10 Benefits of offshore development in 2023

It’s not easy to launch a successful tech business with ever-increasing prices, rapidly evolving software trends, and fierce rivalry. So you shouldn’t be surprised when we tell you that a growing number of startups and established businesses are turning to reap the benefits of offshore development.

Recently, the Manpower Group released a research study indicating a worldwide record-low 16-year shortage of talent throughout the world, particularly in the IT and data sectors. Since qualified people to fill IT, data, and software positions are in short supply, businesses must expand their talent search beyond their geographical boundaries. 

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All of this explains why the offshore software development industry was worth more than $122K million by the end of 2021. And guess what? Experts only expect the projected figure to go beyond $283K million by 2030.

Global offshore software development market

Leading tech giants, such as Alibaba and Google, rely on the offshore model. And let us tell you, not considering the benefits of hiring offshore talent will be a mistake if you’re also thinking to hire specialists for an in-house software development team. 

In this article, we’ll discuss the top 10 advantages of offshore software development to help you decide if offshoring is the right choice for you. But before we do that, let’s clarify what offshore software development encompasses.

What Is Offshore Software Development?

What Is Offshore Software Development

The term “offshoring” refers to the practice of outsourcing software development to a third-party service provider in a foreign country. Offshore refers to the geographical gap between the developers and their clients, usually in different time zones. 

Offshore software development companies often employ highly skilled experts that have the necessary technical knowledge to complete complex software development tasks. They allow businesses to save money and time by leveraging top talent from around the world, which may consist of:

  • Business systems analysts, 
  • quality assurance (QA) testers, 
  • user interface and user experience designers, 
  • software developers,
  • delivery manager, and 
  • marketing professionals.

Alright, by now, you should understand what offshore software development is. If you’re in need of developing a digital solution for your business, offshore software development could be a better bet when compared to an in-house development team. To help you understand why, here’s a list of the top 10 offshore development center benefits.

Top 10 Benefits Of Offshore Software Development 

10 Benefits Of Offshore Software Development

1. Cost and Time Efficient

One of the main advantages of offshore software development is its cost efficiency. The offshore development process has considerably lower operating and overhead expenses in addition to huge savings on employee wages without compromising competency. This is due to the fact that the cost of living of developers in countries like India is much lower compared to the developed Western countries. 

Now, if you’ve known us for a while, you know that we treat time as money too. And for something to be truly cost-efficient, it has to be time efficient as well. Surprisingly, time efficiency is another one of the biggest advantages of offshore software development.

When hiring from offshores, staffing often happens in different time zones. While this might be seen as a drawback by some, for others, it could mean quicker product delivery. With partners collaborating in different timezones, there’s a continuity of operations when both local and remote employment hours converge to some extent.

2. Better Quality

Since it’s cheaper and faster, the catch must be lower quality, right? Wrong! In fact, cost reduction and time efficiency contribute to refined quality. Now you’ll have more resources to test and modify your minimal viable product (MVP). 

Additionally, there’s great competition in the offshoring industry, thus the best offshore development companies set themselves apart by putting an emphasis on timely and high-quality output. Therefore, you won’t be the only one concerned with the projects’ outcomes.

3. Access to better skillset

We mentioned the shortage of talent earlier. But if you strike a contract with an offshore development company, you could tap into a reservoir of the most qualified developers from all around the globe. 

The best offshore development companies can cherry-pick team members who are ideal for your project in a fraction of the time. How? When you hire a seasoned offshore development team, a fully functional solution development crew is available right away. It’s already a team of vetted professionals who have passed technical screening and coding examinations.

4. Improved customer satisfaction

You may more dependably meet the needs of your clientele with the assistance of offshore software development

When you and your offshore development team are in completely different time zones, you can take advantage of the lull in the action to better serve your clientele. The offshore development team, for instance, might be able to provide technical help even while your office is closed. So, your customers won’t have to wait around for hours before someone gets back to them.

5. Mitigate Risks

Working with an offshore software development firm provides your organisation with access to cutting-edge innovations and safe deployment strategies. A competitive offshore software development team will make every effort to eliminate or reduce any project-related risks, problems, and hazards. It will assist you in providing superior output. 

Additionally, working with a reliable offshore software development firm may help you reduce risks like non-compliance. Why? Because the best offshore development companies have often worked with various businesses in different industries. They’re stringent about maintaining compliance as they believe in providing high-quality output and even understand mistakes can risk their contracts.

We suggest that you too should carefully familiarise yourself with all the compliance clauses and clearly lay them before your offshoring partner to ensure minimal risks.

6. Financial incentives

Foreign investments are highly sought after by many nations as a means of growing their financial systems. The government in nations like India and the Philippines provide tax breaks, monetary incentives, and, most crucially, relaxed business rules in an effort to attract investors from abroad. 

As a result of this strategy, a number of international businesses reap the benefits of hiring offshore talent and investing in citizens of India and the Philippines. This way, the economies of both– the offshore location and the investment country, benefit.

7. Convenient scalability

Any company’s growth process involves shifts in scaling its resource deployments. At some points in the project’s development, a large team of IT experts is required. However, at some different point, your project may need a smaller development crew. But you’ll still incur the expenses while expanding or contracting the workload if you have an in-house team. 

If you have an offshore development team, you won’t have to worry about that. How? After forming a relationship, you’ll have full access to their in-house R&D staff. Despite that, the development team will now fall under the purview of the offshore corporation. In other words, you may increase your staffing levels or decrease your resource levels as needed.

8. Reliable infrastructure

By rapidly adopting superior telecommunications and internet infrastructure, offshoring countries, like India, have blown past many other countries across the world. As a consequence, they house top-notch data centres, a plethora of fast internet service providers, and an abundance of enterprise-level technology. 

Therefore, when you offshore software development to a company in India or such a nation, you can take advantage of these favourable developments.

9. Easy kick-off

It normally takes about a good few weeks, if not months, to find one suitable candidate for your development team. So think how much time it will take to hire a whole team. Additionally, you’ll have to account for the training period before the project can be kicked off! Hire offshore software development services to avoid the lag in initiating the project. 

Best offshore development companies have the right talent ready, and they often assign a group of expert developers to work exclusively on your project. Once you define your requirements, they will take care of everything from there right away. Therefore it will be the smoothest and easiest kick-off to the project that cannot be matched by other means with such low efforts.

10. Put more time into Core Business

Getting to the last point on our list, when you collaborate with an offshore software development firm, you spare your own in-house resources. This means you and your team may devote more time and attention to other crucial areas of your business.

By delegating software development to an offshore development company, you ensure saving your time and resources trying to understand the intricacies of software development. This is especially helpful if your company is not a tech business. Instead of delving into code or learning new IT capabilities, your focus can be marketing, promotions, publicity, and launch preparation.

By now, you understand how your business can benefit from choosing the right offshore development company. But you only get all these benefits if you hire one of the best offshore development companies. How can you do that? Keep reading!

How To Choose The Right Offshore Development Company

What to Look For When Choosing Offshore Development Company

We don’t mean to scare you, but a mistake in choosing the right team can cost you much more time and money than needed. To help you make the right decision with choosing the right offshore software development services, we’ve made a list of things to consider:


Many companies hesitate to contract out software development due to communication concerns when launching a new project. For this reason, communication skills is one of the most important factors and we’re mentioning it first! If both you and the offshore development team are unable to effectively communicate about the project’s needs and timeline, you risk damaging:

  • your relationship and 
  • the quality of the solution. 

Make sure your offshore software development partner is able to make themselves available to prevent communication difficulties and worries in real-time. Find a collaborator who can operate as your one and only point of contact to cut down on confusion and wasted time. When attempting to bridge linguistic and cultural gaps, it’s important to mind the time difference too.

Experience and Reviews

Choose a partner in offshore software development with a good reputation and proven track record. You can check the following credentials of any offshore software development services on a number of platforms:

  • their reviews, 
  • rankings, 
  • domain experience, 
  • and more. 

You can even learn more about the inner workings of an offshore software development business by visiting its business page on LinkedIn or seeking a clutch profile for verification. OR directly ask them for the following:

  • a demo, 
  • some references, 
  • case studies, 
  • or examples of comparable work.

Technological Expertise

Let us admit the reality- one programmer will never be an expert in every available coding technique. However, it’s a must that you have someone fluent in the programming language you want to employ on the project. Therefore, working with a reputed software development business provides access to a wide variety of expertise in different technologies. It increases the likelihood that a particular programming language can be supported.

Pick an offshore development company with capable people who can oversee many cycles of release. They must have experience with all stages of the software development life cycle, including:

  • ideation, 
  • design, 
  • documentation, 
  • and updates.

Management Capabilities

Even if your business has a brilliant plan, it might fail due to poor implementation. Do not join forces with an offshore development company that is just winging it. Solid management within the offshore development team is required considering the distance and time zone differences that would be involved.

Give offshore software development companies a chance to shed light on their track record of producing successful offshore teams. Direct more questions about what makes their management competence strong and dependable. 

Value for Money

A crucial consideration in deciding whether or not to outsource software development should be the availability of the best-skilled people at the lowest possible cost. You need to ensure that the costs deliver value. It’s possible that Business X charges half the Business Y, but Business Y generates four times the revenue. Case study findings may serve as an accurate indicator of quality and value for money.

Ask about pricing, deadlines, and the policy for handling unexpected expenses. Is it a set amount, or may it change? A reliable offshore development company will be able to answer all these questions. 

Process and timeline

Businesses need to be familiar with the process of their offshore software development project. Every agency will have its own unique offshore development process. Having a strong level of comprehension will make it simpler for you to strike a good balance between time, budget, and complexity of the project.

When a company hires an offshore specialised development team, two parties must agree on a process. So choose a team that is clear on their offshore development process and timeline to carry it out.

Ability to Cater to Your Needs

Your offshore software development partner should thoroughly understand your company’s requirements. Best offshore development companies gain their reputation by:

  • making sound financial judgments, 
  • avoiding unnecessary debt, 
  • and meeting deadlines.

Determine whether or not your prospective service providers are adaptable and flexible in their approach. Since outsourcing software development contracts might last for years, the selected offshore development team needs to be adaptable enough to consider your company’s current and future demands.

How Anglara Can Help With This

Finding a reliable offshore software development partner might be challenging, but it’s absolutely essential for success. As your partner, Anglara will hold your hand throughout the journey of building a customised digital solution for your business. 

Experts at Anglara have a proven track record of over 7 years of serving businesses in a wide variety of industries. We value our clients and our relationships, so we ensure to tailor our digital offerings according to your needs and the anticipated needs of your users. If you tell us what you want to accomplish in the digital realm, our team of engineers and designers will do all in their power to make it happen. 

Let’s discuss the specifics of your project over a free consultation. We’d be more than happy to address any questions or concerns you may have. To arrange a virtual appointment, please fill out the form and we will contact you shortly.