How does a fintech company keep on the peak of the wave in 2019? The answer is by outsourcing. It has already become the main hiring strategy for most industries, especially IT, and key fintech trends are not far behind.
The reason is simple: if you want to keep on top of the current and disrupt the industry with fresh ideas, you will need to think outside of the box and go global. Outsourcing provides the answer. It’s incredibly cost-efficient, it sets the ground for creativity, and opens new perspectives for experienced financial companies as well as startups. In-house development is yesterday compared to this, and is guaranteed to pull you down. In this article we will review the main reasons for outsourcing technology in financial industry, as well as the process and some tips.
What Are the Reasons to Outsource Technology?
Outsourcing is becoming increasingly common with fintech startups based on the most recent statistics. According to Fintech Times, there are three main reasons for businesses to outsource:
- lower overall cost;
- international opportunities;
- highest-level proficiency staff.
It is a no-brainer that it will be cheaper for you to outsource your entire business project than hire a department’s worth of in-house staff. Think about it: the average wage of an Eastern European software developer is about 4-5 times as low as that of an American. Countries further away from the west generally have lower wages, which means you will save up more. Additionally, you’re avoiding hidden costs: coffee breaks and hardware, rent, insurance and office furniture, not to mention sick leaves and paid holidays.
A Team of Professionals That Can Deliver the Best Solution for Your Business
In addition to saving recruitment time, hiring offshore or nearshore also helps you to avoid that trial and error period. It is hard enough to get an average worker, let alone gather top talent. Sure, this potential employee looks nice, but will they fit in with the staff? Are their skills advanced enough? Are they suitable for this project?
Outsourcing bypasses all these questions. You’re provided with a readily made, perfectly functioning team of high-level professionals that will have passed a thousand tests to get this job. Their manager will carefully pick the right people for your specific case to create the best possible fintech solutions.
Think Globally – Become International
It might not be obvious, but working with offshore professionals might be the second best thing happening to your financial technology company. You open up your business to a brand new world and introduce it to a completely different market. This broadens your target audience and gives you new exciting development opportunities. Such a change is a great chance to improve your international relations and make your firm known from the very beginning.
Process of Outsourcing Software Development
At first, outsourcing a dedicated team might seem a bit intimidating. After all, it’s a big deal – sharing your project with someone who you’ve never worked with before. However, there are a number of straightforward steps to follow to ensure you’re on the right way:
- Start by making a list. Everything always begins by writing out the best options, then weighing out their pros and cons, and then crossing out the least wanted ones. At this stage, a good idea would be looking for recommendations online or from someone you know to match the reviews with the prices;
- Check their reputation. See what average users and customers have to say about them on Google. You can even go on social media. Check their Twitter and LinkedIn to find out how well they interact with their audience;
- Learn about your cultural compatibility. For some people offshoring can be challenging when you’re trying to gain financial technology partners from abroad. It will probably be easier for a European client to get along with a Ukrainian software developer than with someone from East Asia simply due to the differences in mentality;
- Request to see their other projects. This will allow you to see a direct representation of their skill sets and the quality of their work;
- Set up a personal meeting. The best way to find out whether you match with someone is to meet in person or during a video call. This is also your final chance to decide whether this developer team is who you want to work with.
After you’ve started collaborating, your dedicated developer team will provide you with full control of the process and a range of tools to keep on the line with the project. You will choose the technology best suited for the job with their support and assistance, and walk through it together as it advances.
Choose the Best Partners with Financial Expertise and a Dedicated Team
Now that you know all the ins and outs of making the right choice when outsourcing for fintech, you can choose a good dedicated developer team for your company.
We are an experienced software development outsourcing company that has been on the market since 2006. We specialize in web and mobile development, as well as product design and development, R&D and consulting. Our aim is to create prime-class technology that will allow your business to reach the peak of its potential. Our financial experts assist us in building solutions for web- and mobile banking, trading and management platforms.
Outsourcing is on the rise in fintech for several reasons: it has proved to be more cost-efficient than in-house development, it has a greater scope of international opportunities and it brings together top talent in financial technology. For a superb outsourcing experience, you should start by doing extensive research and making sure your company of choice has good reputation and experience with other successful projects.
If you’re interested in getting help with developing your idea, contact GRAVUM today. We’d like to hear about your project!