Perks of overseas web project: startup & small business solution

Lack of assistant can ruin your business

You just started your crafted figurine shop with a brilliant marketing plan, enthusiasm, and great vision. But as time goes by you come to the realization that you are low on budget to manage everything on your own and you do not have enough resources to maintain your daily business. Above all, you feel that you can gain more customers if you could sell your figurines on your e-commerce website without a middle medium. But making a full-fledged site and its continued maintenance is hard to manage with an in-house team. You plan on taking a loan, but time is a big factor. Because you feel that if you don’t grab the market as soon as possible, your idea might get duplicated and you can lose your business and market altogether.

There are thousands of stories like this that we have seen firsthand, read about or heard from others. This is why the terms offshoring, outsourcing, delocalization, externalization is so popular in today’s business arena. In the 21stcentury small and startup businesses are rising more than ever by their cutting edge ideas and vision to change the world. But at the start, they feel like they are low on people or budget that is required to push their next project into the market.

You can outsource a number of parts or work to companies providing services of offshore web development. This is the easiest and most profitable thing to do both in the short and long run. The details regarding the benefits of this action are discussed below-


1. Effortless Hiring Process

Hiring your desired team and making changes in their task during project is one of the major perks of having an offshore web developer team up your sleeve. This isn’t something new in the tech world; in fact, this is one of the major reasons for new innovation in this field.  Often times you do not need a dedicated team in your space because web development is a practice that can be managed from outside through offshore outsourcing.

When you are choosing a company, who specialize in hiring programmers and designers, your headache of publishing a circular and screening the right candidate becomes much easier. But it would be a good idea to know your team and get a feel of their experience. You can judge them by their previous projects, their educational and professional certification. Having a good idea about your offshore team can give an idea about your project and progress of the project.

2. Cost Saving

Cost saving is one of the most obvious points. There is not a single web project where the business owner did not save any money because of offshoring. It costs up to 70% less when you hire an offshore web development company versus a local development professional. This is not only because of cheap labor; competition plays a huge role in lowering the price of these projects. The growing popularity of this industry has a lot of companies competing against each other to provide the best service in an affordable price range. As a result of such tough competition, they often look for the best programmers and best practices so that they can minimize their cost while providing the best service possible.
The cost of offshore outsourcing

# Office space

Office space can be a big deal when you are just starting out in your business. You are not sure how to utilize the space for maximum productivity and how long you are going to stay here before shifting into new place for strategic reasons.

# Office resource

An office requires many different items and services in order to provide a simple workable space; even if you’re providing minimum facilities to the employees, you still have to invest a lot.

Computer and Electronics –  Printers(printer ink, paper), copy machines, phones, power strips, and lighting.

Desk supplies – Items such as pens, pencils, markers, highlighters, notepads, paper clips, staples, notebooks and binders may need to be replaced often.

# Management cost

Managing a workforce or even a simple team is a challenging task. Developing a system and HR management takes time and effort, not to mention resources. It is possible that you could be struggling on that because you can’t afford that amount of time and effort to manage everything all by yourself. When you are depending on your in-house team consisting of a few local experts and they are working around the clock to make sure your project doesn’t fall behind; a single person taking an untimely sick leave can be a nail in the coffin.

According to the U.S. Bureau of Labor Statistics, all full-time private sector employees have an average eight days of paid sick leave available to them after one year of service, 8.7 days after three years, 9.5 after five years, 10.3 after 10 years, 10.5 after 15 years, 10.8 after 20 years and 10.9 after 25 years.

# Extra payment cost

When you look for an experienced programmer, designer, marketer, content creator;  you need to give them another benefit apart from their basic salary – health benefit, life insurance, paid vacation, holidays, training, professional development programs are a few of them.


3. Tap Into Outside Talent

Companies don’t always go for offshoring just to cut their cost; outside talent from different parts of the world plays a big role in choosing delocalizing web projects. Offshore outsourcing is a huge industry in India, Bangladesh, Philippine and in other parts of Asia. The outsourcing industry in these countries is growing exponentially; more and more people are taking web programming and designing as a profession. The ecosystem is becoming very favorable for new innovation and new ideas, which is surely a plus point for any project.

4. Let’s You Focus on Core Activities

What is core activities for your business, the deciding factor is up to you. But offshoring can take a lot of secondary work pressure off of your shoulders and let you focus more on your core activities. Let’s say you are an e-commerce business that produces bags. Producing bags and work closely related to core business processes – design, fabric selection, marketing and storage management should be your primary focus, not the hassle of making your website design and executing its regular maintenance. If your company does not have experience in application development, design, or testing, it makes sense to outsource offshore, enabling your team to spend time on core business processes. This ultimately helps to balance the workload during peak times.

5. Strategic Support

Typically doing something on your own can be tiresome, but managing a full-fledged business is relentless work. It can get even more problematic when you are low on staff and have very few people from whom you can take advice and suggestions.

Offshoring can provide different forms of support for a business. Strategic support is one of the most important ones among them. With that kind of arrangement you certainly can differ between the providers, who can provide value for your business. Strategic support helps an organization in short run as well as in the long run. Offshore companies can provide you with a different perspective, which in times of need can be life-saving for your organization. You cannot find that kind of service and freedom with a freelancer whiledoing your website or web projects.

Company developer vs freelancers

6. Fast-Paced Project Launch

While working on a project, you need to have a steady pace so that you don’t fall behind; at the same you don’t want to make any rushed decisions. All the businesses in the market are always trying to provide the best of best from their standpoint, insuch cases you won’t be able to survive in the market without the help of professionals.

With an overseas company helping and guiding you through 30-40% of your project, naturally you will shine through that project and will be able to concentrate on your next venture with minimum hiccups. It gives you an edge over your direct and indirect competitors, while providing you with a fighting chance to compete against market giants.

7. Risk management

Risk management is a big issue for startup companies because companies often face a lot of problems with HR management. If not handled properly, an HR allegation can ruin you. Sometimes you face falsified copyright issues which can be resolved through decentralization of your departments. Another type of synergy that can cross corporate boundaries is the sharing of risk. In financial circles, this is called the “portfolio effect.”

In investing, it’s best to diversify your portfolio rather than put all your money in one stock. By spreading out the risk, you reduce the chances of total ruination should something go wrong.

Why does diversification reduce risk? If the whole market goes down, you’ll lose, no matter what you do, since you put all your resources in one place. But if the market goes up while one company makes some serious mistakes, the rest of your portfolio may still do well, and you are not as vulnerable as you would have been had you put all your money into a single stock.

In business investments, the same is generally true. Outsourcing may permit multiple companies to share risk.

Before wrapping up I wanted to share some stats from 2003 to give you an idea of the recent prosperity in this field.


According to CIO Magazine survey, the lower cost was cited by 78% of the IT executives as

“. . . the main reason for outsourcing offshore. The greatest savings were realized in the areas of labor costs (86%) and reduced project timelines/time-to-complete (37%). Other benefits experienced as a result of offshore outsourcing included increased IT department productivity (44%), competitive advantage (30%), and internal customer satisfaction (20%).”

PROS of overseas project

No comments yet.

Leave a comment

Your email address will not be published.