Software outsourcing is the process by which a business delegates programming functions to an external service provider. The process helps save costs since the company would not have to hire a full-time programmer and develop the project in-house.

Software outsourcing benefits both parties: the company gets a mobile application or exclusive system developed at a significantly lower cost. On the other hand, the external provider gains a client and a new platform to promote their services.

Now that we have made clear what software development outsourcing is, let’s discuss the other steps and how this can further benefit your business.


Software Outsourcing Process

First of all, you need to determine how big your software project really is and how much work is needed to get it done within a certain timeframe. There are mainly two alternatives, you can either outsource the whole application development process, or you can outsource just a part of it.

If you don’t require complete application outsourcing, you can choose to outsource a portion of it. You may also try to determine if some processes can be done by the company’s in-house staff. This could include designing, content creation, and other minimal processes.

how software outsourcing benefits

How Does Software Outsourcing Benefit Your Business?

The benefits of software outsourcing are quite many. As mentioned earlier, it saves costs by reducing the burden of maintaining an in-house IT team. You can save up to 90% of your software development costs through outsourcing.

It may cost more initially, but you can easily recover your expenses through the resulting lower labor costs and better business processes. In other words, outsourcing enables you to cut costs and maximize profit. Aside from minimized costs, the following are other advantages of software outsourcing:


A dedicated team may require around 6 months of training and at least six months of implementation to finish a project. If you don’t want to spend time hiring and training new staff members, you can simply work with an independent third-party developer.

In the end, you’ll be working with software development experts without wasting the time and resources of the company. According to Greyloud, outsourcing some of your business’ tasks is one of the ways for your company to grow without committing long-term.


There are plenty of software development activities that a third-party provider can do for you. As an entrepreneur, you can request an application that incorporates new technologies with your ideas. You can also outsource application design and development to a third-party developer that will recommend the best type of program or software that would best suit your vision.

Allows You To Focus On Core Business Processes

Outsourcing allows you to clear more time and focus on core processes that help your company succeed. It enables you to get rid of routine processes or tasks that may be too complicated for you to handle. If you outsource, you will be able to focus on business operations that contribute to the growth and development of your business.

You Can Get Experts In The Field

When you hire programmers and other skilled professionals to work in-house, you have to make sure you’re hiring the right people. However, it may take months to determine whether you’ve hired the best professionals for your IT needs. Outsourcing eliminates this problem because software development companies only employ highly-skilled and talented individuals. After all, application design and development are their business.

Eliminates The Need For Testing

Since you’re hiring an expert that specializes in information technology, they can take advantage of their extensive knowledge to eliminate any programming bugs, glitches, or errors during the process. Hence, they also perform user tests before the program is set for launch. This results in the project being finished more quickly and on budget. Also, they’ll know exactly how to implement your ideas, resulting in a final product that is exactly what you envisioned.


Most of today’s outsourcing companies are reliable because they stay in touch with their clients during the whole process. Your work is assured that it will be done according to your instructions and specifications when you partner with a reputable software development firm.

Ongoing Support

A reliable software outsourcing firm has support teams to handle your programming needs as well as handle technical support for any error or problem. You can be sure to have the support that you need from maintenance to troubleshooting, which allows you to focus your attention elsewhere.


How To Choose An External Software Developer

If you decide to outsource software development processes, you should make sure that the prospective vendor is capable of meeting your business requirements. Here are the things to look for in an external service provider:

  • Timeline: Before outsourcing, it’s important to find out the estimated date of completion of the software, especially if you’re looking to launch the app at a certain date. The service provider should be able to provide results on or before the stated deadline.
  • Support: Does the software developer provide round-the-clock support? You will want to hire someone who has customer and technical support on standby for any concerns or problems you might have.
  • Pricing: The next thing you need to consider is whether you can afford to hire a third-party developer or not. Ask for several quotations before choosing a third-party developer. But remember to look for reasonable rates that don’t compromise quality for the price.
  • Guarantee: You should verify whether the provider offers any guarantee or reimbursements for the outsourced work. Most of the time, providers will offer unlimited access to the source code and full support for a particular period. However, this does not mean that the programmers will be able to solve every kind of problem that the business encounters.



If you need a specific type of software but you don’t have the necessary budget and manpower to develop it in-house, you can opt to outsource it. Various service providers can help you develop programs and applications that can help your business grow successfully. You can complete your project on time, save costs, and gain the proper support from a team of professional and experienced developers.