4 Advantages of Outsourcing Your Startup

Being a startup entrepreneur is a balancing act. Most people have to execute their vision for a service or product with limited resources. Getting a business out of the blocks is the absolute hardest part and entrepreneurs have to stretch every penny for the most part. Outsourcing or working with skilled offshore resources has its advantages for companies of all sizes, especially for startups. Let’s take a look at a few of the major advantages.

Cut Costs

In the US, Europe, and Australia, the cost of hiring IT staff, in particular, is at record highs. Given that most people start businesses with their own hard earned savings or help from family and friends, it's super important to stretch every penny as much as possible to get it off the ground.

By spending less money on technical resources, entrepreneurs are afforded larger budget to enhance other areas of the business, such as local hires in Business Development or Digital Marketing budget for example.

Save Time

'Do what you do best and outsource the rest’ is an expression often used by advocates of the outsourcing model. By bringing in skilled professionals to handle the technical part of your business, entrepreneurs can focus on building the brand, revenue generation, partnerships and other key areas.

Aside from technical staff, it’s now easier than ever to also have offshore staff handle your basic admin, bookkeeping, appointment setting and so on. This will help you remain organised and improve day-to-day efficiency.

Access other talent pools

A perennial problem in the startup spaces is the shortage of developer talent and the hazards of talent poaching among competing businesses. It simply reflects the reality that great developers are hard to come by, harder to keep, and for a startup, particularly expensive to hire in the first place.

Outsourcing lowers the economic barriers to a large diverse set of talents. You get access to a large pool of talented developers who have the skills and experience your startup needs.

It’s no secret that large successful startup companies such as Slack, Skype, and Fab were built with offshore development teams. To give you an idea there were just over 40,000 computer science graduates in the UK in 2014 compared to 130,000 in the Philippines from globally recognized universities teaching almost identical syllabus in the English language.

Resource flexibility

Outsourcing gives you the flexibility to grow or reduce your team according to your business needs. It minimizes the risk in hiring as it doesn’t tie you to long-term commitment. Your startup might not be able to afford a PR Specialist, a QA tester, or designer full-time, however, outsourcing lets you access these talent requirements on a part-time basis or as and when you need them.


Outsourcing lets you focus on the big picture, on key business goals, the very reason why you founded your startup in the first place. Long-term outsourcing can also be an effective and sustainable option for improving profitability and scaling up.

Trying to get your startup off the ground is a massive undertaking and you need all the help you can get. With the advantages discussed above, outsourcing is a powerful resource that you can tap into. The advantages it provides gives you the edge to achieve your startup goals.



Here at Cloud Employee, we specialize in providing startups dedicated mobile, web and software developers. Questions? Talk to us, learn how Cloud Employee works, or check out our Developer Pricing Guide. You can hire offshore developers with us across these technologies.

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