6 Excellent Benefits of Staff Augmentation For Your Business
Jeremy Stephan | Feb 20, 2024
“Time is money” for every business. That saying has never been more true when you’re a Small-to-Medium sized Business, (SMB or a startup). For SMBs trying to do everything with a small team, every cent (and, by extension, every second) really, truly counts.
To grow, though, you need to bring in the necessary talent — and you need to do it fast. Let’s say you need to get to market with a digital product (e.g., a mobile app that is BLE connected to a piece of hardware), and you needed to do it yesterday.
Should you speed through the recruitment process and assemble an in-house development team? Or is leaning on the skills and experience of an outsourced development partner the smarter way to go? Let’s take a look.
There comes a time in all successful SMBs and startups when your small team just can’t keep up. So what do you do?
Usually, the answer is to look for new development talent to accelerate growth and provide the necessary skill.
The problem with this strategy is that finding that talent isn’t always easy, fast, or affordable. There are lots of tricky questions when it comes to hiring developers in-house.
Unfortunately, several factors are working against growing SMBs that try to build an in-house team. Here are just a few of those obstacles — and, for a small and/or scaling business, they can be devastating.
Hiring a team of talented, reliable, and passionate individuals takes a lot of time and resources. And if your SMB doesn’t already have some development talent on board, even knowing where to start can be overwhelming.
What kind of developers do you need? What skills and expertise should they have? What are the tools and processes required for success? And can you put together a competitive enough package to keep them on your team as your business grows?
Beyond all that, it takes time and money to put together a whole team of developers. You’ll need to recruit, interview, shortlist, and make offers to candidates — which can take months.
And you’ll need to factor in salaries, benefits, training, and let’s not forget about curating the culture. It all adds up quickly.
In the process, you invest your time in recruitment, which can take time away from your day-to-day priorities that keep your SMB running smoothly.
When you run an SMB you don’t have time to waste. But the unfortunate truth is that building and training your own development team from scratch can be time-consuming and risky.
After you’ve hired and trained a team of designers and engineers, next you need to establish a reliable, efficient, and productive development process.
You need this group of individuals to work as a team, you need them to operate in an organized, efficient manner, and mistakes can be costly at this stage of the game. If you don’t have direct experience with working on and/or managing a development team, then the odds are stacked against you.
Not to mention that your team members might not even get along! They might have zero chemistry or, worse, negative chemistry.
You might not know how much of a budget they need, which tools to connect them with, or what the best practices are, and you may spend time floundering between these points to find the right balance.
While it might sound nebulous, building the right team culture is vital to keeping your team productive and motivated.
You’ve built your SMB into what it is, so you already have the passion to keep the fire burning. You want to ensure that your employees are as excited and energized as you and that they buy into your vision for the business and are willing to work (hard) towards the same goal.
You can’t guarantee this when building an in-house development team at speed, and it might not be something you can cultivate, either.
All that said, there are a few instances where an in-house development team is the right option for SMBs. Consider it if:
If any of the above apply to your business or your project, keeping things in-house might be the right choice.
However, there’s usually a better option for SMBs looking to scale — outsourcing software development.
Learn more about choosing between in-house vs. outsourcing software development.
Software development outsourcing means contracting an external company to create a digital product based on your needs and vision.
By outsourcing software development, you delegate the technical heavy lifting to third-party experts. This accelerates project kickoff and shortens time to market — without the headaches of building an in-house crew.
When comparing in-house vs. outsourcing software development, outsourcing is almost always more affordable. It eliminates the overhead costs involved in traditional in-house development.
Of course, total investment can vary widely depending on complexity and timeline. In general, you can expect to budget $100,000 to $300,000 for a custom-designed MVP.
Where you decide to outsource from can also affect your bottom line. Rates are all over the map (pun intended).
For example, you will likely spend anywhere between $60 to $250 an hour in the US. In contrast, India has some of the most competitive rates at around $30 an hour, making it a budget-friendly option.
But Brazil offers the middle ground if you want to outsource somewhere closer to take advantage of similar time zones and cultural similarities. Software development outsourcing companies in Brazil charge $40 to $85 per hour.
Learn more about how much it costs to build an app.
So, now we know what software development outsourcing is — what makes it a better choice for SMBs rather than building an in-house development team?
Outsourced engineering teams come with none of the hassles of building a team yourself. They’re used to working as dedicated teams and ready to hit the ground running for your business’s success.
Here’s what that could look like:
With a pre-built development team, there’s no need to hire the right talent. It’s already there. This allows you to scale up or down as quickly as you need.
This alone gives your company a huge competitive advantage. It allows you to be agile, claim a stake in the game, and compete with larger companies in your sector.
An outsourced team can integrate with your existing team seamlessly, supporting their performance without disrupting the progress you’re making elsewhere.
Another immense benefit of an outsourced team is getting proven collaborators. There’s no need to establish effective processes, ensure good teamwork, or worry that these individuals will be cold toward one another.
Not to mention that your outsourced team brings significant experience to the table. This can supplement your and your team’s know-how, fast-tracking your learning curve.
Likewise, an existing team will already have the excitement and motivation you’re looking for. They’ve already been onboarded and trained — they’re ready to show up and make your product a success.
They already work together daily, reducing the chances of disagreements, dissatisfaction, and other factors leading to unproductive, unhappy conditions.
Yes, Cheesecake Labs offers stellar outsourced development teams to businesses all over the world. But we’re not promoting this way of working purely for personal gain. This is what we would do in your shoes based on what we know and have seen in the market time and time again.
The benefits to your business — and, let’s face it, your stress levels — are numerous:
You’re running a business, and your energy is already stretched thin. There’s no need to push that limit even further by taking on the challenges and risks of building an in-house development team before you’re ready.
Outsourcing your development keeps your schedule and resources balanced without compromising results. You can manage your time appropriately while your outsourced team supports you.
You can begin the in-house recruitment process when the time is right, not because you’re under pressure.
Not only can an outsourced development team free up your time, but it can also mitigate risk.
Unlike building an in-house team, where you might not know if new hires are right for your project or company until you’ve already invested in them, an outsourced team has built-in credibility.
Likewise, an outsourced development team will almost always have “more collective experience” than any team you can put together. That’s exactly what you need today to launch a quality product for your target audience.
An outsourced development team will provide your business with a sense of legitimacy and integrity. You can make promises to stakeholders more confidently, knowing that you have a team on your side who can provide you with the results you need.
This allows you to deliver on your promises, contracts, and sales — even as you scale up in a short period.
Want even more reasons why software projects outsourcing is the better choice? Here are three more to consider:
Sold on the benefits and want to hire a development team to help your SMB? Here’s a step-by-step guide to prepare you for finding the right outsourced development team:
During the process of vetting offshore teams, keep these things in mind to help guide your decision.
For companies in North America and Western Europe, nearshoring to Latin America is often the best choice regarding costs, time zone alignment, and cultural compatibility.
Brazil in particular is a rising star in nearshore software development. The country has a community of over 500,000 software developers, including the world’s largest group of Java experts. Its growing tech and IT investment scene also makes it a prime outsourcing destination.
Brazil-based Cheesecake Labs is proud to be the number one provider of software development outsourcing services in Latin America. With our strong foothold in this booming tech landscape, we are uniquely positioned to deliver world-class services that are both cost-effective and culturally aligned with Western business needs.
Cheesecake Labs has a four-phase approach to product development, emphasizing customization and client collaboration throughout the process. We work closely with you to make sure the digital products you build align with your SMB’s goals. Here’s how we do it:
We kick off with strategy alignment and dive into market analysis and preliminary tech assessments. By the end of this phase, we deliver a development roadmap, customer journey map, and initial wireframes — all setting the stage for success.
This phase is about early tech validation and creating low-fidelity layouts. Our UI designers breathe life into the app, adhering to a design system that reflects your brand identity.
Depending on your needs, you can choose between two product development options:
Learn more about Cheesecake Labs’ approach to dedicated teams.
We offer two product improvement approaches for dealing with undiscovered bugs, UX hiccups, and other performance bottlenecks:
Since becoming a remote-first company in 2020, Cheesecake Labs has honed its long-distance collaboration strategies. We can seamlessly sync with clients worldwide, ensuring clear communication and timely delivery regardless of location.
Our remote-first culture has also expanded our talent reach beyond our Florianopolis base, making us even more agile.
Although our physical offices remain open for face-to-face meetings, our remote flexibility meshes perfectly with diverse working styles — a skill our nearshore clients appreciate.
For a real-world look at how we transform concepts into successful apps, check out some of our recent projects:
Read more about our past projects to see the results of our app development process!
Jeremy Stephan is no stranger to building digital products. In fact, he's worked with Disney, NBC, Mercedes-Benz, HotelTonight, and many other companies in helping to guide them through the app design and development process. Jeremy has led client engagement in the digital space for over 10 years and served as a mentor within the TechStars network.
Douglas da Silva | Dec 18, 2023