Outsourcing Web development

Remay Villaester (May)

For startups where you always mind not only the costs but the expertise you need to generate profit for your business, outsourcing is the best alternative you can consider.

Web development as a whole is an essential component for e-commerce success, as without a website the world would never know about your products or services.

If you’re deciding on whether or not to outsource web development, we’ll share a few facts about outsourcing to help you out. We’ll also introduce a modern and cost-effective way of paying your freelancers using Wise Business.

Pros and Cons of outsourcing web development

Pros

Saves Cost

The first reason is perhaps most appealing to a small business with an eye on its bottom line. Thanks to the international market, your dollar will go further when working with many overseas companies or agencies. Your business can save a considerable amount of money because of lower labor costs in several countries. It’s not only the labor cost but also the whole recruitment process and hardware needed to perform his job.

Collaborate with the Best Experts on the Industry

As agencies tend to be made of staff teams with a varying degree of experience, you can be sure they’re going to bring something unique to the table. It often happens that such specialists are not easy to find, especially at the local level. The team might come up with fresh ideas that can boost your business.

Focus on Key Activities

Having a partner in web maintenance and updates, it will free up most of your time, as a result, you can use free time on more important business transactions or income generating activities. You don’t waste your time on accustoming some new blood on your board. By outsourcing, you can keep your calendar and diary laser focused and you can dedicate your time and attention to your clients.

Better Risk Management and Improved Site Security

Risk management is critical in your website, hiring a professional in their craft will help you reduce risks involve as the web development partner will have better knowledge and experience on projects and only offer proven working solutions. Site security is vital to your business as well as your customers. For example, if hackers obtain your clients personal information you will not only pay to fix the leak but legal fees as well. A website development company can assess your current site’s defenses. From there, they can take the next step and keep your business and customer' data safe.

Fresh Ideas

With the help of a web development firm you can have fresh perspective and new ideas which can ultimately enhance your marketing message. Since these people invest in seminars and training it would be nice to bring something new on the table. Outsource firms can offer innovative approaches, the latest technology, and creative, cutting-edge solutions that aren’t available on your business.

Reach a Broader Market

Outsourcing offers an opportunity to grow your business in new directions from a global perspective. It allows you to work with talented developers who will take your business to new levels with their performance.

Cons

Cultural Differences

One of the common issues that arise in outsourcing. Outsourced professionals must have knowledge about the social and economic standing of where your company came from as it may help settle some issues.

Time Difference

A simple back-and-forth transaction might last an entire working day, as you'll need to wake up and check an email or message left for you at three in the morning in your own time zone. By the time the designer is attending to your feedback, you may have clocked off for the day.

There are Security Risks Involved

Every relationship is built on trust, in this world today where data protection and privacy is critical, extreme caution must be exercised whenever using customer data. If your site involves a process which requires personal data you could be placing the privacy of your customers or security of your business at risk by passing that data on to other people.

Shared Financial Burdens

If the outsourced firm failed to deliver the results you wanted, you might be entangled with financial constraints so you must spell out all the terms and conditions in the contract agreement.

How to Outsource Web Development?

Once you have clearly set your goals and decided to outsource, the next step is to carefully execute your plan. If you want a better web developer firm, your job does not end in just posting for a job order and specifications. Define clearly and set the standards you want for your project, make an assessment of the price versus package offer before signing up for a contract. Here are simple steps you can follow.

1. Look for the right company to be a web development partner

Same thing to consider in looking for your partner, first, you must have enough knowledge of what you’re looking for, and be aware of the scope of your project. Finding the most suited web development company will help you lay out your expectations. Take time to evaluate your possible partners with the following information.

  • Company’s portfolio and experience
  • Specialization and capabilities
  • Company reviews and previous clients feedbacks
  • Flexibility
  • Price

Online outsourcing platforms like Clutch.Co, GoodFirms, Manifest, GitHub and others can help you find the best solution to your project.

2. Define the job clearly

Be completely ready to describe your project and what you’re hoping to achieve. Information should be well explained and avoid using jargons that might confuse the team. It should be discussed clearly and effectively from bits to pieces including all the features.

3. Set up constant communication

“Communication is the key to every successful relationship”, the same with outsourcing constant communication of the team is crucial. As more changes and issues come up over time, both parties should be well informed if there’s something to modify and update. Don’t hesitate to provide comments and ask questions. Remember that web development outsourcing rarely leads to the desired results without proper communication.

3. Contract signing

The last and most important thing on your journey to outsource web development services is signing the contract; it involves the payment process, length of the project, limitations and security protocols, and covering organization-related questions. Cover all important matters regarding your project to avoid problems in the future.

Where to Outsource?

The answer to the question lies in your perspective, most of the time we’re looking for a low cost but high quality work that can be delivered effectively regardless of time zones. Here are the best countries to outsource for web developers.

1. India

When talking about “outsourcing”, India is commonly on the top of the conversation, why not? India is the second largest English speaking country in the world with a lot of IT professionals.¹ Considering costs, communication, and quality of work, India is an ideal choice.

2. China

China ranked first on programming olympics by HackerRank and given it is home for fastest growing IT companies and has affordable cost it is also a good choice.² The only setback is the language barrier that can be a challenge for employers, but still you can work it out to have a clear communication.

3. Poland

Based on the statistics from HackerRank³, Poland ranked third most skilled programmers in the world, and considering 30%⁴ of Polish population can speak English communication would not be a problem.

4. Ukraine

From the statistical analysis presented by HackerRank,Ukraine developers had an average score of 88.7% across all HackerRank challenges. This is worth considering aside from the huge support of the government to the tech industry. Communication barriers are not a problem since most of their IT professionals speak English.

5. United States

Aside from India, the US had contributed the greatest number of developers, and has more GitHub accounts than populations of some European countries, although it ranked 28th on the statistics presented by HackerRank, it’s still worth considering since communication will not be a problem.

What tasks to outsource?

Project Manager
He will be responsible for managing the project and see to it the deadlines are met. A project manager will be your representative and is tasked to deliver updates on the progress and obstacles facing the project.

Marketing
An outside perspective in terms of marketing ideas is sometimes better than what you think. Website design, brand development, press releases and online marketing duties such as social media, blogging and search engine optimization are good tasks to outsource.

Website maintenance
Keeping your site updated and relevant is an important task to consider since if you do it yourself it will be time consuming.

Designer
He must be creative and technically inclined since his job involves making sure that your site is user friendly, functional and easy.

Software developer
Software developers are in charge of retrieval, storage, and manipulate data to analyze a system's capability and requirements. They also maintain the design and maintenance of a software system. At times they also oversee the work of computer technologists, programmers, and technicians.

How to save money when paying overseas staff

Paying overseas contractors can cost you a fortune using traditional banks. This is due to the exchange rate mark-up that’s usually 2 - 6% plus an international transfer fee ranging from £20 - £60. To reduce this fee, use Wise to make payments to your contractors overseas. You can save up to 40% of the overall transaction cost compared to banks or PayPal.

Wise is a groundbreaking company with over 5 million customers globally taking an innovative, fresh approach to financial services.

Wise is known for offering one of the fairest exchange rates in the business instead of inflating their exchange rates with hidden fees.

You can take advantage of the following additional benefits:

  • Payroll to overseas contractors
  • Payments to vendors and suppliers in over 40 currencies
  • A unique integration with Xerofor multi-currency accounting
  • Multi-currency debit card attached to the account

Start saving today with Wise

Sources:

  1. BBC newmagazine
  2. Hackerrank article
  3. Redlinelsarticle
  4. daxx.com article

Please see terms of use and product availability for your region or visit Wise fees and pricing for the most up to date pricing and fee information.

This publication is provided for general information purposes and does not constitute legal, tax or other professional advice from Wise Payments Limited or its subsidiaries and its affiliates, and it is not intended as a substitute for obtaining advice from a financial advisor or any other professional.

We make no representations, warranties or guarantees, whether expressed or implied, that the content in the publication is accurate, complete or up to date.

Money without borders

Find out more

Tips, news and updates for your location