How To Pick The Right Offshore Partner For Your SaaS Company

Development January 31, 2022 How To Pick The Right Offshore Partner For Your SaaS Company

The offshore software development model is surely enticing for upcoming SaaS companies and startups. Offshore development companies are up-and-coming with lower development rates, faster project completion, high-quality deliverables, and much more. 

And while many corporations have successfully established offshore partnerships, others still haven’t figured it out. We are not here to delve into the intricacies of managing an offshore software development company, but you must know the ways for a rewarding relationship.

It is natural to get confused as many offshore companies are available out there. You must think about the parameters to select a trustworthy offshore company that delivers high-quality products within a set time at a reasonable cost. And, of course, their ability to create great software is essential.

One of the first requirements to focus on is the services you are looking for? The right IT services can change the face of your SaaS business. Working with futuristic technologies might not always be possible locally. Thus, offshoring has always been a strategic business decision. This business model can be of immense value for SaaS companies and bring several benefits for both the public and private sectors.

IT outsourcing is the new norm as more organizations aim to specialize in core competencies without maintaining IT teams. Outsourcing business model is also very functional when companies don’t want the existing team to struggle with new technologies.

The cost of maintaining an IT team is relatively high, and outsourcing places a perfect solution with minimum risks for any organization. Here is a list of some IT services to outsource for your SaaS business:

  • IT strategizing, budget development, and technology planning
  • Round-the-clock onsite and remote user support
  • Web and App development
  • Cloud computing and its management
  • Data visualization and analytics consultation
  • Game development
  • Infrastructural upgrades
  • Testing and quality analysis services
  • New technology upgrades and rollouts
  • Cloud computing and consultation
  • Network management and more

Also Read: Offshore Software Development Trends For 2022 (One’s You Can’t Miss)

This blog focuses on how to find the right offshore partner with relevant industry experience and technological expertise, reasons why you should consider outsourcing, and some practical tips to help you choose the right outsourcing partner.

When to hire an offshore partner for your SaaS company

It is always a smart business strategy to identify the need before investing. The benefits of hiring an offshore partner are inevitable, but an established corporation must analyze whether the effort is worth it? Does hiring an international partner match your company dynamics and contribute to its growth.

Working with many clients across the globe, we have curated 4 reasons when a company should consider outsourcing:

  1. When it is cost-effective – offshore partnerships are high rewards and low risks. When executed strategically, outsourcing can reduce labor costs. Your organization can entirely focus on the project without the hassles of hiring and operations.
  2. When flexibility is the need – during expansion, many companies want to keep building on their core competencies and include new technologies. This ensures both old and new business. Outsourcing takes care of both these aspects with flexibility.
  3. When you need focused expertise – local talents may not always know new technologies. Some projects will require expertise that your existing team might not be experienced in. so training and building an in-house team is a time-consuming and high-budget process. Outsourcing is a simple solution to access expertise with experience and quality.
  4. When consistent quality is a must – outsourcing is the best way to build teams with the technical power and high-quality resources to deliver high-quality software consistently.

5 Practical tips for hiring the ideal outsourcing partner

5 Practical tips for hiring the ideal outsourcing partner

1. Review tell you what’s in the packaging

There are many good offshore software development companies, but not all of them will be a good fit for your firm. Online review sites, reputed forums, and ratings help you understand how an offshore company works, whether it can deliver on time or complete a complex project.

When choosing an international partner, it is best to listen to previous clients of the company. You can also ask for work samples and prepare background questions for the whole team. This is a standard and effective method to evaluate your potential partner.

2. Check their tools and processes.

Software development is no more about writing code from scratch. Many tools and frameworks can hasten the development process by pre-configured features, themes, and layouts.

To pick the best offshore partner, find out which tools the offshore development firm uses for different processes. For instance, how a team handles change requests is critical in a web development project. So is the process to identify and track bugs. Your organization will have a successful offshore web development project with the right approach for change requests and tools to fix bugs.

3. Testing and QA is the key to a successful project.

Without testing a software product, it is bound to fail. The offshore software development partner must have dedicated testers and QA specialists. You don’t want to build an IT team without them. Developers don’t focus on testing; thus, their ability to comprehensively check quality can’t be trusted.

There are various testing methodologies, and QA testers are proficient in evaluating the effectiveness of a product to deliver high-functioning solutions.

4. Talk to your friends in the market.

Even though online review sites are becoming more transparent, there is always a chance of ambiguity. But when you ask for referrals from a trusted friend or colleague, you can trust their feedback.

Their personal experience and directly asking them will give you the exact picture of how the offshore operates. Don’t just stick to your circle. Ask from friends of colleagues and partners and note down the comments for comparison later.

Also Read: Hiring Offshore Software Companies In 2022? Here Are The Top Models To Pick From

A small list of questions you can ask about the offshore company: 

  • Were they a good fit for your business/startup culture?
  • Are all the conditions met at the time of delivery?
  • How was the quality of their code and infrastructure stability of the product?
  • Was the management supportive and helpful towards the team members?
  • Did you face any difficulties working remotely?
  • Is the time difference an issue?
  • Did they understand your requirements promptly and adapt quickly?

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1. Cost-effectiveness is the goal, not the cost.

The offshore partnership model is enticing to many SaaS companies due to the lower costs. But this doesn’t always hold. You are paying in exchange for the value, expertise, and operations, and sometimes you will have to invest more than expected to get the desired functionality.

The best way to figure out the cost-effectiveness of a proposed project is via the offshore pricing models.

2. Fixed cost model

As the name suggests, the price in this model is fixed. This is most suitable for projects with clear goals and detailed plans. There are no alterations in the pricing. One drawback is that no changes are possible in the middle of the project as additional changes require additional pricing.

3. Dedicated resource model

The offshore company lets you handpick the team to work on your project only in this model. The prices are variable as per the project demands. This model is best if you want high-quality and undivided attention from your development team. A faster model to complete projects in the least amount of time.

4. Monthly/Hourly cost model

This is the most flexible model of all three and the most followed one. You can also pick your team to work with you directly like an in-house team every day. You can add new members to the team as per your requirements. And they can work on your project dedicatedly. The offshore team can also contribute to the planning and ideas for the project.

Even though all business decisions are driven by cost, you must consider value while choosing the ideal offshore partner. Don’t just choose the cheapest option. Think in terms of higher ROI, the skillset of the developers, the company’s culture, and more. The quality of your product is affected by all such aspects in the end.

We hope these tips will help you find the right offshore partner for your SaaS company or startup. If you are still looking for a reliable, experienced offshore software development company, we are here. Just drop an email, and let’s start talking.

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