So we all know about Offshore software development teams, they can be found abroad, usually foreign countries on the other side of the world.

Current technology enable collaboration of teams, everyone works remotely now so it is easier to outsource skills and engineers to help you build your product or service faster, at lesser cost than building a tech team locally.

Mexico, Colombia, Argentina, Chile all have cities with technology hubs where your company can find the right skills and engineering techniques for your project.

Many companies and startups find that outsourcing software development offers more benefits than hiring developers in-house or locally, mainly because today’s most demanded skills are related to computer sciences and there are certain IT skills that are hard to find, so the costs rise up, and there are no guarantees.

When researching a place to outsource, there are basically four types of IT outsourcing to consider: locally, onshore, nearshore or offshore?

So, which is the best option for outsourcing tech teams for your business?

Hiring locally, Onshore, Nearshore, etc?

There are pros and cons to all of them. So it’s important to define what are the main differences between them. To determine which options of IT outsourcing is the best for your company.

• Onshore or nearshore means that outsourcing software development is located in the same countryor region and have similar and compatible timezones.
• Offshore indicates that the company you hired is in another country with a different time zone, maybe 12 hours.
• Hiring locally can be expensive, and some skills required are hard to find.

The awesome about today’s technology is that. There is no need for an in-house team. Instead, you can find the right partner to help you build and scale a tech team, both onshore or nearshore, outsource in a neighborhood country.

Onshore Tech Teams

Onshore is often known as local outsourcing. In this option of software development service, a company has the opportunity to focus on its core business capabilities.

While quality is ensured, the required work is still done in a connected manner, with regular or daily meetings.

Your dedicated team will speak the same language. Onshore and nearshore outsourcing offers some benefits:

• No language barriers or many cultural similarities.
• Timezones are the same, or have many compatible 9 am to 5 pm labor hours.
• Constant communication, daily meetings and same day responses.
• An onshore development team is easy to nail and scale.
• Less expensive labor than locally

Nearshore Tech Teams

Nearshore software development is consider to be between onshore and offshore.

Nearshoring is when the team is located close to your company headquarters, perhaps in a neighbor country (Canada or Mexico)

Nearshore outsourcing has similar benefits to onshore and is far better option than what offshore can offer.

Weather you choose a nearshore or onshore partner company to build your tech team, the pool of talent is exponentially larger and labor costs can be reduced.

In addition, there are other advantages for nearshore tech teams:

• Time zone are mostly the same or lightly different.
• Many Latam countries share cultural or lenguaje similairies.
• Being more able to travel, if you really need to.

Most of the time. it would probably be a little higher cost than offshoring your tech team, but it is many times less riskier and more likely to success when you hire a manage tech team in a neighbor country like Mexico.

Onshore Tech Team: What you need to know?

Onshore tech teams are located in Mexico, in cities with the top talent coming from best Universities in the country.

An Onshore tech team can maximize a successful business with quality, engineering and technology at a lower cost.

From Onshoring a Tech Team, both parties benefit from the partnership.

Advantages of Onshoring a Tech Team

Some potential benefits of an offshore software development team:

• The project accesses a larger pool of talent
• Hiring a top talent for you team at lower costs
• Dedicated Tech teams can handle your technology services
• If you find the right partner to build your Tech Team for your company, they can assure to deliver and meet deadlines

Disadvantages of Onshore a Tech Team

There are some risks if you outsource your technology. While planning to hire a dedicated team, you need to consider the following:

• Watch for similar time-zone , the less difference the better.
• Transfering too much critical activity too fast.
• Analyize the working culture of the neighbor country
• Find partners that is located in a 3 to 4 hour flight to visit the production team, even that now almost everyone works remotely from homeoffice.
• See for cultural values like accountability, hierarchy, scheduling, responsibility.

Talk to us to evaluate our company skills to help your business build a successful technology core competency.

As a leading software development in United States and Mexico, we have huge experiences in many fields including e-commerce, marketplace platform, fintech, payments, banking, retail and many more.

You can contact us at support@towasoftware.com or via +1 (210) 787 4525 for more information.

Don’t hesitate to contact us.