Many businesses are on the hunt to retain freelancers for various job roles. High-tech companies are hiring more freelancers, and paying out higher wages to freelancers, than other types of companies. Startups at the early stage can take advantage of the pool of on-demand app developers, web developers, data scientists, and more to complete projects to grow their businesses.
Our survey showed that almost half of UK businesses increased their use of freelancers in 2020 – and six out of ten business owners plan to use more freelancers in 2021. The most popular reason for using freelancers was to introduce skills the business didn’t have in-house (67%). A total of 42% said they took advantage of flexible talent to speed up projects, while only around a third (35%) said the reason they had used freelancers was to save money.
Tech companies know that the most productive way to grow their business is to acknowledge the need of outsourcing when there is the case. Knowing the right time might even save your business. Freelancers offer true value, speed, and flexibility to organisations they assist.
Here are three reasons why tech companies should consider freelancers:
1. You can focus more on your core business areas
Owning and running a business are two different things.
Act like an owner. It’s good to do things by yourself, but only up to a certain limit.
Administrative and technical functions of a business such as graphic design, admin, data entry, app development, and managing the website entail a lot of time and effort. Instead of managing too many processes at once, focus on achieving core competency in specific areas, and set your sights on growth.
Outsourcing the technical and support activities will save you a lot of time and help you focus on your key business processes. When a business outsources, it becomes more adaptable and can take on new opportunities faster than competitors who still do everything in-house. Focusing more on the core business means better scope for new opportunities, especially short-term projects.
2. Outsourcing pros: save money for the future
Cost-cutting is one of the major reasons why tech businesses should consider outsourcing.
In fact, 59% of businesses who outsource consider it as a cost-cutting tool. Outsourcing allows you to avoid large-scale investments and convert fixed costs into variable costs, thereby controlling capital costs. It also saves HR costs, since you can focus on hiring human resources that you need the most.
Hiring strong resources for certain business processes allows you to take up new projects and deliver faster, thereby improving the overall sales and business growth.
Outsourcing gives your business much more flexibility in managing costs and investments. Instead of hiring full-time in-house resources for tasks such as graphic design and content writing, you can hire freelancers at lesser costs.
Hiring freelancers will also benefit you from investing in the employees’ office equipment and space, medical benefits and other employee policies.
3. Outsourcing improves speed and productivity
Outsourcing unimportant tasks can save you a lot of time and allow your resources to focus more on the important tasks.
For tech businesses to flourish in a competitive world, you need to be flexible and adapt at speed. Outsourcing gives business owners the ability to flex the size of their business up and down according to the demands that are needed in that moment.
Xenios Thrasyvoulou is CEO at People Per Hour.