Reason Why Companies Outsource Software Development to Latam

Putting together the right developer team can be a lot of work in itself. Managing a developer team, paying for the team, and managing multiple deadlines become even more work for your company once you've assembled the team.

All the labor that goes into building a team is why many companies turn to outsourced software development.

In recent times, many companies have turned to nearshore outsourcing to Latin American countries. Check out why they are doing so and how your company can benefit from working with LatAm outsourced software development teams.

No Need for Training

Hiring more HR managers and establishing a training program is a must for developing and retaining your developer team. But training is also time-consuming and costly. So what if you could cut back on HR while avoiding training altogether?

Getting the best talent for software development often means aggressive recruiting. And with fewer people in the United States studying in the STEM field, you'll need to fight hard in an American talent pool.

Recruiting fees can average $20,283 per new employee. And once you get the software engineers you want, you now have to pay them a full salary plus benefits. And now it's time to train them before they can really help your company.

But by using nearshore outsource software development to Latin America, you can avoid all these demands on your budget and time.

For example, Colombia's IT industry is vast. They know how to train employees, and you can tap into this trained outsourcing company workforce that's available!

Focus on finding the best software development company for your business, and you can say goodbye to wasting more resources on training.

Avoid Worrying about Employee Retention

While we're on the topic of the price of hiring and training employees, let's talk about employee retention.

The IT industry suffers from one of the largest turnover rates in the United States. If you handle employee retention yourself and take on these costs, you could be looking at thousands of dollars in lost revenue every year.

Various fees contribute to employee turnover rate's losses. It includes the costs of recruiting, hiring, and training that go to waste each time an employee leaves your payroll.

But by outsourcing to Latin America, you can avoid these costs altogether. The software development services will handle employee retention. So on your end, you will hardly notice outsourced teams' turnover rate.

With software developers in Latin America, you get the consistency of working with well-trained employees without the headache of employee retention rates.

Similar Time-Zones

One common complaint of software development outsourcing is their time zone difference.

When you work with teams in Asia or Eastern Europe, they could be 6-16 hours ahead of you. They may always be sleeping while you're working.

By outsourcing software development to Latin America, you can enjoy working in the same time zone as your outsourced teams.

For example, outsourced software development teams in Colombia and other Latin American countries are on Central time, depending on daylight savings.

Even in the east of Latin America, the time zone is very similar to the United States. Uruguay has a booming IT industry and is only one hour ahead of Eastern Standard Time. Far easier to work with an outsourcing company in a similar time zone than those in vastly different time zones in Asia or Eastern Europe.

Plus, with platforms like Stack Overflow, your remote IT team and in-house project management team can collaborate efficiently while operating on similar schedules.

Excellent Talent Pool

In the United States, the number of young people interested in the STEM field is falling. That means the talent pool in the United States is decreasing every year. In conjunction with the high turnover rate retention that we mentioned, this can spell disaster for a United States company.

But go further south, and you're going to find a surplus of software engineers! This talent pool gap between the United States is part of what makes working with an outsourcing company in Latin America both affordable and reliable.

Developed IT Infrastructure

Latin America is enjoying a growing IT industry. But they are not new to the industry and are well established.

In fact, many investors are turning to Latin American industries more now than ever. The tech industry continues to grow and grow. And with this infrastructure in place, outsource software development to Latin America has become a premier outsourcing destination.

Conclusion — Nearshore Outsourcing to Latin America

Outsourcing software development has been popular since the 1980s. But as people realize the benefits, there's been a boom of nearshore outsourcing to Latin American countries like Colombia, Uruguay, Costa Rica, and more. For business owners, it's a smart way to avoid many of the inconveniences of outsourcing while retaining the benefits.

Outsourced software development teams mean lower costs for your business. Software developers in Latin America are increasing every year while the talent pool in the United States shrinks. Eliminate wasted time and costs by relying on a software development company in Latin America you can trust.

Ready to get started? There's a software developer team in Latin America that's trained and ready to support your company's projects—contact us to find out more!