Scaling your small business with offshoring
Every business in the market aims for growth. But, it is not easy for a small business to grow with limited resources at their disposal. So instead, they look towards scaling their businesses. But scaling is not without its own challenges. The whole process can be intimidating, and if done incorrectly or prematurely, can spell disaster. Yet, stagnancy is not an option, not for those who want their businesses to reach new heights and prosper. So, how does a small company or a startup with a limited budget scale their business? One of the effective solutions is offshoring. But, let’s take a quick look at what is required for scaling successfully before we get into how you can scale your business with offshoring.
- Efficient use of monetary resources
- Talented team to take on new responsibilities
- Focus on the core area
- Great leadership and management
Now that we know what is needed let’s find out how offshoring can provide effective solutions to your scaling troubles.
Offshoring gets you employees at a reduced cost.
Scaling a business means hiring new employees. While big corporations usually can shell out vast amounts of money to hire the top talents in the country, the small businesses are left with the shorter end of the stick. They have to prioritize their hiring, and even then sometimes compromise on the quality of the candidates they hire to save some bucks. They cannot possibly spend their whole scaling budget on hiring potential candidates alone. Hiring can be extremely complicated in a market where small businesses are competing with the MNCs for the same talent. But offshoring offers the small businesses a lucrative alternative. Offshoring locations, such as India, usually have some of the most qualified and experienced professionals in various fields. As the cost of living in such countries is significantly lower than the developed nations, your company can hire talented employees at a reduced cost. This allows you to hire more employees as required but at a much lower price when compared with local hiring. You no longer need to pick and choose. With offshoring, you can hire a whole team dedicated to your company instead of merely managing with one or two employees.
Furthermore, scaling comes with a whole lot of other added expenses such as larger office premises, IT infrastructure, overheads, employee benefits, etc. This can considerably deplete the resources of a business. But with offshoring, you no longer need to worry about these expenses as the offshore service providers handle them. You only pay for the services of your employees. The money saved with offshoring can be utilized better in the growth of the business and improving client relationships.
Offshoring gives you access to a large pool of talent.
Scaling your business to a large part depends on hiring new employees to take on the added workload that comes with gaining new customers. The employees you hire should be capable and well qualified to shoulder the responsibility. Otherwise, sub-par quality results may drive away your new clients, resulting in losses for your company. As we said earlier, hiring locally can sometimes force you to compromise on quality to save money. But with offshoring, not only you get to hire at reasonable prices, but you get access to top talents as well. Ideal offshoring locations are brimming with talented individuals who are willing to work hard to succeed. Offshore providers offer you some of the best candidates from their databases based on your requirements, and you get to select them yourselves. A company is as good as its employees, and having a great team of skilled individuals working for your company can be the difference between success and failure. Your deliverables should be of excellent quality if you wish to retain your new customers, so having a dedicated team becomes a necessity when scaling your business.
Offshoring lets you focus on your core competencies.
As a small business that is starting out, usually, a handful of employees handle all the jobs, no matter if it’s their specialty or field. It’s manageable in the early phases of a business. However, once you decide to scale up, there is a critical need to identify your core business and focus on it. Anything else can be outsourced to offshore providers. These tasks take up valuable time for your employees that can be better channeled on jobs that matter most. Your goal should be developing your products/services and strategizing the company’s growth. Offshoring, with its cost-effectiveness, gives you a way to outsource any task that isn’t your core function. Like, if you are a software development company, accounts and finance aren’t your core competency, and it would serve you better when it’s offshored. You should instead be focusing on innovation and development. Scaling up means more work for your company, so ensure that your time and efforts are being put in the right direction.
Offshoring lets you be a leader.
Small business owners are known to take up all kinds of tasks and jobs because of budget restraints. Hiring a full-time employee for every job isn’t feasible. So they take up the responsibility themselves. But as an owner, it’s your responsibility to lead your company. You need to be planning and managing, not sitting at your desk for long hours, completing the mundane tasks. Scaling up will increase your responsibilities, and you need to be prepared to take them on. Offshoring allows you to outsource the process-driven, mundane tasks while you get the time to manage your company and lead it to success. New clients and new employees can be a lot of work, and handling them efficiently is your role as the owner. So lead from the front while offshoring manages your nitty-gritty work.
Offshoring allows you to make timely deliveries.
For ensuring successful scaling, it is essential to deliver your products to your clients within the deadlines. You need to keep up with the increased demand. For that, hiring an offshore team to assist your in-house team becomes advantageous. You get to have sufficient sets of capable hands looking after the completion of your projects. Furthermore, as your offshore team will be operating in a different time-zone, your project will be making progress even when your local working hours are over for the day. It lets you fulfill your promises to your clients easily.
Scaling your business with offshoring is efficient. It gives you a chance to compete with larger companies and succeed in the market without making outrageous expenses.