Outsourcing it Vs. Team Building Which is Better for your startup or project? We know the hustle, wasted time, and the efforts. Let’s dig deep to get the best answer possible.

Shall I build my tech team, or shall I outsourcing it to a specialized tech company or bring a tech partner on board to help me implement my idea? As an entrepreneur, who wants to start your website or mobile app business solution, you start asking yourself which one of those scenarios will be the perfect fit for your startup.

To make the right decision, let’s first discuss the different types of startups that have a technical aspect in their solution and the available options you may have for your product’s implementation. There are many types and solutions, and I tried to answer some of the fundamental questions that every entrepreneur thinks about when building his startup and which category or type it falls into.

Type 1: 90% Business .. 10% Tech

If the tech aspect percentage is less significant than the portion of the administration, operations, marketing aspects, and other success factors, then it’s not necessary to start with web or mobile app solutions, and e-commerce startups are an excellent example.

Type 2: 60% Business .. 40% Tech

If the technical aspect in your startup plays an important role along with the other success factors, then it is important to have your tech solution ready from the start. However, it won’t be the main basis of your failure or success. What will make a difference in your ability to build your database of your suppliers and clients? And a perfect example of this type of business is an online taxi like Uber or cleaning and maintenance services.

Type 3: 100% Business .. 100% Tech

This type of business is a tech solution from the start where its lack leads to your startup’s failure, even if the other success factors of your business are working perfectly fine. For instance, the chatbot depends on artificial intelligence (AI) technology or social networking platforms.

After defining your business type, it’s time to decide whether the tech aspect is essential for your business in the time being. To solve this dilemma, you either have to hire a team or outsource the tech part to a specialized tech company.

So if your idea matches type 1, then there are technical solutions that provide this service, so don’t rush and build your tech team; instead, you can use cost, and time-efficient high-quality ready-made templates that can adjust to fit your product. 

Saving time and money will help you focus on other success factors; at this stage, you won’t need a tech partner initially, but his presence will be a must at a later stage. 

If it’s type 2, then you can depend either on a tech company or a team. Your choice will depend on the uniqueness of your product and your competitors in the market and use it in your favor, so instead of building a new database, you can save time and money by using an existing one and expand it.

Also, you have to check whether there was a previous MVP concept or not; if so, it’s time to build an iterated prototype based on your users’ feedback. Besides, if your startup gets an investment, then building a team is a must. You must have a continuous development process to keep going, or you keep developing your product’s features and keep trying until your customers are satisfied.

If you are still in the early stage, it’s better to seek a specialized tech company, and you have to mention in the contract an explicit clause that the agreement will end when you build your tech team.

Here, it is essential to have a tech co-founder or chief technology officer (CTO) follow up with the contracted company; also, you must have remote/ freelance testers to test the app and ensure it meets all the requirements.

The 3rd and last business type requires a co-founder/ CTO from the start. He will be responsible for the tech aspect, which is your primary asset, and will build a strong and talented team that can implement the necessary tech requirements. What are you waiting for! Please hurry up and assess your tech needs, and don’t forget to share your thoughts on the topic and your own story in the comments below.

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