Outsourcing: Driving Startup Growth & Innovation

February 16, 2024

Startup Challenges

  • Limited budget / funding: 68% of UK startups find raising capital to be challenging - SVB UK Startup Outlook 2017
  • Hiring Talent:  90% of US startups struggle with finding talent -  SVB US Startup Outlook 2017
  • Time to market: Startups race against tight deadlines to release their product/service
  • Product-market fit: Startups need to identify the right product-market fit
  • Getting traction: Acquiring and retaining users remain one of the biggest challenges

Why Companies Outsource

  • Cost reduction: 64%
  • Focus on core business:  57%
  • Improvement of service quality 47%
  • Access to resources: 45%
  • Business transformation: 38%

Source: 2015-2016 European IT Outsourcing Study by Whitelane Research

How IT Outsourcing Helps

What Cloud Employee Does for Startup Clients

  • 2 - 4 weeks: Average time to hire
  • £ 75,000: Average Annual Savings
  • 3 days - 1 week: Fastest time to hire on record
  • 2 - 3x: Enable faster product release
  • 65% or more: Savings versus hiring locally
  • 5x: Productivity Boost

Successful Startups Built with Outsourcing

  • Slack
  • GitHub
  • Staff.com
  • SeatGeek
  • Skype
  • MySQL
  • UpWork
  • Gliffy
  • Alibaba
  • Basecamp
  • Fab.com
  • AlertBoot
  • Appsumo
  • Whatsapp
  • Klout
  • Splunk

Source: https://www.entrepreneur.com/article/247462