In the last couple of years, we’ve seen a sharp increase in the demand for new software solutions, and as such, we’ve also experienced a rise in startup companies, all fighting to earn their place in the tech world and be successful.
Startup companies are typically on the cusp of their big break, with lots of growth potential. The fast-paced environment for which startups are well-known is both a blessing and a challenge; thus, digital entrepreneurs are constantly trying to accomplish the delicate balancing act between costs, risks, and knowledge.
A startup’s primary goal is to penetrate the market effectively and be profitable quickly. To say the least, it’s no easy feat. One of the best ways to do this is to outsource software development. It’s a no-brainer.
Next, we will cover the best and most beneficial aspects of outsourcing for startups.
Less expensive – our personal favorite. Did you know software development outsourcing can save you up to 70%in labor costs? We told you, it’s a no brainer for startups, especially in the early stages as they don’t have to buy new equipment or rent more office space. They also don’t have to hire, train, pay, and provide benefits for a new employee. The outsourcing company will handle all these significant investments, giving startups more freedom with their money. Startups also save a lot of time because they don’t have to undergo the tedious hiring process. For example, it costs a third less to hire someone in the Philippines than in the US.
Lots of free time on your hands that you can use wisely. Outsourcing repetitive, routine, or small tasks helps you have more time to work on growing and improving your startup business. You can save time on project management as each task you’ll hand over will be performed by a specialist. Forget about training, onboarding, long planning meetings, and more, as your outsourced developers hit the ground running. Outsourcing software development is easy, quick, and good for your money. All in all, it’s good for business.
Scalability at the palm of your hands. With outsourcing, startups don’t have to hire people full-time who they might not need in the long run or regularly. When a business is just starting out, hiring full-time employees is a substantial financial investment that may be hard for a startup to get back in the long run. Outsourcing lets startups get extra professional help only when they need it. This gives them more flexibility and lowers their labor costs.
Focus on what matters to you, especiall in the early stages. Most startups start with a small number of employees doing particular jobs. But as the business grows, so does the list of tasks, but not always at the same rate as the number of employees. The bad thing is that current employees have to take on more responsibilities, making them less productive at work. In this way, outsourcing is helpful for startups because you can give non-core tasks to a third-party provider and let your employees keep doing what they do best. One of these is hiring a call center to make handling calls and keeping customers easier.
Less organizational risks. Studies show that some of the most important reasons for the failure of digital transformation is governance and culture. Startups don’t have the luxury of traditional background or history and their governance is still in the very early stages, so why risk your digital transformation journey? Partnering with a software development company helps you mitigate these types of organizational risks with employees that are already committed, engaged, and culturally aligned with their company.
A more leveled playing field with greater access to top talent. Outsourcing gives startups a big boost toward success because they now have access to the same level and quality of experts and technology as more prominent companies. For example, instead of building their own in-house team of designers, startups may hire a professional designer on a per-project basis to help with their communication needs. This way, they can get results that are on par with those of their more established competitors.
Make things work better. Outsourcing makes it easier for startups to move and make decisions quickly because the outsourcing company already has the people, processes, and equipment to do the job. This helps startups be more efficient and give their clients better service.
Svitla Systems has almost two decades of delivering expert software development expertise to its clients. From developing websites from scratch or existing new development projects on the fly, Svitla’s experienced tech professionals are constantly learning about the latest techniques and technologies, always driving value and the highest quality standards to clients.