Benefits of Nearshore Outsourcing for US-Based Companies

Companies based in the United States have a number of benefits that apply to them when they outsource IT projects and development to a nearshore company instead of offshore.

Here we take a closer look at the benefits of nearshore outsourcing for US-based companies.

Time Zone Compatibility

Offshore outsourcing potentially means working with a company on the other side of the world in a completely different time zone, which can have drawbacks when it comes to communication. A nearshore firm will have the same or similar time zones as the United States, immediately providing a major benefit to US-based companies.

Quicker Travel Times

The closer location of a nearshore company makes meeting up with them in person much quicker and faster. While a flight from the USA to Costa Rica takes a little over four and a half hours, a flight to somewhere like China takes nearly fifteen hours. These much shorter flight times and cheaper tickets all help make communication much easier than travelling on expensive long haul flights.

Lower Costs than Outsourcing in the US

If time zones and travel times are such a big issue, then why not just go with a US-based outsourcing company? The main reason here will be the significantly lower cost of a nearshore company, usually located in an area with a lower cost of living which means you can make good savings on your investment.

Smoother Integration Between Teams

A nearshore team will share many cultural similarities, speak the same language and recognize the same technical expertise. This helps a business integrate their employees with the hired IT specialists which increases both teams’ ability to collaborate and communicate. This is especially apparent when it comes to some eastern cultures being less inclined to offer alternative solutions (out of respect for your authority as the client) or to use their initiative without direct instruction.

Talent Availability

There are a lot of talented software engineers in the United States, with the market for their skills growing ever more competitive. This is what leads to outsourcing in the US to be so expensive, and yet similar talent is available at nearshore companies for significantly less. This is especially important for small to medium-sized businesses who do not have the same financial resources.

Better Communication and Trust

Latin American engineers speak fluent English (it is a core requirement in many Latin American schools) which ensures a nearshore team of IT specialists will communicate perfectly with a client company’s internal team. Subtleties in language won’t get lost in translation and the shared language will help the external and internal teams to bond and develop a good working relationship.

Higher Quality Infrastructure

The infrastructure in many Latin American countries is markedly superior to that of offshore companies. For example, Costa Rica has become something of a technological hub in recent years with a lot of Government investment in the sector.

Intellectual Property Laws

The intellectual property laws in Latin American countries are very similar to those in the US, so this affords extra protection to any company with a unique product or proprietary functionality. This is actually one of the worst aspects of outsourcing your projects to an offshore firm, as they will be located in countries that do not have intellectual property laws like the US, and thus there is always the risk of your product or idea being stolen.

If you are interested in finding out more about the benefits of nearshore outsourcing and speaking to a reliable and experienced nearshore company, please contact our team on +1 800 9747219 ext. 202 or info@outcoding.com. Alternatively, complete the form on our contact page here and a member of our team will help.

Contact us for further information!

Contact us for further information!