All founders go through a similar process when starting a new project. The day comes when we finally decide to take the big leap and we jump into a new endeavor. We change our status on Linkedin, we announce it with friends and family, and it is official, we are full time entrepreneurs!

During the first weeks, we launch into endless activities that range from the development of the new website, definition of the value proposition, development of internal documents such as contracts, personal cards. We also spend a lot of time in achieving an online presence, either by uploading content to profiles on social networks and generating articles for blogs and LinkedIn groups.

Little by little we go filling our agenda with all kinds of activities. And our time ends up going many times on repetitive issues. Within this list of activities there are tasks that may not be to our liking. We find ourselves uploading invoices in Quickbooks or putting together an innovative newsletter in mailchimp.

At some point in this journey we understand that in order to generate a solid sales pipeline it is important to achieve a constant inflow of new leads. We decide to start spending an hour a day finding new prospects on Linkedin.

So far everything seems to be going well, and the business seems to be accelerating, slowly we are achieving market validation of our product.

But unfortunately all that glitters is not gold. In the background, an important problem seems to be developing. Among so many repetitive tasks, we are increasingly having less time for strategic issues. There is less time to define the course of the business, and have an overview of the venture.

The first reaction is to grow the team, so we begin doing research on the requirements to hire someone, risks, salaries. But…are we ready to hire someone? It seems that the necessary step for the company to continue with its growth is to enlarge the team, but unfortunately we do not generate enough income for this transition to occur in an orderly manner.

At this crucial moment for the entrepreneur, outsourcing can be a very valuable resource to take the project to the next level. But …. What do we mean when we talk about Outsourcing?

Outsourcing is the process by which a portion of the business ceases to be developed internally by a company and is transferred to another firm. That is, the delegation of an activity or a business process from one company to another. This practice has several benefits for those who decide to bet on it:

Cost Reduction: According to Deloitte’s Global Outsourcing Report, cost continues to be the main reason why hundreds of companies choose outsourcing as a strategic solution. Although in recent years it has been mentioned a lot that this aspect is not so considered when opting for outsourcing, we can see that in times of pandemic this factor becomes more important.

Productivity: A fundamental objective when incorporating Outsourcing is to achieve greater productivity: Outsourcing implies delegating activities to third parties that are not strictly part of the main business of a company. It implies to delegate in the long term one or more non-critical processes for our business, to a more specialized supplier than us, to achieve greater effectiveness that allows us to direct our best efforts to the neuralgic needs for the fulfillment of a mission”.

Risk Management: Approximately 90% of startups fail. In the first years of an enterprise is where there is a greater chance that the project will not go as planned. Having all the roles covered internally presents greater risks if the project does not go well. By hiring a remote team in an emerging country, companies have greater flexibility to align the size of the team with the actual growth of the business.

But, wait, what things should we consider when outsourcing into Latin America or other regions?

Tips for a Successful Nearshoring Strategy

Meeting business goals in an external environment can be challenging. Even when the benefits are high, this practice is not one hundred percent safe from trouble, especially during the early stages. Here are some tips to help you succeed with the nearshore model:

Provide training whenever possible: Help employees understand company culture and project goals.

Create schedules: Employees must be aware of what the company expects of them. In this way, they can plan strategies and work towards their business goals.

Focus on standardization: If you want differences in work style not to affect your goals, it is essential to establish standard procedures.

We hope you found this information useful. If you have any questions regarding nearshoring don’t hesitate to book a call with one of our experts.