Business owners and managers of companies are familiar with the term. Still, it can be challenging to differentiate nearshoring from outsourcing, onshoring, and offshoring; the concepts are quite similar but different at the same time. While nearshoring has significant benefits compared to other ways of doing business, it is vital to check if it’s a good fit for your company. It can be hard for you to implement a nearshoring way of working in a quick snap of a finger, as it’s still unknown to you. Let’s uncover the nearshore software development meaning!
What is nearshoring
In nearshore software development the IT needs of a company are fulfilled by another company or team that’s located close to it in geographical terms. Factor Blue is located in Southeastern Europe. If you choose nearshore for your company it means your team will be closer to yours in terms of language and culture, which saves money on transportation costs.
Why to nearshore
As there are dozens of reasons why to choose this kind of business model, let shortly mention only some main ones:
- Offers the chance to have control over the development process while saving almost 40% of costs compared with western destinations. Without compromising on the quality
- Nearshoring in Southeastern Europe saves you to save a lot of time an waiting for response because we’re operating in the same timezone
- Easily complete a small project without hiring new colleagues and opening a new department
- You don’t have to market your company
- Procedure for selection is already done
- Nearsourcing IT allows for much faster trial and error development than other options
Why Southeast Europe (SEE)
This region had been a region of development and growth over the past few decades. Serbia was ranked as number 12 most developed country in 2017 by The Economist Intelligence Unit. In 2021, its development level is almost the same as the average development level of EU15 member states or that of Russia.
The nearshoring market has been growing by 25% per year in Serbia. The reason why nearshore outsourcing continues growing is that it brings back the IT decision making process to countries where software development used to be just a part of their economy. Belgrade has become an IT center with more than 2,000 IT companies.
Tailored technology stack for your business needs
Your ecommerce already has a technical basis: a platform and many systems and applications that fit together. Or should. From that basis, we put together a team. Mixing backend, frontend and optional Quality Assurance (QA) for testing. For ecommerce technologies, applications and frameworks such as:
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Nearshore development team costs
The costs are higher than rates for Indian or Chinese software teams but our developers represent great value if you plan to nearshore since they speak very good English, get the right guidance and management plus they have access to high speed internet infrastructure and a nice place to work. Experts believe that the Southeastern Europe software industry is one of the most developed due to very low operational costs, quality manpower and new technologies applied on basis by software developers.
So the answer varies greatly depending on the software application you want to create, number and seniority of developers, amount of hours and complexity of your software application. Please contact us for our rates card.
White-label for your agency
Our programmers are used to working according to the white-label principle. We provide the services that you can then provide to your end customer. Without them having to be aware of it.
- We will do the selection and possibly recruiting of your team. Ultimately, you choose the right people and we provide (internal) training if necessary.
- A dedicated team that is fully tailored to your wishes in terms of skills and work experience. Who like to think along, learn and celebrate successes.
- At busy times, we can scale up more easily when necessary due to a high degree of flexibility. And scale down again when less capacity is needed.
- With project management in English and Dutch, we ensure the right communication between client and developers. With the aim of a long-term cooperation.