5 Advantages of Outsourcing to Scale Your Small Business


This blog is contributed by Digitalexits.com

When running a small business, growth is the dream. Everyone wants their small operation to expand into something larger. And it’s not always about the financial rewards of growth; the personal satisfaction that comes from turning your tiny idea into something bigger is pretty hard to beat.

However, getting to that point is much easier said than done. The competition out there is fierce, and it can be hard to rise to the top of your niche. Well-planned and well-executed marketing, as well as strong branding, are key. But there are other things you can do to help you bust out and grow to new heights.

There are many advantages to outsourcing. Outsourcing helps free up time and resources, and it makes it easier for you to focus on growing your business. Not every task should be outsourced, but there are likely a few areas where you could seek outside help. And doing so can have powerful effects on the growth of your business.

Here are five key benefits of outsourcing to help grow your small business:

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Focus on Core Business Priorities

Have you ever felt like there just isn’t enough time? Between working out your marketing strategy, checking in with product development, consulting customer service and making sure payroll and accounting are in order, a day can whiz by without you ever having the chance to really sink your teeth into some of the bigger challenges facing company growth.

There are two ways you could address this: 1) bring in more help, or 2) outsource. Expanding your staff is enticing, but it’s not always the best option. Not only is this more expensive, but it’s often not as effective; adding to your staff means expanding your management duties, which doesn’t necessarily help you save time.

When you outsource, these tasks simply get done without you having to worry about them. You’ll get condensed daily or weekly updates that keep you apprised of the situation, but besides this, you can push this stuff to the back of your mind and focus your time and energy on figuring out how you’ll grow your business.

Keep Culture Intact

Culture is a major advantage for a lot of small businesses. And smaller groups make it easier to manage. Furthermore, culture is often more authentic when there are less people; those working for the company really believe in its mission, and this will show through in how people conduct themselves.

However, as you add more people, culture will begin to erode. It will require a large, orchestrated effort to preserve it as you grow. So, if you don’t want to get involved with this, then outsourcing can be a good option. By sending work outside, you can keep your core team intact. This helps maintain the competitive advantage your culture has given you, and this will encourage growth and expansion.

Save Some Money

Resources are always tight in small businesses. Deciding where to allocate resources is often one of the biggest challenges you will face, and if you don’t allocate enough to the right places, growth stagnates. Outsourcing can’t on its own create growth, but if you can find cheaper solutions for things such as human resources, IT or customer service, then this can free up money that you can use to promote growth.

It’s important, however, to do a thorough cost-benefit analysis. Just because you outsource, it doesn’t mean you’ll automatically save money. Find out what you’re true savings will be, and then have a plan for this extra cash so that you can put it to use helping your business grow.

Leave it to the Experts

Let’s face it. There are just some things we cannot do. As human beings, we have limits, and while it’s often hard for small business owners to accept they can’t control everything, eventually they have to.

For example, web design is a time-consuming activity. And to do it correctly, in a way that will truly enhance the business, you need to have lots of skills and experience. Hiring people full-time who have these skills is not always cost-effective, making it a far better choice to just outsource to a firm that specializes in this. Marketing is another area where this makes sense.

Doing this often puts you in the best position for growth. Instead of producing mediocre content, or designing an average website, you can get something that is truly of professional quality, and this will help you stand out to both existing and potential customers.

Enhance Customer Experience

One of the big advantages small companies have over larger competitors is the ability to offer better customer service. The personal touch small businesses have is a much-desired trait, and it’s one of the main reasons people choose to do business with smaller companies, even when faced with better prices or offers from competitors.

As you grow, you’ll need to offer this same experience to people, otherwise you’ll just become another one of those big companies who doesn’t care. But meaningfully expanding your customer service operation can be very expensive, as it usually means bringing in more people, or asking people to work longer hours (24/7 customer support is becoming the norm).

There are firms out there who will take over your customer service operation, allowing you to offer stellar support without having to inflate the size of your organization. This will unlock resources so that you can keep investing in the continued growth of the company.

Consider Outsourcing Today

Outsourcing is a powerful way of helping you grow your company. It allows you to get industry-leading help in key areas, and it’s also a great way to keep expenses down and your focus on growth. If you haven’t already, consider outsourcing some aspects of your business today.

Additional Small Business Outsourcing Links

About the author: Jock Purtle is a successful entrepreneur who has built and owned three companies throughout his career. He is currently the owner of Digitalexits.com and advises business owners on growth, business valuation and exit strategy.

Photo Credit: Pixabay


INFOGRAPHIC: The Benefits of Outsourcing

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