Entrepreneurs face a difficult task: They must spend money to get a business up and running, but most of their funds are needed to develop new products and services – not perform the day-to-day tasks a new business needs to survive. The answer in many cases may be strategic outsourcing.
Here are a few questions to ask to determine if strategic outsourcing is right for you:
- Am I trying to do something beyond my abilities? When you’re starting a business, you might not know enough about compliance, legal requirements and other necessary elements. By outsourcing these duties, you can rely on the expertise of a vendor and avoid making beginners’ mistakes.
- Can my vendor help me achieve return on investment (RIO) I couldn’t otherwise achieve? A technology-based vendor — handling data capture or electronic mailroom duties, for example — deals with the same challenges and problems over and over, and knows how to best handle them. This can save you the trouble and – most importantly – keep your costs low.
- Am I spending too much time on something holding me back? By outsourcing business functions that are not among your core competencies, you can focus on those crucial areas and allow experts to handle the other processes. The result? More time for you to focus on the aspects of your business that matter the most, and less worry about compliance or technical issues on the aspects you’ve outsourced.