July 9, 2015

Startup companies can be one of the most rewarding experiences in any person’s life. However, starting and bootstrapping a company isn’t necessarily for the faint of heart. There are long hours, unexpected hurdles, and many of the initial expenditures hurt as they are coming directly out of the founder’s pocket(s).

Any new business, but especially tech-based startups will have a large IT component for them to execute their plan successfully. These days, more and more early-stage companies are leveraging outsourced strategies to help make their vision a reality. Let’s examine a few key ways that outsourced IT solutions can help make a startup company successful.

There are Major Cost Efficiencies for Startups who Outsource IT Functions

IT and technology costs are going to be one of the major challenges that your startup will face when launching your product or brand. Whether it is the development of a proof of concept or continuing to build upon your initial software, the costs can quickly rise. Founders or executives at the company will quickly be faced with the decision of whether to hire employees to cover these types of activities, or find an additional solution to get the work done.2015 Outsourcing Trends

These days more and more startups are turning to outsourced IT solutions to provide the expertise that they need while gaining the cost efficiencies that come up with this strategy. Whether you have secured some amount of funding or are bootstrapping the endeavor out of your pocket, the savings that come by outsourcing the development and IT services to an experienced team can be substantial. Not only do you avoid the training aspect of bringing on a new employee, but you also save money by only paying for the hours worked. This strategy serves as a healthy alternative to having to pay an employee while there is a period of downtime. Plus, you don’t have to issue additional equity in the company to attract the proper in-house talent.

Good IT Talent Can Be Extremely Hard to Find

There is no other industry where talented workers are in more demand than in the IT world. As such, a startup may be hard pressed to find the right kind of talent to create the team to bring your product or service to market. Even if you can find them, you may not be able to match the compensation and stock option packages provided by their already-successful peers.

Outsourcing your IT software development to a 3rd party provider is a great way to get access to experienced developers and IT professionals without having to compete for their exclusive services. Plus, if you are dealing with a reputable firm they will offer access to all types of specialties in the IT space, which can be nearly impossible to find in the open market as well as very costly to hire in-house.

This strategy enables executives to readily have the right kind of IT talent continuously working on furthering your product or brand. There are countless cases of startups that are stuck because they can’t find the right kind of people to bring their product to market, or to make the appropriate fixes that give their software a competitive advantage.

IT Outsourcing Can Provide Startup Founders the Ability to be Nimble

Lastly, outsourcing your IT software development work can provide you with the ability to be nimble and to quickly maneuver or evolve your team to meet the current needs of the company. For example, if you identified the need to build an iOS application you could simply make the request for that specialty in need and receive a qualified individual who is ready to work on your project immediately.

Also, having an outsourced IT relationship can give you the ability to quickly ramp up and ramp down the number of hours and resources who you have working on any particular project. This type of relationship can prove to be very helpful during situations where there are major initiatives currently underway, as part of staff augmentation. You can then scale back after the completion of the task or project without having to deal with having to lay off employees or have them sitting around idly.

When it comes to building a new product or launching an entire brand, you usually need to have a diverse array of talents to get it done correctly. Startups usually have a limited number of employees that they can hire, so it is often tough to get all of the expertise that is needed. A relationship with a firm that provides outsourced IT services can mix and match the appropriate talent on an as-needed basis to ensure that the project has the proper resources.

Are you a business that could benefit from a collaborative outsourced IT relationship? We would love to see how we can help your firm, either on a project or staff augmentation basis. Please call Ronnie Z. Fuleihan, VP of Software Services, at 770-977-0070 ext. 118 to discuss your IT outsourcing needs, or email him at ronnie@softensity.com.

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