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How offshoring can afford you cool toys at the office.

As businesses are looking for more opportunities for growth, the internet has paved the way for offshoring arrangements to rise. If you are not familiar, offshoring simply means the relocation of a part of your business—such as your information technology, accounting, or marketing—to a subsidiary or an independent provider in a different country. Are you interested in offshoring part of your business? If you are still on the fence, I’ve got you covered. Here are the top 5 benefits of offshoring you need to know.

1. Greater Degree of Control

This is one of the main concerns of companies that are still indecisive on offshoring and for a good reason. High level of quality will always be the forefront of a successful company. You want to ensure that your standards of quality stay the same when you move part of your business offshore. With offshoring, you actually don’t need to sacrifice your standards of quality. As opposed to outsourcing, you are still responsible for the growth and development of your teams offshore. You are still hands-on in giving your teams direction with the assurance that you and your employees are working towards the growth of your company as a whole.

2. Lower Expenses

The most attractive benefit of offshoring would be the lower cost of labor. In developing countries such as the Philippines, salaries and wages are lower compared to what you pay for similar jobs in your home country. But there are actually more savings beyond salary expenses. Offshoring in developing countries will also lower your operations cost. Utilities such as electricity, water, and internet connection, as well as rent and equipment, may have reduced costs.

3. Tax Benefits

In developing countries, many governments give tax benefits to incentivize foreign companies to set-up a business in their countries. These are usually in the form of tax reductions and duty waivers. A lot of governments, such as the Philippines, also provide support for their offshoring industry. This makes it appealing not only for companies but also for potential employees.

4. Global Talent Pool

With offshoring, you are not limited by the pool of candidates that you can get in your home country. You will have access to other talented and motivated employees with the right skillset. English-speaking developing countries already have a university-educated talent pool that you can tap to complement your existing team. In fact, these emerging economies have a positive view of offshoring, with positions in global companies highly-sought after as middle-class jobs. The ability to tap into a wider talent pool gives rise to a lot of opportunities that give you a global competitive edge.

5. Greater Workforce Availability

You may be put off by the difference in time zones, especially for countries that are quite far from your location. But this shouldn’t be a hurdle. In fact, this is an opportunity for you to create a workforce that is available 24/7. This allows you to give better customer support to your clients, even helping you expand to a wider market.

BONUS: That Beverage Machine You’ve Always Wanted


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