How To Decide What To Outsource In A Start-up
Although it takes a lot of confidence to set up your own business, you can quickly find yourself out of your depth. Potential clients will start to approach you with bigger and bolder projects, and rather than turn them down, you want to make sure you’re the one who gets the contract.
As your company begins to grow, you’ll start to consider outsourcing to freelancers. Knowing which skills to employ permanently and which you should hire on a temporary basis though can be a tricky decision, and it’s important to get it right. Today’s post will give you the three key thoughts you should consider when making your own choices.
Consider your weaknesses
The first question to ask yourself is: what is my team lacking? Consider the projects you’re thinking about taking on, or the next natural step forward in your business. What skill-sets are needed in this area? Will you need to buy expensive software subscriptions? Will it take you hours to learn the new skill if you were to do it yourself?
In cases like this, a good solution is to outsource a freelancer for the particular skill you’re missing. For the first few clients, you’ll get to know whether or not this is a viable step forward for your business, and whether this should be made a permanent position in future. You’ll also get to know the job role itself; what that person needs in order to do a good job, the kinds of challenges they face, and so on, so your own hiring ability improves.
Think about costs
Secondly, what are the costs involved? Although it might seem like hiring a freelancer is a large upfront cost, it’s cheaper in the long-term to outsource finite projects. For example, there’s no point in hiring a graphic designer permanently when all the materials you need such as a website and branding have been completed. Analyse your budget and see what skill level you’re able to afford too, getting several quotes from different people.
Then consider areas where you could end up wasting money. For example, in a product business, timely and professional delivery is key, but you might not have the money to buy brand new vehicles. It may be cheaper while you build your client base to hire a cheap pallet delivery service or courier for the job.
Could there be consequences?
Finally, it’s vital that you consider the implications of not outsourcing specialist services. Although it’s tempting to save money by drafting contracts and completing your accounts alone, the accompanying risk is usually not worth it.
Hiring an accountant that specializes in your industry means they’ll be able to give you valuable, tailored business advice, as well as taking care of all the figures that will save you time, money and stress. Similarly, consulting a legal profession on new contracts, non-disclosure agreements and so on, will give you peace of mind in your next meeting.
What skills have you outsourced in your business?
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