Software development outsourcing has become an attractive option for businesses across the globe, given the significant reduction in operational costs it offers. 

According to a report by Statista, the IT outsourcing market in Europe is expected to reach $103.9 billion in 2021. It goes without saying that this growth trend will be observed across the globe. But is it just reduced costs that have made Software Outsourcing so desirable?  

Inside the sphere of technology and software, personalization is key. To meet the requirement of a bespoke solution, there is custom software development.  

Notwithstanding the extraordinary cost efficiencies, it offers, custom software development is a speculation that will pay off in the end. But that’s not all. Custom software development comes with a rich set of advantages ranging from features richness to utility and, subsequently, business sense. So without further ado, let’s dive into the details of what custom software development is and how it can help your business.  

This article attempts to elucidate the seven key benefits of software development outsourcing from a startup perspective and why your startup, too, should partner up with a software outsourcing company. 

Key Benefits of Software Development Outsourcing for Your Startup 

Now that we know what custom software development service is, let’s proceed to a rundown of the value it can offer your startup. 

  1. Enhanced Agility and quality:

It is well known that the agile methodology positively affects the achievement of a quality product. A development environment that follows ‘agile’ principles allows for enhanced collaboration between teams overseeing strategy and the actual IT development team. This, in turn, results in high speeds, high team productivity, and efficiency. 

Following the agile methodology, engineering and testing teams focus on detecting and fixing vulnerabilities and bugs, ensuring that they receive a product that meets your startup requirements and goals. 

The agile methodology helps establish a resilient process that ensures the achievement of promised sign-offs in the SLA.

  1. Future-ready:

Today’s market environment demands that startups adopt digital transformation to remain relevant and keep pace with the ongoing rapid shift in technology. 

A Gartner report states that by 2021 7.6 billion people will have 100 billion connected devices. An ideal outsourcing partner can bring all the necessary expertise to create next-gen solutions to meet unique business needs, e.g., Deploying predictive analytics to pinpoint events that trigger traffic surges. 

  1. Massive cost savings:

Offshore software development outsourcing results in massive cost savings, given that skills and expertise, which cost $100/hour in the US, can be found at the same quality standard at just $55/hour if outsourced offshore to a high tech-literate country like India. Developers in countries like India work at salaries that are much lesser than their counterparts in the US or the UK, given that the cost of living is much lower in developing countries.  

By even the most conservative estimates, startups can save a very large amount of money dollars in training, benefits, depreciation, support, and rent. 

With software development outsourcing, a startup can reduce the cost of overall application development from the standpoint of labor costs and the total cost of ownership. 

  1. Rapid delivery:

A product development lifecycle can prove quite time-intensive. Based on the scale of the project and specific use cases, a cross-platform hybrid app would take a few months to reach deployment. At the same time, the development of complex platforms that utilize technologies like AI and ML could stretch out over several years. 

Choosing to outsource an enterprise-grade application to an experienced outsourcing partner can accelerate its time-to-market. 

Augmenting an in-house team is not always advisable if time is a constraint in your development initiative, as that would mean maneuvering through the hurdles of recruitment and onboarding, which are inherently time-consuming. 

According to industry standards, an ideal software development outsourcing company can deliver an MVP in 12 weeks by following the agile approach. With the immense risk of IPR theft, hitting first-to-market is key to the success of all startup development initiatives, and hence rapid delivery is highly desirable.

  1. Focus on your core business:

Startups often go wrong by diverting overt resources and time to application development and the technologies used. Such a diversion can result in the startup losing focus on their initial idea and the core processes of their business. This can prove to be greatly counterproductive.  

With software development outsourcing, a startup can shift its focus from application development, which isn’t its forte, and pay more attention to core business processes like brand building and market research to provide high-value service to its customer. 

With the technology part of software development being the outlook and responsibility of the development partner, startup leaders can decide on solution requirements that fit their goals.

  1. The perfect fit:

While larger companies deploy offshore development groups to mitigate locational hazards, small and medium businesses outsource to cut costs on human resources, infrastructure, etc. Whatever the business use case, industry vertical, or size of the undertaking, software development outsourcing can prove to be the perfect fit for businesses of all sizes.

  1. A trusted partner:

Outsourcing your startup’s software development, maintenance, and support to a trusted software development partner is the most viable solution to this problem. The Idea outsourcing company will handle the entire SDLC while even offering expert consultation to streamline your requirements and include features that give your app/software a competitive advantage in the market. 

How Much Does It Cost to Develop a Custom Software? 

Contrary to what you may think, building custom software can prove to be the cheaper option in the long run. While the price of a custom solution may vary from project to project, each client has a specific scale and scope; the following factors influence the final cost of developing a custom solution. 

  • software scale 
  • migration capabilities  
  • Complexity of design 
  • integration capabilities 
  • Scope 

The Takeaway 

So there you have it 7 advantages that custom software development can bring to your business. Research on how to outsource software development is also advised. With the endless opportunities offered by software outsourcing, right now is perfect, to begin with, software development outsourcing. Partnering with a Software development company is the perfect solution if you’re prepared to accomplish your software development goals with enhanced cost-effectivity, nuanced control, and augmented business potential. 

Custom software development is a brilliant way for startups to scale and take care of issues. Organizations that need custom software should pinpoint their difficult regions and plan a course of action for them. We hope that this article has been informative. Till next time, happy developing. 

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