Startups are often launched by people that have never managed a business before. Therefore going from a startup to a growing company is not going to be a piece of cake. A small team of two or three people cannot manage every business-related function. Think about a software developer that has to handle tax calculation. That’s not a dream job and taxes are sort of demotivating.
Hence, small and medium-sized businesses have to look for every affordable option that would help them to save many working hours and get boring tasks done. To many, outsourcing is the best option.
For those who ask if small businesses can afford to outsource functions such as accounting, finance, HR, or software development, the answer is yes. At first, time is the most valued asset for a small business. Second, every function that can be outsourced will cost less than when handled by the in-house team. For small and medium-sized businesses every hour and cent saved is an hour and cent earned.
Outsourcing is based on the principle of working smarter not harder, which is the best approach for businesses that aim for growth and profit generation.
This is the first and the last thing said about outsourcing. Even though recent trends confirm that cost-cutting is not the main reason why companies decide to outsource their function, it is significant for small businesses.
Outsourcing will cut processes that bring in huge expenses both in time and money such as recruiting, benefits administration, training, talent retention, retirement plans, call on sick leaves and annual leaves, high employee turnover rate, and other staffing-related headaches.
The outsourcing partner will help to avoid all these as well as additional tasks related to office space, equipment, technology, etc.
Access to talent and new perspectives
Everybody knows that new employees need time to adapt and to understand how the processes run in a new workplace. This time is an extra expense to the company and for every talented employee, there are hundreds of recruiters from other companies trying to lure them. This happens, when there’s a talent shortage in the local or domestic market. For the companies that outsource, this is not an issue.
Outsourcing makes it possible to cooperate with companies located in different parts of the world. Another benefit is that they can provide valuable suggestions. Such companies work with numerous clients. Based on their experience and without disclosing confidential information they can suggest what can be the next step to success. Moreover, while the in-house team has a defined strategy and goals, the vendor company can bring a new perspective to achieve them.
You’re cooperating with professionals
Companies tend to outsource those functions that are not vital for the business growth strategy but are necessary to not mess things up. Outsourcing companies make sure that every service is delivered on time and within legal requirements. They make the necessary policy updates when it comes to functions related to HR, accounting, law, etc. Moreover, these companies have access to confidential data of the seller clients. They make sure to avoid the misuse of confidential information.
Where to find an outsourcing partner?
Outsourcing is a global industry, thus finding the right partner can seem overwhelming. You can go for traditional destinations with decades of experience in BPOs or for new emerging destinations that offer many advantages such as low labor cost, multilingual workforce, and great location. Ever heard about outsourcing to Albania?