Outsourcing isn't just for large companies. Many small businesses may also find that outsourcing can help cut costs and alleviate workloads for their full-time employees. But despite its benefits, outsourcing can be a difficult idea for small-business owners to get behind, as it means giving up some control.
Is outsourcing the right move for your small business? Check out these three reasons you may want to consider outsourcing for your growing company.
1. It can be cost-effective.
Hiring contractors can be more affordable than hiring full-time employees. However, be sure to think beyond your company’s budget when considering outsourcing. Human resources or financial management tasks can be delegated to outsourced workers, but positions that require in-depth knowledge of the company may not be suited for contractors.
2. It can help your business be more focused and productive.
Small-business owners and employees often have to wear several hats. This can lead to errors and wasted time. By outsourcing a particular task to a contracted worker, you know they are only focusing on that job and have the expertise to complete it.
Before hiring, be sure you're properly vetting contractors. Dig deep into applicant’s qualifications, and test their knowledge and technical skills.
3. It may eliminate biased opinions.
For many growing businesses, creating a unique and engaging company culture is important. Many small-business owners want their workplace to have high levels of communication. But when it comes to making financial decisions, office politics and personal opinions can cloud judgment. Hiring outsourced workers can be a great fix for this problem. Having an outsider in charge of “doing the books” can help ensure that you have an unbiased person handling finances.
When considering the idea of outsourcing, remember that it's not “all or nothing.” HR or financial management are tasks that may easily be outsourced, but some decisions may require more understanding of your company and business model. Be sure that you're not delegating critical decisions to contractors. The goal of outsourcing should be to free up your time to focus on money-generating activities, without putting your business at risk.