Outsourcing part of your work to freelancers & specialists can be an effective way to grow your business.
Outsourcing lets you flexibly manage your workload, without committing to all the responsibilities that taking on a full time employee would entail.
And while there are plenty of great freelancers out there, it’s also fair to say some are not-so-great & come with a few hidden costs that more than make up for their cheap prices.
Here are a few things to consider when outsourcing. Plus, the key takeaways our expert bookkeeping team have observed after decades of helping Aussie small businesses.
Overcoming The Language Barrier takes Time
The first hidden cost is no doubt obvious: a language barrier.
If you are outsourcing portions of your work to different countries, then this barrier may prove cumberstone and inhibiting.
In fact, even if you’re outsourcing to another Western country that speaks English, certain phrases and terms may have different – but important – meanings.
The cost here is time: depending on the severity of language difference, you may have to repeat your instructions several times. Worse, the finished project may be different than you anticipated.
Overall, a language barrier creates a more tedious process at best and at worst it could result in hefty delays.
If you are going to outsource your work then make sure you pick a freelancer with passable English. Or, assign them tasks that do not require complex instructions.
You’ll Have to Onboard & Train…Every Time
If you are outsourcing a portion of your work that requires your freelancer to work with members of your team, then you’re essentially hiring someone for the first time.
Again…and again…and again…
Each new project will require your freelancer to be brought up to speed: a process much slower than if an existing team member were in charge of it.
This will need to happen every time you outsource your work.
Freelancers will also need to be trained on your company values, do’s-and-don’ts, and what part they will need to play with the rest of your team.
On the flip-side of this is finding the right freelancer to fit into your business. When you do, they can feel like a true full time employee and part of the team – just way more flexible with their hours.
Every Business Owners Worst Nightmare: Left High & Dry
Unfortunately, when it comes to outsourced work there is not the same standard of workplace commitment.
That’s not to say all freelancers are working on shaky ground – many are well worth their price.
But the fact of the matter is, a freelancer – partially an offshore one – could decide at any given moment to cease working with you.
Sure, they won’t get their payday. But the real damage is caused to your business, as you’re expecting a project or important tasks to be completed at a set time.
This can then come back on you if clients are expecting a time-sensitive turnaround.
The best way to avoid a crisis like this is to first build a relationship with your chosen freelancer through incremental projects.
There are plenty of trustworthy freelancers to outsource your work to – you just need to be patient when searching.
You’ll Have To Determine your Own Social Proof
Proof of work in the freelance world can sometimes be subjective.
Whereas when you hire a full time employee, you can check their references and previous employers.
However, if you’re using a freelancer job board – like Upwork or Fiverr – you really only have their word on their previous experience.
These days, it’s very easy to glamourise a freelance profile and create some not-so-genuine case studies and referrals.
Of course, there are plenty of highly-rated freelancers who go above and beyond for their clients. Your best bet is to focus on specialists who go the extra mile to showcase transparency in their portfolio: named customers, video testimonials and word-of-mouth referrals.
The Hidden Power Of Outsourcing Exists, Too
Now, we’re not saying outsourcing your work is bad by any means. What we’ve found in our experience though, is that it provides it’s own unique set of challenges for business owners to consider.
Outsourcing can absolutely be helpful: in fact, one of the fastest ways businesses grow is by outsourcing their bookkeeping to a registered accountant!
Here at The A Firm, we have over one hundred and fifty years of combined experience in helping business owners grow their revenue channels. So, book in a free meet and greet with us today!