Software Development Outsourcing

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What Is Software Development Outsourcing?

Essentially, software outsourcing is the process of handing the responsibility of software development to someone outside your company, like a software team. Traditionally, software development outsourcing is divided into three branches: onshoring (outsourcing within your country), nearshoring (outsourcing to a country nearby), and offshoring (outsourcing to a different continent).

Software Outsourcing Types & Models

Staff Augmentation

With the staff augmentation model, your software outsourcing partner will build a remote software development team for your company and stay in charge of its day-to-day activities and processes, while you retain control over the team composition and the distribution of responsibilities.


A project-based outsourcing model means that the software outsourcing provider is given full responsibility for the project as soon as they receive its goals and requirements. While they’re fully committed to the process, your resources can be utilized elsewhere, as your focus is on the final product.

Dedicated Team

Dedicated Team model gives the most responsibility to the software outsourcing firm, as they keep control over all aspects of running the team dedicated to work on your project, including staffing, management, quality assurance, and overseeing the workflow. This type of outsourcing still allows you to manage or conduct any of those processes at any time.

Software Development Outsourcing: The Benefits


Outsourcing providers can give you expert-level skills in the hottest, most innovative technologies faster than your HR team can say ‘job opening’.

Effective Costs

Work with world-class professionals for a reasonable price instead of supporting excess infrastructure, office space, and extra costs of hiring your own team.

Large Pool of Talents

Get access to a whole new world of outsourced software developers with a variety of skills, experiences, and resources. Complement what your in-house team lacks for best results.

Improved Efficiency

Software outsourcing companies have learned the ropes about efficient and time-saving processes. Use their expertise to get competitive advantage and shorten your time-to-market.

Greater Scalability

Save resources by scaling your team to your current needs and goals. Cut down your paperwork time and respond to business opportunities faster.

Optimized Workloads

Take speed bumps such as the lack of proper talent out of the equation. Let your partner manage the changes inside the workload while you focus on your core business.

How To Choose Your Software Outsourcing Partner

Set Out Your Expectations

The fear behind moving your software development offshore is often that the outcome won’t meet your goals. Keep those monsters at bay with a clear plan. Different outsourcing models require different levels of involvement on your side. Compare them carefully and assess which one sounds the most like you. Then base your search for an outsourcing company upon your needs.

Research Right

It’s worth diving into platforms like LinkedIn or Glassdoor to learn even more about software development companies’ culture, team structure, and how they support employee growth.

Get Other Prerequisites In Line

Set out any other specific expectations for your software outsourcing partner, like a background in a certain industry or the experience in particular technologies, methodologies, or software. Extra requirements equal less wiggle room. Make sure to gather and prioritize them before looking for a company to develop your product.

Meet The Candidates

Many projects require confidentiality. Data safety is a delicate matter and should always be handled with caution. Outsourcing IT services can turn this aspect into a challenge. The more you learn about the company and its employees, the higher the chance for a perfect match. Step outside the usual business talk and try to get to know the team you’d be working with, especially if you’re looking for a long-term partner.

Determine Your Budget

Depending on your resources, you may want to dive into different regions for outsourcing. Guides to software development costs in various countries will help you decide on the best direction. While the cost of software development outsourcing tends to be less than hiring and maintaining an in-house team, the prices vary throughout the world. The budget is a significant factor to consider when choosing an outsourcing company, but the figures should never have the final say in the decision process. Focus on the proposition value and compare costs with quality instead.

Talk, Talk, And Talk More

Software outsourcing is a big deal, especially if you’re doing it for the first time. It’s perfectly normal to have some concerns and a never-ending list of questions to ask. The best software development company will gladly address all your doubts. They’ll be happy to discuss various aspects of the project, including any potential pit stops, conflicts, and delays.

Software product development company ready to talk about your next project!

The Challenges of Software Development Outsourcing

Having doubts? Find out what obstacles & challenges you may face with software outsourcing and learn how to tackle them with best practices.

Keeping The Control

An understandable threat of software outsourcing vs. in-house developmentis the project slipping through the owner’s fingers. By introducing simple measures, you can minimize the risk.

Make sure your outsourcing company uses agile processes and has transparent communication channels for constant updates, feedback, and guidance. This way, you’ll solve any likely issues before they can compromise the outcomes.

Expectations vs. Reality

The fear behind moving your software development offshoreis often that the outcome won’t meet your goals. Keep those monsters at bay with a clear plan.

Software development companies work closely with their clients to set specific goals for the final product and its features. Thanks to fine-tuned project management and continuous testing, together you’ll achieve the results that you sought after.

Methodology Difference

In-house software development lets you stay inside your comfort zone, use familiar tools and practices, and get things done faster instead of yet another training. But are you sure this is what you want?

One of software outsourcing services’ greatest benefitsis teaming up with companies using modern, efficient methodologies every day. Keep an open mind and look for a middle ground.

Cultural Gap & Communication Issues

The farther you outsource, the bigger the concern that your software development outsourcing partner will feel distant from you at many levels. Look for these green flags when choosing your dedicated software development team:

A high level of English proficiency and a similar cultural circle reduces the risk of misunderstandings along the way. Identify potential friction points and address them early, making sure to establish clear communication patterns and meeting times to stay in sync.

Security Risks

Many projects require confidentiality. Data safety is a delicate matter and should always be handled with caution. Outsourcing your IT services can turn this aspect into a challenge.

Outsourcing providers use non-disclosure agreements to take legal measures against security breaches or violations. They utilize top-notch technologies to share & store sensitive information.

Software Development: In-House vs. Vendor

Torn between in-house software development and outsourcing? Here are the key differences between these two approaches:

Software Development: In-House vs. Vendor

In- House


Building and maintaining a tech team with a vast skill set takes time. If you want results ASAP, you can only rely on your current talents.


Hiring an in-house development team creates a whole lot of extra costs, like taxes, benefits, office space, or extra equipment. These numbers add up quickly and are hard to reduce if you need to downsize.


In-house development, especially with a small team, tends to take more time. Your employees may need to divide their focus between various projects or completely abandon some of them. An extra training might be in order, not to mention a hunt for more professionals.


With in-house development, you’ll probably use well-known and tested communication patterns and channels. Your team is a close-knit group of trusted individuals who are familiar with your workstyle, expectations, and any past troubles and challenges they’ve faced.



Outsourcing gives you instant access to professionals in various fields and specialties, with an experience incomparably broader than an average in-house developer.


Outsourcing developers gives you a highly-competitive and transparent price that’s hard to beat unless you’re in for a really long-term project.


Software development companies are battle-tested in time-sensitive projects and know their way around effective, goal-oriented workstyle. They can deliver great results with shorter deadlines, giving your core team more time to focus on their primary objectives.


Vendors specializing in outsourcing software development use modern and fast communication channels like Slack or Skype for seamless updates. As these technologies are now used daily with more and more workers switching to home office models, the difference between in-house and vendor communication fades away.

Why Us?

We’ve sharpened our skills working on our own products. Over the years, we’ve evolved into an integral team of pros battle-tested in all stages, cases and scenarios of an IT project. We had the chance to learn all the market-proven experience needed to deliver full, working and tested solutions.


great projects worldwide


years working on our products


years as a software house

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people on board

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How can outsourcing software development reach my goals?

Find answers to the most commonly asked questions before deciding to pick a software outsourcing partner:

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