Essentially, outsourcing is a great business tool that enables business owners to pay as they go. Here’s a typical scenario of how it works: outsource your market research to a freelancer, if the outcome suits your expected result, then you can go ahead and contract the service of a manufacturer for a small portion of your production.
Don’t stop there — hire independent sales and marketing professionals and pay them just for the number of hours they worked and while your campaign lasts. Essentially, with outsourcing, you can pay as you go while expanding your business at your own pace rather than overstretch your financial capacity.
Explore and test your target market to see if there’s substantial demand. If your testing brings in desirable results, you should go ahead and employ more outsourcing service providers in exploring the new market and getting things done.
Outsourcing VS Full-Time Staffing
Paying as you go is a great way to save on full-time staffing. Even if you decide to have people working internally, you should make it as minimal as possible. We know that some business functions are so sensitive, especially the ones involving confidential info — as a result, you may not want to take such tasks outside of the confines of your office or business premises.
But, for the most part of your business tasks, learn to outsource to qualified independent contractors — this is exactly the tool that your competitors are using to outshine you. While you are busy paying out a huge sum on full-time staffing, smart competitors are spending very little on full-time staffing because they are outsourcing most of the tasks — from marketing to admin, legal, business process and just any task you can think of.
And, compared to their full-time counterparts, these independent contractors charge a highly reasonable fee and are dedicated to meeting deadlines without compromising quality. However, this will happen only when you carefully and rigorously hire qualified freelancers for the tasks in question.
Business Expansion Comes Faster When You Outsource
This is very true and has been proven over and again. The amount of money you will ultimately save by not renting and furnishing a big office, hiring full-time workers and incurring heavy overhead costs can be reinvested into growing your business.
This is why a good number of small business owners prefer to adopt outsourcing from the onset. This way, they are able to start saving on full-time staffing on time. Consequently, they start growing and expanding their business earlier and faster. They save even bigger if they opt for offshore outsourcing instead of on-shore outsourcing — the former saves really big.
Indeed, outsourcing allows you to pay as you go as a business owner.
Daven Michaels is a New York Times Best Selling Author and CEO of premiere global outsourcing company, 123Employee. The company employs hundreds of young bright individuals on three continents. His International event, Beyond Marketing Live! inspires entrepreneurs to build & grow their business with revolutionary new theories and systems allowing them to design the business and personal lifestyle of their dreams.