Outsourcing For Small Buisnesses

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Outsourcing for Small Businesses

The concept of outsourcing is familiar to many entrepreneurs. Various businesses, both big and small, routinely outsource specific functions and tasks, often because of a lack of skills or expertise in a particular field. Cost cutting is another reason why businesses turn to outsourcing. It is thought that this should be the most important reason when outsourcing but it’s not the case. There is more value to outsourcing than immediately meets the eye. In turn, the industry has evolved to serve the outsourcing needs of companies. We have experts in various fields and even virtual assistants are now booming. Are you not sure what you outsource to a virtual assistant? Take a look at this.

It should be noted though, not many businesses understand the benefits of outsourcing. It’s true, using agencies to outsource tasks big or small can save you money. In addition, outsourcing some functions or tasks can provide your business with multiple long-term benefits like:

Increased Efficiencies

Optimising your business should always be at the top of your mind. Research has shown that businesses that do all of their own research, development, distribution and marketing have higher expenses compared to businesses that outsource.  At the end of the day, all of those incurred expenses are passed onto the customer. Using a service provider’s cost structure and economy of scale can provide your business with a competitive advantage.

Reduced Costs

The cost of having to hire and train staff for short-term and ad-hoc projects or tasks can be very expensive. When outsourcing, you have the capacity to focus your people reserves on tasks where you need them most. Also, cost-cutting is a major factor to consider when outsourcing – it is an important factor to consider but should not be your primary motivation. You can convert your monthly fixed costs into variable costs which can free up capital for investment in other parts of the business that need some capital injection. Having a virtual assistant contributes to this.

Counting on The Skills of Experts

Most small businesses just cannot afford to match the in-house support departments that larger organisations have. Outsourcing can help small businesses run with the big guns providing them access and opportunities to the same economies of scale, efficiencies and expertise that larger companies enjoy. As wonderful as your core team is, nobody is perfect at doing everything. When you outsource, you’re also able to draw on the niche skills of experts that outsourcing agencies provide. If you need specialised assistance or when your team needs a team, it just makes sense to expand your search by outsourcing.

Reducing Risk

It stands to reason, an important factor in any project is risk assessment and analysis. Every investment carries risk, regardless of its size. With markets, government regulations, competition and the financial climate constantly changing, outsourcing agencies assume and manage this risk for you. They are notably much better at ascertaining how to avoid risk in their areas of expertise. Outsourcing also provides a level of continuity to your business while reducing the risk of an inferior level of operation.

More Time to Focus on Your Core Business

As your business expands and grows, your core functions may start to take a back seat as your resources are distributed to other activities. Hiring additional staff to manage the new workload can become costly. On the flipside, piling on additional work to your staff can cause burnout if not managed correctly – which is not something we’re sure you’d like to avoid. Every business has limited resources and your resources should be put to good use. With outsourcing, you can refocus your efforts on your business activities that are most important to your brand, without having to sacrifice quality or service. Also, who would be better suited to handle niche activities than an agency that has the skills, tools and resources to do this? Hiring a virtual assistant should be at the top of the list of every entrepreneur, here’s why.

Quality Is Improved

Improving the quality of your tasks can be achieved as the use of agencies that specialise and are experts in niche fields have the knowledge and know-how to execute tasks in a successful manner. Just remember that there needs to be a clear set of guidelines, expectations and processes to manage the quality of services that will be rendered.

To end off, virtual assistants are known for being skilled in many areas, being jacks-of-all-trades as it were, and can do so much for you and your business. Most importantly, they can help you with your productivity by freeing up your time to focus on the things that matter to you most. Still not sure about using virtual assistants? Here are 10 reasons why companies outsource. Find out more about our virtual assistants and how they can help you and your business, try out our free consultation. Alternatively, feel free to contact us – we’d be delighted to chat with you.

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