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**offshore development company**

**best offshore developers**

**Cost of Outsourcing MVP Development**

The trend of outsourcing developers is booming at a breakneck. According to [reports](https://www.precedenceresearch.com/it-services-outsourcing-market), the market size of global IT service outsourcing was estimated at $530.15 billion in 2021, and it is expected to hit around $1065.10 billion by 2030.

Startups and enterprises are extensively looking for outsourcing development companies to achieve potential milestones. They find it difficult to hire the in-house development team due to some associated costs like payroll, office rent, and recruitment fees that add up to their total cost.

Moreover, startups and small scale companies prefer to invest in offshore development companies instead of [building a scalable MVP product](https://www.radicalloop.com/blog/minimum-viable-product-guide). But why is it actually happening? Well for beginners, it’s cost-effective and efficient to hire offshore developers.

Secondly, you will have a pool of talented industry expert developers working on your project. Let’s have a detailed discussion over it below-:

<h3>Why you must hire an offshore development company for your startup?</h3>

Do you know [the United States](https://www.outsourceaccelerator.com/articles/outsourcing-statistics/) secures almost 84% of all outsourcing deals? And, the United Kingdom ranks second with 5%.

According to Deloitte’s global outsourcing survey, 72% of companies prefer hiring software Development Companies compared to an in-house development team.

But, why are companies choosing to outsource rather than have their in-house team? Here are the reasons-:

**1. Cost effective**

Cost kills startups. According to a report published by [Quartz](https://qz.com/682517/after-analyzing-200-founders-postmortems-researchers-say-these-are-the-reasons-startups-fail/), 46% of startups fail because they face a severe cash crunch. So, when you hire an offshore development company, you do not have to worry about overhead costs like office rent, recruitment fees, payroll, insurance benefits, and others.

**2. Shorter Delivery Cycle**

Offshore Development Company is rich with niche specific talents and their professionalism is up to the mark. They ensure that all your projects are completed and submitted on time with the utmost quality. Additionally, they guarantee you a faster time to market and raise your investment significantly.

**3. Availability**

Hiring remote staff for your MVP requirements can be a burden for your company. Because remote staffing comes with a large time zone difference. On other hand, delegating your work to an offshore development company will speed up your product delivery.

Secondly, they will offer you continuous work updates and you don’t have to worry about the time zones. They are committed and available as per the contracted hours.

**4. Round of the clock**

When you hire offshore developers, you can ensure that you have someone constantly working on your project. This helps you in quick management and identification of any errors that may arise during the app development process.

In the case of a local team, you may have to ask them to necessitate late night shifts and extra hours for a large project. This will ultimately add extra cost.

Did we mention that outsourcing developers saves your training costs?

**5. Unmatched quality**

Just be confident when you are working with a professional offshore development team. Here you will receive new ideas and unique suggestions for your projects.

Plus, they have been mastering the art of software development for years, so, assigning them any complex project won’t be a big deal. You will observe innovation and originality at every level of the app development process.

<h3>How much can you save on MVP Outsourcing?</h3>

Cost of in-house MVP development vs. Outsourced MVP, which one is cost-effective? (costwise)

**?  Cost of in-house MVP development**: $170,000 approx.

**?  Cost of Outsourcing MVP Development**: $75,000 approx.

**?  Cost savings:** $170,000 - $75,000 = $95,000

<h3>How to Hire Offshore Developers? PRO TIPS!</h3>

Want to ease off your task?

Looking to hire offshore developers? But don’t know how to hire and work with the best one? Take a Sneakpeak into the guide here-:

**?** **Decide your priorities**

Before beginning your work, always define your priorities and attainable goals. Make sure that everyone understands your expectations from the project and its results.

You should have a clear and face-to-face meeting with the offshore development team members. This will help them in understanding their responsibilities and commitment to your project goals.

**?** **Do background check**

You cannot assign your projects to any offshore development company, right?

Therefore do a background check of their company, check out testimonials and reviews, and read about the company policy and history.

Seek a referral from a third party who has already worked with them. Make sure you have picked offshore developers who are well qualified, pro-vetted, and dedicated to their roles.

**?** **Technically sound**

Before making the hiring decision, understand the technical background and know about their skills and mastery. Make sure they are well versed with the latest technologies and trends and can deliver you unique suggestions on the project.

**?** **Conduct interview**

Your project is very crucial and therefore you should conduct an interview of developers (if required). You can ask technical questions about your project. Give them a problem related to your project and see what suggestions and solutions you get from them. Make your hiring decision based on their answers and cognition.

<h3>Successful examples of outsourcing development</h3>

You might not know, but many big companies have successfully outsourced their MVP to make it a huge success.

**1. Alibaba**

[Alibaba](https://www.alibaba.com/), being the world's biggest marketplace would have not been available if it wasn’t outsourced to specialized developers from the US.

**2. Slack**

[Slack](https://slack.com/intl/en-in/) collaborated with MetaLab and got its branding and marketing (logo, web, and mobile applications) done with the best in class expertise.

**3. GitHub**

[GitHub](https://github.com/) successfully made its name in the marketplace with the help of talented outsourced consultant Scott Chacon. The founder of Github hired an outsourced consultant and followed the advice during the development process.

**The Final Words**

Outsourcing your projects to an agile offshore development team is an **INVESTMENT** and not an **EXPENSE**. You can expect faster time to market, niche-specific expertise, and enhanced communication.

Offshore software development services not only streamline your business project. They also help you meet attainable goals with infused innovation and creativity.

Hire [RadicalLoop](https://www.radicalloop.com/) now and scale up your business operations to stay ahead of the competition. Our skilled team and cutting-edge technology will help your company grow. Call us now to discuss your software project.

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In this guide, we will explain why you must hire an offshore development company for your MVP or startup. Check the top 5 reasons, cost differentiation, and tips with examples.

Hire Offshore Development Company for Your MVP Requirement

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