Need a reliable software solution but don’t want the high costs of an in-house team? Offshore outsourcing might be your answer.

Offshore outsourcing is a business strategy that unlocks a world of tech talent. You can access skilled developers from global tech hubs and get your projects done faster, often at a lower cost.

Companies worldwide are turning to offshore partners not just for savings but for the knowledge and expertise of teams that can handle everything from software development to IT support.

Let’s dive deeper into all the aspects of offshore outsourcing: choosing the right team, key points to consider, and more.

What is Offshore Outsourcing?

Offshore outsourcing is a business strategy when a company hires a third-party service provider from another country, usually far away, to handle specific tasks or projects.

In the IT field, this often includes services like software development, quality assurance (QA), and technical support.

Offshore outsourcing is a strategic way to get expert help:

• Save on labor costs
• Speed up project delivery without compromising quality
• Get a team with relevant experience
• More below — you’ll find a detailed breakdown.

Why is Offshore Outsourcing a Common Strategy in the IT Field?

Offshore outsourcing has become a go-to strategy for the IT industry because it offers access to a broader talent pool that can speed up the process and deliver quality work from industry experts.

Reason 1:
Tech projects often need specific skills and flexible teams, which can be hard to find locally.

Solution:
Outsourcing allows businesses to quickly gather a skilled team, adjust its size as needed, and launch products faster.

Reason 2:
In-house teams don’t always have the right skills or enough capacity to complete tasks quickly, and they often cost much more than offshore teams.

Solution:
Lower labor costs in offshore regions help companies save money without sacrificing the quality of their software.

Offshoring vs. Outsourcing: What’s the Difference?

Though often used as if they mean the same thing, offshoring and outsourcing are different strategies in the IT field.

In short, outsourcing is about hiring external experts to get the job done, no matter where they are, while offshoring specifically refers to working with a remote partner from another country.

Let’s see the differences in detail:

Outsourcing

Outsourcing is the process of hiring an external company to handle specific tasks or projects.

The service provider can be located:

• Locally (onshore outsourcing)
• In a neighboring country (nearshore outsourcing)
• In a distant country (offshore outsourcing).

The key reason why companies choose an outsourcing provider is that it focuses on getting specialized expertise, regardless of the provider’s location.

For example, a company might outsource its software testing to a local agency or a nearby firm in the same time zone.

Offshoring

Offshoring is a type of outsourcing in which tasks are delegated to a team in a different country, often far away. This typically means hiring an IT service provider from a country where the hourly rate is lower. Popular countries for offshoring are Ukraine, Poland, and India.

Companies choose offshoring primarily for cost savings, to speed up project delivery, and to gain access to a team with relevant expertise.

Benefits of Offshore Outsourcing

Suppose you’re considering hiring a company for your business processes and exploring different options. In that case, an offshore outsourcing provider might be the perfect fit.

Let’s look at the main benefits of offshore outsourcing and why it’s a smart choice for many businesses.

Access to Top Tech Talent

One of the most significant advantages of offshore outsourcing is access to global talent. You are not limited to local teams — you can collaborate with skilled experts worldwide.

If you can’t find the right team in your home country, offshore outsourcing and business process outsourcing offer a huge pool of experienced developers, QA engineers, UI/UX designers, and project managers. This means you get the best people for the job, no matter where they are located.

Cost Efficiency

Cost efficiency is a key factor for any business operation, and offshore outsourcing offers a great opportunity to reduce costs and save on labor costs without compromising quality.

Regional pricing and cultural differences play a significant role here. For instance, the average hourly rate in Central Europe is typically lower than in any U.S. state. The savings add up quickly, especially for long-term projects.

Below, you’ll find a detailed breakdown of average hourly rates in the top 10 offshore outsourcing countries, highlighting how much you can save.

Faster Time-to-Market

When choosing an offshore team, you’re likely looking for a partner with industry expertise— and it’s easy to see why. A team that already has experience in your industry will understand the specific nuances, core competencies, and requirements of the segment. This knowledge helps them work faster and avoid common mistakes, cutting down the time spent on the project.

Less time spent means lower costs, especially in the context of offshore outsourcing companies. Ultimately, offshore outsourcing allows you to get your product to market faster!

Your Business Scalability

Offshore outsourcing allows you to easily scale your team up or down based on your project’s needs and business functions.  Whether you need to add more developers during a product launch or reduce the team size during slower periods.

For example, suppose you’re working on a new mobile app and need extra help. In that case, you can quickly hire experienced developers from your offshore partner. Once the project phase is complete, you can quickly scale back, avoiding the overhead costs of permanent hires.

Cons of Offshore Outsourcing and How to Avoid Them

Offshore outsourcing has many incredible benefits, but it also comes with a few challenges. These issues can sometimes make the process harder. Let’s look at the most common problems and how you can solve them.

Language Barriers

Offshore outsourcing usually involves working with teams from other countries that speak different languages. This can make it difficult to clearly communicate your needs and expectations with a remote team.

• Partner with the team that speaks a language you both understand to avoid this issue. For example, many development teams in Ukraine are fluent in English, making it easier to collaborate smoothly.
• Use AI translation tools, which have become very effective and reliable today.

Lack of Control

When another company handles specific tasks, you might feel like losing control over the process and decisions.

How We Address This:

At RewiSoft, we secure you stay in control throughout the entire project:

• You’ll have a dedicated Project Manager who keeps you informed at every project stage.
• We provide clear updates, and before making any major decisions or changes, we always discuss and get your approval first.

This way, you stay involved and have a say in every important decision.

Quality Control

One of the main reasons businesses hesitate to trust an offshore team is concern over quality control. Finding the right partner isn’t easy. Always check real client reviews on sites like Clutch, Trustpilot, and Google Reviews. Also, look at completed projects—ask for case studies during the initial meeting.

Our Approach to Quality:

• We don’t just develop software; we build long-term partnerships. In fact, 36% of our clients have returned for new projects.
• We’ve delivered over 130 projects across different industries. After the initial meeting, we share our case studies so you can see our quality firsthand.
• We have received numerous positive reviews on Clutch, with a current rating of 4.9/5 based on 31 reviews.

Top 3 Countries for Offshore Outsourcing in IT

Some regions have become global hotspots for IT offshore outsourcing. Below, we’ll show you the top 3 countries, their average hourly rates, and a brief overview of why they’ve gained recognition in the IT industry.

№ 1 Ukraine

Average Hourly Rate: $30–$55

Ukraine has earned its top spot in offshore outsourcing, and it’s clear why many companies outsource their projects to Ukrainian teams:

Benefits:

• Ukraine has a strong IT education system, producing developers who excel in different technologies and programming languages.
• Most Ukrainian IT professionals are fluent in English
• Ukraine has a vibrant tech ecosystem with regular IT events, hackathons, and tech meetups.
• Ukrainian teams often align well with Western business practices, reducing the risk of project misunderstandings.
• Ukraine’s time zone overlaps with many European countries. It offers a manageable time difference for U.S. clients, enabling real-time collaboration.

№ 2 Poland

Average Hourly Rate: $40–$55

Poland ranks as one of the top destinations for offshore IT outsourcing.

Benefits:

• Poland has many skilled developers who are experienced in a wide array of technologies and offer top-quality software development services.
• Polish IT professionals have a high level of English fluency, simplifying communication.
• Located in Central Europe, Poland offers a convenient time zone that overlaps with Western European countries, making travel and real-time collaboration much easier.
• Poland is known for participating in IT events, hackathons, and conferences.

№3 India

Average Hourly Rate: $25–$50

India is a top choice for offshore IT outsourcing.

Benefits:

• India has a vast talent pool with many skilled developers, engineers, and IT experts who bring a wide range of skills.
• English is widely spoken in India, so most professionals are fluent, making communication easier and helping avoid misunderstandings.

How to Choose the Right Offshore IT Outsourcing Partner?

Let’s go over the key criteria for choosing an offshore outsourcing partner.

Follow all the steps provided to be on the right path to selecting a trustworthy company.

Step 1: Check Client Reviews and References

Client reviews help you see how well the team works with clients and the quality of their projects. Here are the top platforms for finding honest feedback:

• Clutch: The biggest review site for the IT industry. It provides detailed client feedback so you can learn about the company’s experience and reputation.
• Trustpilot: At this platform, you can also read user-written reviews about completed projects.
• Google Reviews is another source for honest client feedback. It’s a quick way to check ratings and read customer testimonials about the service provider.

These reviews provide real insights into how the company handles projects and whether clients were satisfied with the results.

Step 2: Choose a Team with Relevant Expertise

Choose a team that has proven experience in your industry.

Industry expertise is important because it can save you both development time and costs. A team familiar with your industry’s needs won’t waste time learning the basics — they’ll already know the fundamental standards and requirements.

For example, the real estate sector might seem straightforward. Still, it has unique standards and regulations, such as GDPR, CCPA, and others.

Choosing a partner with relevant expertise typically speeds up the entire process, and the client receives a product with almost no additional fixes needed.

Step 3: Discover the Team’s Case Studies

A good way to evaluate a team is to examine its relevant expertise through case studies. Companies often share their released projects unless they are restricted by an NDA.

Check the number of completed projects to see how many they’ve delivered. It’s a good sign to understand how long the team has been in the market and to get a sense of the quality of their work.

Some teams post their case studies on their website, while others prepare presentations. These typically include details on the tech stack, functionalities, features, approach, and other important info.

Step 4: Attend an Initial Meeting

In this meeting, you’ll get a clearer idea of the company’s approach and communication style.

It’s a chance to see how they work and if they understand your project needs. You’ll also find out if the team has the expertise and technology that fit your goals.

Remember, you’ll regularly interact with the Project Manager, development team, and other members during development. So, a solid initial meeting sets the foundation for smooth future collaboration.

Best Practices of Offshore Outsourcing We Follow and Recommend to You

To get the most out of your offshore outsourcing experience, consider these practices for better collaboration and successful project delivery:

Clearly Define Project Requirements

Start with a detailed project plan. Outline your goals, expectations, and specific requirements. The more information you provide upfront, the easier it will be for the offshore team to deliver what you need.

For example, at RewiSoft, we conduct a Discovery Stage before starting the development process. We perform thorough market research and business analysis. After that, we prepare all the information for project Kickoff, Tech Architecture (Libraries & Frameworks), and User Flow. This gives a clear roadmap for the following stages.

Find out more details about our Web Development Stages.

Use Project Management Tools

Tools like Jira and Figma help you stay organized. These tools allow you to track tasks, manage deadlines, and communicate updates effectively.

We use these tools to provide faster updates and quicker agreement on key points.

Establish Regular Communication Schedules

Offshore outsourcing often involves delegating entire tasks. To get the most accurate results, consistent communication with the team is crucial.

We set up regular meetings with our clients to discuss progress, address any issues, and ensure everyone is aligned on the next steps.

These principles form the foundation of a strong partnership with your offshore team and lead to better project outcomes.

Why Choose RewiSoft for Offshore IT Outsourcing?

We understand the concerns business owners often have about outsourcing — finding the right partner, ensuring quality, and maintaining transparency. At RewiSoft, we address these worries head-on.

We believe in being open about our processes and delivering real results.

Below, you’ll find an overview of our offshore outsourcing services and what sets us apart as a trusted partner for your business.

Over 100 Businesses Trust Us

Today, we proudly have 130 completed projects, and over 100 businesses from 46 countries trust our expertise. We’re excited to keep scaling because we believe great services should always be delivered.

High Rating and Client Satisfaction

We focus on quality and client success. Our clients have given us a 4.9/5 rating on Clutch, which shows our commitment to delivering exceptional work every time.

Free Post-Launch Support

We don’t stop at delivery. Our team offers free post-launch support and bug fixes for one month after launch and provides additional support services if needed.

Expertise in 25+ Industries

We have hands-on experience across more than 25 different industries. This means we understand the specific needs and challenges of each field. Whether it’s real estate, healthcare, fintech, or e-commerce, we know what it takes to get the best results.

Dedicated Support Team

When you partner with us, we provide end-to-end offshore software development services, but we also know you want to stay informed and involved. That’s why we assign you a project manager who keeps you updated at every stage. If needed, you’ll also have the option to join team meetings and discuss the project details directly.

Strong Security and Compliance

We follow industry-leading security practices and comply with GDPR, CCPA, and other regulations to keep your data safe.

If you’re ready to entrust your business operations to a reliable offshore outsourcing partner, connect with RewiSoft — we’re here to help your business grow and scale.