Should You Hire an In-House Developer or Outsource Overseas?

Should You Hire an In-House Developer or Outsource Overseas?

Development, whether it is mobile application or software, is the core of any business. Globally, numerous enterprises and businesses, including start-ups, are facing the rising pressure to grow their operations and compete to the next level. This has led to the drastic necessity for software development and innovative development solutions. And doing so requires smart technological solutions. The best way to approach this dilemma is to hire a developer. However, the development aspect can go two ways – in-house development and outsourcing development. Which one would you choose?

As a business owner, you are not the only one experiencing this dilemma, and we know that there is high pressure on you to make an informed decision.

Fortunately, we have designed this write-up, especially for you. We have compared in-house development and outsourcing development in detail with their benefits and disadvantages. Keep reading to get your issues sorted out.

What is in-house development?In-house development is leveraging company resources for implementing and developing apps or software according to the company-specific requirements. While it is a long process that involves posting jobs with description, taking interviews, conducting screening, and finally hiring suitable candidates that fit the job description, it can be beneficial for the future of your company. However, this approach requires investing time and money in assembling different roles and individuals that are involved in creating a solid foundation for developing good app and software.

Companies often consider that hiring in-house software and app developers will make the development process more controllable, faster, and cheaper. However, if you are considering hiring in-house developers for your company, you must look at the benefits and disadvantages of in-house development for ensuring finer resource utilization.


  • No worries about who owns your source code
  • You can cast for a quality app and web developers at affordable prices
  • You can save extra expenses by employing present resources
  • There are no boundaries regarding culture and diversity
  • In-house development brings transparency in operations during the software or app development process


  • There is always a risk of running additional costs because in the event if your developers get trapped mid-way, you will have to rope in external consultants
  • In-house development can be costlier if you want to get all the licenses and certificates for software, code, and tools
  • Starting expenses are incredibly high since you have to set up an entire development infrastructure
Why in-house development? 

In-house developers who work for you have bought into your notion and have high opportunity costs for working with you. The developers who are working for you full-time are investing their energy and time into your idea and have bestowed their interest in the outcome. They are certainly looking for long-term opportunities and less likely to bail for multiple reasons. If they think you and the company are a good fit for them, they are going to be the long term players.

On the other hand, the best part of having an in-house development team is that the developers know what’s going on with the project and can timely change the directions without any hassle. All it takes is a casual conversation with a developer to implement the necessary changes or modifications. Most importantly, developers sitting next to you know the challenges your business is facing in other areas like marketing and sales; thus, they can offer potential fixes and solutions.

Lastly, a developer who is working for you will have the same dream and vision to take along the business to new heights. Since they see you every day, chatting with you, you can easily influence them into thinking about your as well as their success. On the contrary, freelancers only care about securing as many clients as they can instead of worrying about your company.

What is outsourcing development? If you wish to save time and money from spending on the infrastructure, employees, and the hiring process, you can hand over the project to a software development company or even a freelancer who has years of experience. In simple terms, outsourcing is task allocation. Outsourcing development is an arrangement made by your business to hire a third-party app or software developer to perform the development-related tasks instead of doing it in-house.

With outsourcing, the initial cost and time savings come from not investing in infrastructure and not hiring employees. Outsourcing the development aspect of the business is done by businesses whose core competency is not Information and Technology. However, if your IT department’s hands are tied to other projects, you can consider outsourcing the development process to the best app development company with years of experience.


  • Best app and software developers get the job done quickly with their working experiences and superior resources
  • Fixed monthly salary and related expenses involve insignificant risk
  • You can easily find the experts by simply Googling “best app/software development firm.”
  • There is no time wasted on market formalities – only instant start of the development process
  • There is a fixed budget for a particular room


  • For outsourcing development services, the rates are determined on per hour basis
  • You have no control over the development process, so there is a possibility of drainage of intellectual capital
  • Small changes could take too much time or could be expensive to implement

Related Article – Mistakes to Avoid When Outsourcing Your App Development

Why outsourcing development? 
The biggest benefit of outsourcing development to web app development companies like Way2Smile is the cost, especially if you outsource overseas. The development cost is much cheaper there. You can use the cost savings to develop a more prominent and more feature-rich application. It is much less expensive than hiring a full-time developer. The freelancer will work as you pay, so the boundaries are clear.

Moreover, with outsourcing development, you can bring in an expert on a project basis so that he/she can instruct the freelancer about the project in a better way. There is only a short-term commitment to the expert. So as soon as the project is complete, the expert will be gone. Hiring a full team of developers is expensive than hiring an expert for the short-term.

Last but not least, developers work best in an isolated environment. Having an in-house team of developers could possibly distract them, especially is there isn’t a separate infrastructure for them. Office chit-chats, constant commute, gossips, etc. can distract a developer.

Related Article – Enhancing productivity through active Collaboration with Indian App Developers

What do you think? Which is better – outsourcing or in-house development? We are now sure that you have attained the necessary information regarding the topic. So, take your decisions wisely.

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