Early Startup? What Should You Go For – In-House or Remote Offshore IT Developers?

Entrepreneurs across the world have praised and lauded the merits of outsourcing. Strange, but a few among them have stories of terrible experiences with outsourcing. So, the question is should you hire offshore developers or build an in house development team?

Here’s our take on what you should do; in-house or offshore developers! This is a crucial decision to make. Especially, if you are an early start-up working on a shoestring budget.

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The Benefit to Hire Remote Development Team:

1. Cost:

Well, this is the most common reason. The cost of labor is much cheaper overseas. A local developer may charge you an exorbitant fee on a per hour basis. However, if you will hire an offshore developer, you will save a lot of money. Hiring and training a full-time developer is an economically heavy affair. You could use the cost saving advantage of outsourcing to build a bigger and feature-rich application for your business.

2. Labor Arbitrage:

Labor Arbitrage is often perceived as the biggest pro for outsourcing. Entrepreneurs wouldn’t mind getting the same work done for a pre-decided amount in another part of the globe. It doesn’t make sense to pay more for the same thing locally where cost is equal but recruiting a developer is a task. Comparing labor costs isn’t as easy as you might think of it. Some firms urge entrepreneurs to consider the extra time associated with handling & preparation of an offshore project. In most cases, comparing explicit costs lead to the blunder of not probing outsourcing and falsely considering that an hour of work everywhere costs the same. An in-depth analysis of the same can help you sort the differences here!

3. Short Term Commitment:

It is the most underrated benefit of outsourcing. The ability to bring an expert on board is one of the greatest advantages. This is possible without committing to a long-term contract. Let’s take an example. For a project, you initially need someone with one skill set but while working, the need for another skill may arise. In this case, outsourcing is the best option. While hiring an expert with a specific skill set, you may have to pay a lot more than what you had budgeted for. Outsourcing handles this issue efficiently.

4. Core Competencies:

Most start-ups that hire dedicated offshore developers, state that outsourcing has helped them to focus better on their core competencies. They are able to focus on their main work while the outsourcing service provider handles everything on their behalf. Hiring a dedicated development team helps the companies to remain stress-free about the project on the whole. In short, outsourcing avoids all sorts of human resource diversions and office distractions.

Conclusion:

The benefits of choosing an offshore development company are relevant. While working with offshore developers, you can find long-term players, that will be focused on the success of your business. Hiring a local developer may seem awesome in the first place, however, some real issues exist while doing so. From recruiting the right talent to explaining your needs & getting the best out of the developer takes a lot of time and efforts. The focus towards other activities is lost and this at times lead to a lot of confusion and the project losing its flavor.

A general recommendation is to evaluate the overall situation via SWOT analysis – Strength, Weakness, Opportunities, and Threats. Getting a better perspective is possible only by conducting a self-evaluation of the situation. It will help you leads towards a better understanding of your needs. Outsourcing does take away a lot of the planning & execution part from your workload thereby freeing your efforts at focusing on tasks that demand your attention!

Did a SWOT analysis give you a signal for outsourcing? Well, if you are in search of an offshore development company in India, then you should definitely drop us your requirements at info@yourteaminindia.com. Our experts at Your Team in India can surely help you strategize your project in the best possible way!

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