Here we discuss when to outsource parts of your small business operations. If you’re feeling overwhelmed trying to do everything yourself, read more here.
Since 2008, United States business owners have outsourced over 2.4 million jobs.
Without outsourcing, it’s clear that many businesses wouldn’t know what to do. And for those who do the outsourcing, this has helped them have stable careers.
But to be able to take advantage of this growing market, you have to play it smart. Too much outsourcing may cost you too much or make you feel like you don’t have control.
Most importantly, you need to know when to outsource. The timing of your decision could make all the difference. Lucky for you, this article will tell you what you need to know to make that decision.
Read on to learn more!
If you’re thinking about outsourcing, you need to make sure you’re doing it for the right reasons. You should not be outsourcing because you don’t want to do a certain task.
While it can be tempting to remove your least favorite activity off your plate, this is a lazy habit to develop, especially if you don’t have the money. Over time, you may start looking for other ways to cut corners.
Plus, outsourcing costs you money that you could spend elsewhere. As a small business owner, you might not be able to afford to pass on tasks for someone else to handle.
You also should not outsource when one of your employees isn’t working well or doesn’t like a task. While you want to be a boss people like, you also pay your employees for a reason. Make sure you’re not helping other people cut corners.
If an employee is underperforming enough to consider outsourcing, you may want to consider finding someone to replace them. Take time to evaluate this before doing so though. You may have given them too much on accident.
Do you feel like you’re doing some of the same things over and over again? Do you go crazy trying to get the most boring tasks done?
If you said yes, it might be time to think about outsourcing. Not only will this help you focus on what matters, but it might also help you keep your sanity.
Research shows that employees who are happy are 12 percent more productive. This doesn’t apply to just employees though. Happy bosses will be more productive as well.
Getting a couple of your annoying tasks off your hands may make you happier boss. And if so, it means you’ll be productive. Who knows? You may even make more money by outsourcing.
As mentioned earlier, you shouldn’t outsource just because a task is hard or unenjoyable. But if you can fill your time being more productive, it might be time to outsource.
This one should be a no-brainer, but many employers may forget this important part. Don’t outsource if you don’t have the budget to do so.
And this isn’t having enough money to outsource. It’s also having enough to outsource and still have money remaining. Outsourcing should not leave your company broke.
Of course, in some situations, you might have to outsource no matter what. In these cases, outsourcing should be a major part of your budget. But minor tasks should not get outsourced when you know how to do the job.
Sometimes outsourcing can make your life easier by saving time. Other times, it can help you by doing the jobs you know nothing about.
For example, lots of business owners are not very good at accounting. It is a difficult task, and some find it better to outsource this part of the process to a company like Tipalti.
This could save you a headache around tax or payroll time. But the benefits don’t stop there.
In fact, you may even save money by outsourcing.
Take accounting as an example again. If you mess up the numbers, a lawsuit or mispayment could cost you thousands. But if you let a qualified accountant deal with it all, you won’t have to fear this at all.
Too often, people consider outsourcing an option for people with lazy employees, but this is not the case. in fact, not having enough employees to do the job may be a good sign that your company is growing.
Too many busy employees mean that you’re doing well. Either you have enough clients, or you trained your employees well. But this situation presents a difficult problem though.
What should you do when all you have are busy employees?
Outsource, of course! This will give your employees the workplace freedom they need.
You should be careful with this though. Before outsourcing, make sure your employees are working as hard you want them to be.
But if it seems that they are, they may have too much on their platter. Be careful not to overwork employees when you could outsource a job.
Depending on what your business is, you may need to outsource your manufacturing.
Especially if you don’t have the tools to do it well, this may be a good opportunity for you.
Imagine if Steve Jobs continued building every Apple product that the business made. He would have never made his billions! Manufacturing can often make your business produce more.
This is one of the exceptions for outsourcing at the start. While some jobs you should keep to yourself, manufacturing may be something you outsource from the beginning no matter what your budget looks like.
Now that you know when to outsource, you should be ready to make your decision. Remember that outsourcing isn’t always necessary but that it can help more than you may think.