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What Are the Risks for Business When Developing and Maintaining a Mobile Application on an Outsource?

What Are the Risks for Business When Developing and Maintaining a Mobile Application on an Outsource

How To Outsource App Development: Possible Challenges & Their Solutions

As with anything, there are inevitable downsides to any strategy and model, and outsource app development teams are no exception. But, luckily, there’s a solution to every issue or challenge. Here are some possible disadvantages of a dedicated team with their solutions.

Time Zone Differences

Time zone variations can create obstacles in fostering seamless collaboration between outsourced developers and your internal software teams. For instance, if a US-based company enlists developers from the Philippines, arranging impromptu meetings becomes complex due to non-overlapping business hours.


Engage with IT outsourcing firms situated in closer time zones or those with manageable differences. Alternatively, establish communication protocols, such as submitting inquiries within a designated timeframe and expecting responses within two business days. This approach aids in effectively managing communication across distinct time zones.

Communication Barriers

Software development talent is spread worldwide, but language barriers can complicate discussions about projects, timelines, and expectations. Such barriers hinder smooth ongoing collaboration.


Rigorous vetting is essential before hiring. While you engage your current team in comprehensive discussions, new members must also be seamlessly integrated.

Intellectual Property

When integrating a remote team that ultimately falls under the jurisdiction of another company, worries about data breaches and safeguarding intellectual property arise. Businesses handling sensitive information and cutting-edge technologies might be reluctant to outsource unless these concerns are effectively addressed.

What Options Do You Have?

Based on size and project, companies can choose different app development outsourcing strategies. If they prefer to work with a company in the same country or city, they can choose homeshoring which gives them a chance to hold in-person meetings. 

  • Offshore Outsourcing. This involves engaging a third-party supplier or development team from a different country, often driven by lower labor costs in that region.
  • Nearshore Outsourcing. This entails recruiting personnel from neighboring countries for your outsourcing endeavors.
  • Onshore Outsourcing. Here, collaboration takes place with a development team located within the same country.
  • Freelancing. This is typically suitable for services delivered under temporary contracts or project-based arrangements.
  • Managed Services. You can also choose to entrust the entire development process to the mobile app development outsourcing company, capable of delivering a comprehensive solution. These solutions may encompass not only development but also managerial and monitoring services, significantly saving you time and effort.

Nearshoring can be cheaper than homeshoring because the third party is in a foreign, but nearby, country, and there’s little time zone difference. The third major option, the most popular one, is offshoring where you drastically reduce costs but deal with time zone differences.

Pros of Outsourcing for Your Business

  • Saving money
    Cost savings serve as a primary motivation for organizations to adopt outsourcing. By doing so, businesses can effectively curtail development expenditures, enabling them to streamline operations, expand their reach, and effectively address customer needs while remaining cost-efficient. Moreover, engaging a third-party entity for project completion empowers businesses to lower labor-related costs including insurance, training, vacations, and various other operational facets.
  • Faster time-to-market.
    Clients could accelerate their work and save a lot of time on orientation and onboarding because the outsourced staff is already skilled and knowledgeable in the devices and instruments needed for the process. This is especially helpful for huge multinational companies where the permits and decision-making process may take a lot longer than necessary.  
  • Sharing the risk.
    Mitigating risk is achieved through outsourcing, as specific aspects of business operations are entrusted to external vendors. By doing so, the liability for particular tasks shifts to these expert vendors who are adept at managing the associated risks inherent to those processes. This delegation of responsibility allows the outsourced entity to effectively navigate and address the potential risks entailed within the assigned tasks.

How Much Does It Cost To Outsource App Development?

Many of you may be curious about the expenses associated with app development in outsourced projects. Providing an exact figure is challenging due to the multitude of factors influencing project costs. However, for the sake of estimation, outsourcing mobile app development can range anywhere from a few thousand to hundreds of thousands of dollars.

The primary factor influencing pricing is the choice of the partnering company. Furthermore, project intricacies and the diverse range of app features contribute to varying complexities, which subsequently increase the time and expertise required for successful execution. Naturally, this dynamic impacts the overall project costs.

In any case, it’s advisable to request an estimated cost from your outsourcing collaborator based on precise project goals. Additionally, any potential supplementary costs should be open to discussion and ideally anticipated within the contractual agreement.


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