality? Not at all. It’s simple supply and demand.

In certain areas, like much of the West, the need for developers is great, so average developers command a high price. However, in areas where there isn’t such a need, you can get a good developer for about half the cost. They’ll do the exact same work, it’s just that developers from one area cost more due to the laws of economics.

Plus, outsourcing gives you the option to use flexible pricing models. You aren’t paying a salary or anything like that. A good remote developer will help you with a pricing model that best suits the needs of your project.

Which brings us to our second point:

Professional Partnerships

Gone are the days of “throw it over the wall and forget about it outsourcing.” Why? Because for the most part, poor outsourcing has been out-competed by better, more reputable firms, For example, most outsourcing firms in India, China, etc generally work as trusted partners… similar to working with the office right next door.

A good outsourcing firm or remote team will be responsive to feedback while also offering their own insight. They will communicate regularly, at agreed-upon intervals. Their project management systems will be robust and they will be clearly explainable. And they should have redundancies in place in terms of employees and infrastructure to prevent delays. That’s what we do at Capital Numbers, and lots of remote developers have started to follow our lead.

Plus, once you find an outsourcing partner that really “gets it” and works for you, you’ll be able to go back to them again and again, expecting the same level of attention and quality.

Ongoing Support and Maintenance

If you’ve ever had to rely on software to support or run any part of your business, you know it takes ongoing support and maintenance for best results… especially if you want to prevent things from breaking in the future.

Small businesses can sometimes get around this problem either by offloading this work onto their current employees or hiring someone new to take care of it. One of these options is a waste of time, energy and focus because it splits your employees’ attention and time. The other is a waste of money because you don’t need to hire someone full time specifically to work on maintenance.

Outsourcing maintenance and support are among the smartest decisions you can make, especially if you’re on a limited budget. There is no reason something like that should take your focus, especially if you’re already spread thin.

Retain a Small Core Team For Best Results

One of our favorite business models, because we think it’s the most effective, is to have a small “core” team of rockstars who handle essential tasks exceedingly well. It might be a senior developer, chief marketing officer, etc etc. These can provide the right strategy and the right direction as well as provide the right skill sets. But small teams need to supplement their low number with outsourced workers who can take a lot of time and energy investment off their plates.

While you might only have a single senior developer, for example, you can multiply his or her effectiveness by outsourcing parts of the project to a remote team. Your senior dev would then oversee the work and provide feedback. The same goes for your head of marketing. This way, you don’t have to bring many employees in house and provide all the benefits, salary, vacation days, etc etc that you normally would. You can simply outsource it, get it done at less cost, and assure quality.

Access New Technology

One often-overlooked aspect of outsourcing is how your remote partner can provide you with access to the latest technology in your industry. It might be cost-prohibitive for you to acquire a certain software, for example, but a good outsourcing partner will provide that software for their teams so you can use it to your advantage. This way you will be able to “use” it without acquiring extra costs. Plus, this benefit is compounded if your outsourcing team sticks around for support and maintenance. Everything will tick along quietly in the background while you only pay for the hours worked.

Conclusion

Almost all small businesses should outsource at least some of their projects. It’s simply the smartest choice. Why would you give up the cost savings, efficiency, and access to more labor and better technology? In fact, today’s outsourcing model may be uniquely suited for small businesses. It allows you to bypass the expense and time investments associated with taking on many projects, and get more done in less time and at about half the cost.