6 Reasons to Hire an Offshore Development Company

Whether you’re starting a web-based project, mobile app, creating traditional software, or have a more advanced startup idea, outsourcing some or all of development overseas has a number of benefits.

Of course, you need to do your research and ensure the firm you hire is capable of doing the job, but if you can find the right team, hiring an offshore development company should definitely be considered.

Here’s why …

1) Save Money Due to Wage Disparity

One of the main reasons outsourcing development overseas became popular, is because it can dramatically cut costs, reduce your budget, and lower the amount of funding or borrowing required.

The simple fact is that a team based in India is not going to demand as much as a team in San Francisco.

As long as you do your due diligence there shouldn’t be any concerns about the quality of work on offer. Look at the history of the firm, client feedback, and be sure to at least get on Skype and ask the tough questions before signing any contracts or parting with any money.

2) Access a Wider Talent Pool

While there’s often fear that the talent and skills of offshore companies are not up to scratch, you actually have access to a much wider pool of talent and can source the cream of the crop who are perfect for your individual project.

Imagine if you only had access to those who lived in or could relocate to your current location. By considering overseas, you essentially have access to the entire world.

Remember: You don’t necessarily have to stick with one firm—in fact, you might even assemble your own team from disparate individual freelancers. However, this does mean you will still have to take a managerial role.

3) No Office or Infrastructure Required

Although individual project requirements will vary, usually hiring an offshore development company means you won’t have to have your own office or infrastructure—i.e. you’re not directly paying for their overheads, systems, and tools.

Even if you do have some office space and maintain a smaller team locally, you’re still going to be saving money over having everyone under one roof in the United States.

4) Save Time and Focus on Other Business Areas

Outsourcing development offshore (either fully or partially) not only saves money but also gives you the free time to focus on other areas of the business, such as planning, securing more funding, marketing etc.

You could even view this as free time in general; time to spend with the family, for leisure etc. However, most entrepreneurs tend to fill their free time by focussing on other aspects of the business or coming up with new ideas entirely.

The point is, outsourcing to a good offshore company is more efficient than doing everything in-house and waiting around for the team to arrive at the office.

5) Time Zone Benefits

One overlooked benefit of hiring offshore, especially if you maintain a smaller team at home, is that when one team has finished work for the day the other team can pick straight back up because of the difference in time zones, giving you an almost constant cycle of work.

This can be of particular benefit near launch dates, during testing phases, or when the workload is simply higher.

Of course, sometimes this isn’t a benefit at all and you could have communication problems if one side is asleep while the other is awake.

6) Overseas Networking Opportunities

Working with people all over the world also expands your network and can lead to otherwise hidden business opportunities. Overseas teams can offer different approaches and solutions to problems, help you expand into unfamiliar markets by acting as your middle-man, and if all you get out of it is a vacation in an exotic country, you’re still winning!


So, while benefits like ‘saving money’ are obvious, when you dig a little deeper there are many valid reasons to hire an offshore development company.

Have you yourself hired an offshore development company before? Or, perhaps you’re putting together or planning a team right now! Whatever your experiences, let us know in the comments below!


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Written by Virily Editor

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