Why Software Development Company is a Solution?

Regardless of the sphere, more and more companies are in need of software development. By 2021, the global software market turnover is expected to reach $507 billion. The biggest companies like Microsoft and IBM are co-living with thousands of IT outsourcing companies and individual freelance developers. In 2018, the estimated number of developers in the world was approximately 22.3 million people. And yet, the growing demand for custom software development seems not to meet the supply of qualified coders, which is why it’s hard to find them.Today, the question of choosing the best software development company or hiring in-house developers for your product is more than challenging. Let’s take a look at the possible scenarios, models, pros, and cons.

Custom Software Development Models

Although most of the development companies combine the approaches into some kind of a hybrid form, there are three major custom software development branches on the market: outsourcing, outstaffing and virtual outstaffing.

Outsourcing

Outstaffing

Virtual

outstaffing


  1. Classic IT Outsourcing Companies

Use the principles that have been existing since the industrialization era. They fully undertake the entire development process and provide the client with dedicated teams that perform given tasks and deliver the result. The outsourcing web development agency also covers project management, taxes, and office expenses. In the end, the client receives an operating product and a paycheck and saves their time on hiring developers and managing them.

2 Outstaffing

Is a step from outsourcing toward more control over the development. In this case, the client has their own project manager who spends more time in personal contact with the staff provided by an IT software development company, oversees their work and makes sure that the delivery is done according to the roadmap. It is a great way to get a qualified developer that your in-house team is missing. However, the staff would still use the provider’s office and get the wages and other employment issues covered by them. This scheme allows getting experienced programmers in a time-efficient and hassle-free way.

3 Virtual Outstaffing

is the next level of outstaffing, and it became available to us because of digitalization and globalization. It is essentially a mix of outstaffing and hiring freelance developers. With it, the customer can hire a dedicated software developer by means of a usual freelance website, such as Upwork or Toplal, but from a middleman that will provide micromanagement for the performer, and some guarantees to the client. In most cases, there are no payments for office support involved, and the taxation is covered by the developers themselves.

Why Hire a Web Development Agency?

An all-set team

Financial agility

Deep expertise

Customer care

Internal consultancy

Smooth collaboration

  1. An all-set team. Once a client hires a bespoke software development company, they not only get developers with fewer things to worry about but a well-established team of specialists who have already worked together and know their way around any issues. A hired team will be capable of all stages of development, such as design, testing, management, and support. Unlike an in-house team which needs time for hiring, managing all the office, taxation and accesses things, and settling down with a new environment, an outsourced team is ready to work within hours after the contract is signed.
  2. Smooth collaboration. An outsourced team is easier to collaborate with, as the team members have previously worked on a wide variety of projects for different customers, and their experience with things outside programming itself will be stellar. It often happens that an outsourced team saves a lot of time on learning the peculiarities of the client’s sphere only because they have already worked with another customer from the same industry before. This may seem to be true for freelancers as well, but one can never know for sure, what part of a project they have worked on, and how deep into its specifics they’ve been.
  3. Deep expertise. An experienced team provided by a custom software development company will save customers from mistakes they could have made due to lack of knowledge in a certain technical topic. Outsourced teams can often advise customers on different solutions to their problems that will be implemented faster, easier and at a lower cost
  4. Customer care. Customers rely on the reputation of the providers, thus keeping it high for them is a primary task, even if it’s a small website development company. It will care about your cooperation and provide you with the best possible service, to keep your satisfaction high. Other customers may ask you for feedback, and the development company is interested in great references regarding their services.
  5. Internal consultancy. Any software and web development company keeps several teams in their offices, which share the common spaces, have the same out-of-office activities, and so on. This keeps the high level of interaction between teams, which is also a beneficial detail for the clients. If your team gets stuck over an issue, the developers can seek help from other teams, hence all coding problems that may arise will have almost an immediate solution if you hire an IT software development company.
  6. Financial agility. Finally, the top software and web development company will be able to sign agile contracts from the financial point of view. If a customer has restricted monthly financing for the project, the team can be nevertheless expanded when more workforce is needed, and this expansion will be paid off on a later stage of, say, testing or support, where fewer specialists are required.

Outsource for Startups and Small Companies

Startups are very specific IT companies. Regardless of the size, new businesses require rapid growth on less budget, and the penetration of the Internet and lots of competition in virtually any business sphere also put on a quality requirement. How can small companies provide good service by utilizing cheap, fast in development and quality custom software? Hire a software application development company, of course!

Let’s imagine a standard Scrum team you would need for an average web or mobile application. One team lead and Scrum master, one architect, two or more developers, a QA engineer, a DevOps engineer, and a designer. A basic in-house team will need considerable office space, electricity, good wages, hidden payments in taxes, and even much more. The said team with market wages will cost the company over $1,000 per hour, whereas some outsourcing companies will be happy to provide you with the same team for as low as $300.

The practice shows that hiring bigger teams from a custom software development company is even more cost-efficient — up to 80% cheaper than hiring and managing the same number of in-house specialists.

An in-house team needs 6 to 9 months of active development to build an average mobile application, plus up to two months to set up the team. This period comprises time required for design, programming, testing and market launch of the software. Not only the outsource teams don’t need any setup, but they can also be easily extended if needed, to match any time constraints set by the customer. For the same cost, a bigger team will build the software faster, without any hidden time spends.

All in all, outsourced teams deliver faster in any case. A small company in a new sphere will most probably have a strong business core but will lack corresponding specialists with the required knowledge. If a comparably new technology has been selected, hiring in-house developers will be hard and time-consuming, since the market won’t be flooded with people having the knowledge, and some education will be also required. With outsourcing to a web development agency, the customer can find a strong team that already has experience in the required area of expertise, at no extra cost. This will benefit the final product in terms of quality and the time needed for the development.

Why Big Companies Choose a Custom Software Development Company?

Apart from the advantages mentioned above, big companies have an additional one. Hiring a custom software development company gives an opportunity to concentrate on the business core and leave the software issues to the professionals. It allows enterprises to set highly detailed tasks from their business standpoint, and don’t worry about the possibility or value of the implementation of a certain feature.

A piece of software or a website that is developed by an outsource software and web development agency will be of higher quality and will cope with the often strict business requirements much better.By utilizing outsourcing, enterprise-level businesses increase the quality of their services and products and provide better software for them at the same time.

Leave Custom Software Development to Professionals

The software development market has become very mature over the past decade. There are many development models to bring your product to life at different budget and time. Outsourcing to the best software development company with an extensive portfolio of successfully built projects is a proven scheme chosen by small startups and large enterprises. Desktop, mobile app, custom CMS, or SAAS development can be done by a formed team of coders with high quality and on-time delivery, allowing you to focus on your business in full. All you need to do is choose a bespoke software development company with high reputation and good reviews.

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