The Top Reasons to Outsource Your Software Development

1. Costs

With any pro­ject, cost is in­evitably go­ing to be a dri­ving fac­tor when con­sid­er­ing op­tions for de­liv­ery. These are some of the key ben­e­fits found with out­sourc­ing your soft­ware de­vel­op­ment pro­jects.

Payroll costs

Payroll costs are the largest ex­pense for most busi­nesses and when con­sid­er­ing tal­ent in the world of soft­ware de­vel­op­ment, it is of­ten some of the most ex­pen­sive in the mar­ket with se­nior de­vel­op­ers of­ten de­mand­ing 6 fig­ure salaries. When out­sourc­ing your de­vel­op­ment you don’t need to worry about any costs other than the agreed rate with the agency.

Hiring costs

When build­ing a soft­ware de­vel­op­ment team there are costs as­so­ci­ated with sourc­ing and on­board­ing that tal­ent. These costs in­clude: ad­ver­tis­ing on job boards, re­cruit­ment agency fees, staff turnover (20% of new hires leave in less than 12 months), on­board­ing time etc.


2. Experience

Albert Einstein said it best the only source of knowl­edge is ex­pe­ri­ence.”

This is true across all in­dus­tries, and es­pe­cially ev­i­dent in soft­ware de­vel­op­ment. When de­cid­ing who will de­velop your soft­ware it is im­por­tant to en­sure they have a wealth of ex­pe­ri­ence. Outlined be­low are some of the sys­tems and processes that an ex­pe­ri­enced ex­ter­nal soft­ware com­pany typ­i­cally of­fers.


Often, ex­ter­nal de­vel­op­ment teams have sig­nif­i­cant ex­pe­ri­ence with help­ing ideate your soft­ware so­lu­tion. External teams are re­quired to work on a broader range of pro­jects then an in­ter­nal team. This equips them with a greater per­spec­tive on the po­ten­tial av­enues and op­por­tu­ni­ties.

Broader team in­put

When en­gag­ing an ex­ter­nal team, you are tap­ping into a much larger team than you typ­i­cally would when build­ing a team in­ter­nally. For ex­am­ple, not only do you have ac­cess to the de­vel­op­ment re­sources, in many in­stances there will also be spe­cial­ists de­sign­ers, so­lu­tions ar­chi­tects and DevOps per­son­nel. This al­lows for a larger group in­put on your pro­ject.

Cutting edge tech­nol­ogy

Because ex­ter­nal de­vel­op­ers are work­ing on new pro­jects con­tin­u­ally, they are ex­posed to new and up­com­ing tech­nolo­gies on a reg­u­lar ba­sis. This ex­po­sure means they can lever­age this in­for­ma­tion and ex­pe­ri­ence to in­form and ed­u­cate you on what may work within your pro­ject.

3. Speed

Because you are work­ing with a com­pany with a broader range and depth of re­sources, you have the op­por­tu­nity to scale the team and in­crease your speed to mar­ket. If you are work­ing in an in­dus­try that is highly com­pet­i­tive and speed is im­por­tant than this may be the dri­ving fac­tor be­hind work­ing with an ex­ter­nal agency.

4. Focus on what mat­ters to you

When you agree to work with an ex­ter­nal soft­ware com­pany, you are out­sourc­ing work that would oth­er­wise de­tract from your fo­cus. Managing a pro­ject team is a full time job that pre­vents you from grow­ing your busi­ness or fo­cus­ing on key KPIs. Outsourcing en­ables you to fo­cus on your core busi­ness and on your bot­tom line. There are some tips we rec­om­mend to fos­ter a strong re­la­tion­ship with your out­sourc­ing com­pany.

In sum­mary, when out­sourc­ing your soft­ware de­vel­op­ment, you can of­ten mit­i­gate a large amount of the risks as­so­ci­ated with build­ing an in­ter­nal team, al­low­ing you to fo­cus on what is im­por­tant to you and your busi­ness.


Josh Beatty

Account de­vel­oper and hair gel hoarder

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