You are the owner of a small business. You want to cut back on cost, increase efficiency and use your employees for core business functions. You have read and heard a lot about outsourcing, but are not sure if outsourcing is for you. Is outsourcing only for the biggies? The answer is a definite “no”. Outsourcing has numerous benefits even for a small business. Here are five benefits that your small business can leverage by outsourcing:
1. Save money: As a small business owner, saving money is always a major concern. With outsourcing you can be sure to put away those dollars, as you can cut cost in the following areas:
- Less office space, as non-core work is outsourced
- Decrease in the number of full time employees
- Less capital required to complete your projects
2. Reduced risk: In order to be successful in your small business, you need to reduce risk. By reducing risks, you can gain from a decrease in insurance. Outsourcing can help you do that. As a small business, you can maintain a positive image among your customers by using the services of an outsourcing company who is more qualified to complete a certain business function than an in-house employee who is hired for that purpose.
3. Competitive expertise: You most likely got into business to do a particular task that you do very well. However, you can lose your focus, when it comes to managing all the other tasks required to successfully run a business. Availing professional assistance from a qualified external service provider is a great way to get on par and even compete with your larger counterparts. Also, you may come across projects that you can now accept with the professional expertise of an outsourcing service provider.
4. Complete more projects in less time: When your small business turns to outsourcing, you will be able to take on more projects and complete them within a short turnaround time. With outsourcing, comes the benefit of taking on more projects, as it takes lesser time to complete a project. Outsourcing also does not limit you to the skill sets available only within your company.
5. Better efficiency and focus on core business functions: Outsourcing can give you the freedom to concentrate on your core business functions (those which you enjoy doing and where the real money is made). When you outsource non-core business functions, you can be sure that everyone in your company is only working on your core business activities. Also, as any business consultant will tell you, it is not beneficial to pay someone $20 per hour for a non-core task, when you make $100 an hour working on your core business. With outsourcing, comes greater efficiency at a lower cost.
As a small business owner, do you feel that outsourcing can help you? Which of the above benefits, do you think is most advantageous for your business and why?
Share your thoughts, concerns and views with us, by leaving a comment in the box below. We love to hear from you!