Achieving business growth is one of the most underrated achievements.
When you look at a thriving business, it’s easy to brush off the amount of work and sweat the owner has put in. This is until you realize that about 50 percent of businesses in the U.S. don’t live longer than a decade. This effectively means whether your business will succeed or fail is a toss of the coin: it could go either way.
As an entrepreneur, you have to take solid steps to ensure business growth. One of those steps is making use of outsourcing solutions.
Not sure whether outsourcing is the right thing to do? Keep reading to learn the various benefits you will reap from outsourcing.
Benefits of Outsourcing Solutions for Business Growth
1. Too Many Hats Ruin Your Style
Translation: taking on too many tasks can kill your business.
If you’re currently an army of one, it’s understandable. Most small businesses don’t have the money to hire people so the owner has no choice but to take on multiple tasks.
However, what’s not understandable is why such entrepreneurs continue holding on to multiple tasks even when the business has grown considerably big. Perhaps it’s a cost-saving measure, but at what cost?
A smart business owner knows when it’s time to delegate. If you’re handling your company’s finances, marketing, recruitment, and everything in between, it’s easy to lose focus.
Outsourcing solutions enable you to delegate, especially those tasks that you aren’t good at. For example, if you aren’t a marketing expert, why take on the function instead of concentrating on the things you’re good at?
2. Save Money to ensure the business growth
You’re probably wondering how outsourcing solutions will save you money. Aren’t you saving a lot more money by not paying anyone to do tasks that you can do?
Well, that’s a simplistic way of looking at the matter. To understand how outsourcing will save you money, you need to look at it in comparison to the other option, which is hiring in-house staff.
It’s simple. If you don’t want to outsource, the option is to build an in-house team. You can’t keep wearing those hats. You’ll quickly get overwhelmed the bigger the business gets.
You don’t have to be an experienced business owner to know that hiring employees is an expensive undertaking. There are direct and indirect costs. Examples of direct costs include wages and other compensation benefits. Indirect costs could include the time you spend interviewing potential candidates, and increased workplace insurance premiums to accommodate more people.
Even providing a bigger workspace for your increasing number of employees is an added cost.
Outsourcing doesn’t have any indirect costs. It only has one direct cost: the money you pay to the outsourcing partner for the service they’re offering you. In many instances, the cost of outsourcing a task, say marketing, is a fraction of the cost of assembling an in-house marketing team.
So, if you’re interested in ensuring your business saves the big bucks, it’s time to start outsourcing.
3. Improved Efficiency
You want to run an efficient ship.
Unfortunately, there are way too many moving parts in any business, which means business owners usually have a hard time increase the overall efficiency of the company.
Yes, hiring in-house specialists will help improve efficiency, but it’s not that easy. Plus, it takes more than employees to build an efficient workplace. You also need the right machines and equipment, IT infrastructure, and whatnot.
Outsourcing companies can help make your business more efficient.
You want to design and manufacture a new product. You don’t have a design team. Neither do you have a manufacturing facility? You could set up the plant from scratch or outsource design and manufacturing to companies that offer those services.
Which is easier?
Outsourcing is not only easier but can also make your business more efficient. If you choose a manufacturing partner with vast experience, you’ll have your products on time and within budget.
What’s more, there isn’t a shortage of outsourcing companies. If you’re looking for a product design service, for example, https://upstartworksus.com will be happy to take care of all your product development needs.
When it comes to manufacturing, you can outsource to a local or foreign company. It’s your choice, depending on your preferences.
4. Great Flexibility
Outsourcing affords you great flexibility.
If you’re wondering how, here’s an example.
As an employer, you have the ability to hire and fire, but sometimes firing isn’t that simple. There are instances when you can’t fire an employee even when you’d like to. If you do, you could expose your business to lawsuits and fines.
So, in a way, having employees reduces your flexibility. But when you outsource, you can terminate the service whenever you’d like, especially if you’re engaging on a month-to-month basis. Even if you were to enter into an agreement with an outsourcing partner, revoking the contract can be much easier than firing an employer when you don’t have a legitimate reason.
Enjoy the Benefits of Outsourcing Solutions
If you were on the fence about outsourcing solutions, we’ve demonstrated that they can help take your business to another level. In addition to enabling you to delegate tasks so you can focus on what you do best, outsourcing will save your business money, increase its efficiency, and give you great operational flexibility.
What are you waiting for? Start looking for outsourcing partners and remember to keeping checking out our blog for fresh small business tips to ensure business growth.